HP Inc. (NYSE: HPQ) Shines with Strong Q3 Earnings Despite 'Underperform' Rating

• Despite an "Underperform" rating from Bank of America Securities, HP Inc. (NYSE: HPQ) demonstrated robust financial performance in its fiscal third quarter.
• The global technology company reported record fiscal third-quarter revenue of $15.7 billion, marking its ninth consecutive quarter of revenue growth.
• HP Inc.'s adjusted earnings per share (EPS) of $0.83 surpassed analyst estimates, primarily driven by strong performance in its Personal Systems segment.

HP Inc. (NYSE: HPQ) is a global technology company renowned for its personal computers and printers. On August 27, 2026, Bank of America Securities reiterated its "Underperform" rating for the company. This rating suggests the tech stock may not perform as well as the broader market. 

This rating contrasts with HP Inc.'s recent strong financial performance. The company reported record fiscal third-quarter revenue of $15.7 billion, a 13% increase year-over-year. This achievement marks the company's ninth consecutive quarter of revenue growth, showing a consistent upward trend in its sales and overall stock performance.

HP Inc.'s earnings per share (EPS), a key indicator of profitability, also showed significant growth. The company posted an adjusted EPS of $0.83, an 11% increase from the prior year. This figure surpassed the Zacks Consensus Estimate of $0.75 per share, resulting in a notable earnings surprise of 10.67%.

The primary driver of this success was the Personal Systems segment, which includes computers. This division's revenue grew by 18% to a record $11.8 billion. This strong performance in personal systems helped balance the challenges the company faces in its printing business and from rising component costs, contributing to positive quarterly earnings.

Following these strong results, HP Inc. raised its financial outlook for the full year. As highlighted by Proactive Investors, the company now projects adjusted earnings between $3.19 and $3.29 per share. It also increased its free cash flow forecast to a range of $3 billion and $3.2 billion, signaling confidence in its future financial health.