HPQ Q3 Earnings Drop Tomorrow: Here’s What You Need to Watch

HP Inc. faces the earnings music tomorrow—and the Street's holding its breath.

Beyond the Headlines

Look past the revenue figures. All eyes lock on commercial PC demand and whether the print-services division still pulls weight. Supply chain chatter hints at stabilization, but inflation's shadow looms large.

The Guidance Game

Management's forward outlook will trump backward glances. Any hint of conservative forecasting could spark a sell-off—because nothing thrills institutional investors like lowered expectations.

Cash Flow or Blow

Free cash flow remains the unsung hero. Strong liquidity means more buybacks or dividends; weakness here signals deeper operational headaches. HP's balance sheet needs to flex, not flinch.

Remember: earnings season turns CFOs into storytellers and analysts into believers—until the next quarter unravels the fairy tale.

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But what exactly are analysts’ expectations from the company that spun off from the famous Hewlett-Packard Company in 2015? A little bit of context will help.

Since the start of the year, HP has seen its stock tumble by over 13% due to a combination of factors, including the cost-effect of President Donald Trump’s volatile tariff regime impacting demand for personal computers. In Q3 2025, Wall Street expects an earnings per share of $0.75, which is about a 10% fall from an EPS of $0.83 EPS recorded in the same period last year. In the prior quarter, EPS came in at $0.71, against an estimate of $0.78

Furthermore, HP generated $13.22 billion in revenue in Q2 2025, with a marginal turnover increase of 0.9% from the previous quarter and 3.3% year-over-year. Going into Q3, analysts expect revenue to reach $13.69 billion.

Are Improved Fundamentals Ahead?

On Monday, HP saw its stock decrease by -0.87% to close at $27.50. In the past six months, the share price has also shed about 19% of its value.

However, the company has previously disclosed actions it is taking to improve its fundamentals, including pricing adjustments and expanding its manufacturing bases in Asia (Vietnam, Thailand, India) and North America (Mexico and the US). The multinational expects the impact of these steps to be visible by the end of its fourth quarter, with EPS aimed to hit between $3.0 and $3.30.

Earlier in the year, HP CEO Enrique Lores noted to Reuters that the company anticipates that almost all its products marketed in North America will be manufactured outside of China by the end of June.

Is HPQ a Buy, Hold, or Sell?

Back to Wall Street, on TipRanks, the HPQ stock has a Hold rating based on three Buys, seven Holds, and one Sell based on analysts’ average price targets over the last three months. The average HPQ price target is $28.52, with a 3.71% upside potential. The upper end of the target jumps to $40.0, while the lowest touches down at $25.0.