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HP

7HP.DE
37
Computer Hardware · Technology
Exchange
Frankfurt Stock Exchange
Winston Score
37
Winston is serious
Below-average fundamentals — multiple weak pillars.
Data as of Aug 23, 2026 · filings through Apr 30, 2026
How the score breaks down
Quality
Mixed
Growth
Mixed
Cash Flow
Strong
Stability
Mixed
Valuation
Good
Dividends
Good

Winston Score History

The full picture

HP Inc. makes personal computers and printers. Its main products include laptops, desktops, and inkjet and laser printers sold to everyday consumers, students, and businesses around the world. HP is one of the largest PC makers globally and owns well-known printer brands like OfficeJet and LaserJet.

HP makes money by selling hardware upfront and through a recurring supplies business — ink and toner cartridges are a steady source of revenue after the initial printer sale. The company operates worldwide, with significant sales in North America, Europe, and Asia, and generates roughly $50 billion in annual revenue. Its installed base of printers creates a built-in customer base for supplies, which is a key competitive advantage. The main risk is that global PC demand is cyclical and has been declining as consumers replace devices less often, while competition from lower-cost manufacturers continues to pressure margins.

Growth Profile

When traditional metrics don't capture the full picture, these are the signals growth stock investors use instead.

Revenue Growth

+9.0% YoY

YoY Growth Rate

Slow revenue growth

EPS Growth

+14.0% YoY

YoY Growth Rate

Steady EPS growth

Insider Activity

0.4%ownership

Flat

Insider ownership roughly steady over the past year

Cash Position

Cash flow positive

€3.9B cash & investments

Quarterly Free Cash Flow

↓ Burn rate worsening

Company generates more cash than it spends — no dilution risk from fundraising

Growth context

HP is growing revenue at 9% year-over-year. The Winston Score measures business quality today — these growth metrics show what could matter tomorrow.

The Winston Score above measures business quality today. Growth stocks often score lower because they invest in the future rather than maximising current profits. These metrics show what matters most for evaluating that future.

Score breakdown

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Quality

Profit per sale
Gross Margin
20.3%
Thin — 20.3% gross margin
Profit after running costs
Operating Margin
6.8%
Modest — 6.8% operating margin
Return on the money invested
ROCE
10.3%
Below par — 10.3% return on capital

ROIC between 5% and 15%. They earn 5 to 15 cents back per year on every dollar invested.

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Growth

Sales growth
Sales YoY
+5.8%
Slow sales growth (+5.8% YoY)
Profit growth
EPS YoY
+5.0%
Modest earnings growth (+5.0% YoY)

Single-digit earnings growth — steady but not exciting.

How steady the profit is
EPS Consistency
2/8 quarters
Earnings rarely grow — volatile business

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Cash Flow

Profit that turns into cash
Cash Conversion
180%
Turns 180% of profit into real cash
Spare cash per sale
FCF Margin
6.6%
Modest free cash flow (6.6%)

FCF margin between 0% and 10%. Some cash from sales, but not a lot.

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Stability

What it owes vs what it owns
Debt / Equity
N/A
Data not available
Covers its interest
Interest Cover
7.45x
Adequate interest coverage (7.5x)

Interest coverage between 3 and 8. Profits cover interest several times over.

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Valuation

Price vs profit
P/E Ratio (TTM)
10.8x
no trend
Attractive valuation — P/E 10.8

P/E in the normal range. Price is roughly $15 for every $1 of yearly profit.

Cheaper or dearer next year
P/E vs Forward
+0.8
GROWING
Earnings roughly flat

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Dividends

Dividend
Dividend Yield
4.01%
no trend
Healthy income — 4.01% yield

Generous yield. Worth checking whether the payout is sustainable.

Dividend record
Dividend Growth
+2.5%
no trend
Dividend flat

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