Sterne Agee Maintains Buy on Hewlett-Packard

Sterne Agee is out with its report today on Hewlett-Packard HPQ, maintaining Buy. In a note to clients, Sterne Agee writes, "We maintain our Buy rating on HPQ shares as we find the risk-reward favorable at 6.5x CY12 EPS. In addition, we view HPQ as a fairly defensive play with its recurring profit streams, broad portfolio and geographic exposure and room for operating leverage. Our price target of $53 is based on 10x our CY12 EPS estimate of $5.38." At the time of posting, shares of HPQ were trading pre-market at $34.99, up 0.98% from Monday's close.