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HP Inc. beats Q2 expectations, maintains strong buy rating with solid cash flow and shareholder returns.

Company Fundamentals
28 May 2026
Seeking Alpha
View Source
Bullish
pluang ai news

HP Inc. reported Q2 FY26 results that exceeded expectations, driven by strong growth in the EMEA and APJ regions and generating $780 million in free cash flow. The company maintains a Strong Buy rating due to its attractive valuation, robust free cash flow, and ongoing shareholder returns including dividends and buybacks. HPQ projects FY26 non-GAAP EPS between $2.90 and $3.10 and free cash flow of $2.8 to $3.0 billion, supporting a dividend yield of about 4.9%. Risks include inflationary pressures from geopolitical tensions and rising component costs, but significant buybacks and a new product cycle underpin long-term growth potential.

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