HP Stock Falls After Hours Due To FY23 EPS Guidance Issued Below Estimates

HP Inc. HPQ shares are trading lower in the after-hours session after the company reported better-than-expected third-quarter results but issued full-year 2023 earnings per share guidance below estimates, as the demand environment remains soft.

What To Know: HP reported quarterly earnings of 86 cents per share which beat the analyst consensus estimate of 80 cents, a 17.31% decrease over earnings of $1.04 per share from the same period last year. The company reported quarterly sales of $13.20 billion which beat the analyst consensus estimate of $12.39 billion, a 9.98% decrease over sales of $14.66 billion from the same period last year.

HP also reported net cash provided by operating activities of $1.0 billion and free cash flow of $0.9 billion

The company issued fourth-quarter earnings per share guidance in a range between 85 cents and 97 cents, versus the previous estimate of 95 cents. Full-year 2023 earnings per share are estimated to be between $3.23 and $3.35, versus the $3.37 estimate.

"While we expect another quarter of sequential growth in Q4, the external environment has not improved as quickly as anticipated and we are moderating our expectations as a result," said Enrique Lores, HP President and CEO.

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HPQ Price Action: Shares of HPQ were down 5.39% at $29.68 in the after-hours session at the time of publication, according to Benzinga Pro.

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