Many of Silicon Valley’s companies are up, but some of the oldest companies like HP appear to be struggling. Last week Carl Icahn (who is a a substantial stock holder in both Xerox and HP) tried to pressure HP’s board to reverse it’s rejection of a $22 a share bid to merge with Xerox (XRX). Icahn called it a “no brainer.” We are currently watching HP for a possible bounce up, but worried about the overall slowing economy as as whole may drag them down. The 1 Day Oscillators are a slight sell, but the 1 day moving averages are a strong buy. In total technical tracked, we have 3 sell, 8 neutral and 17 buy, meaning it is a buy. HP shares completed the past week at a monthly high and are currently trading at a 5.2% discount to the 9-month high of November 6. Earlier, on November 26, the company published a strong quarterly report with results above market expectations thanks to strong PC sales. Revenue rose by 0.3% (YoY) to USD 15.4 billion; net earnings per share increased by 11.1% (YoY) to USD 0.60. Last week, HP Inc. share price increased by 2.09%. S&P500 went up by 0.16% within the same period.
The signal is still trading within the flat market. No single direction tendencies are observed. Currently the signal is trading between the key levels of support and resistance of 19.30 and 20.60 respectively. #HPQ quotes have the potential to further growth. Indicators show the strength of the buyers: the price consolidated above MA (50) and MA (200); MACD is in the positive zone. Positions are to be opened from key levels. Comparing company’s multiplier with its competitors, we can say that #HPQ shares are neutral, with an indication to rise.
Resistance levels: 20.60, 21.65.
Support levels: 19.30, 18.15, 17.30.
HP Pivots
Pivot Classic Fibonacci Camarilla Woodie DM
S3 10.91 15.29 18.87 13.40 —
S2 15.29 16.97 19.28 15.34 —
S1 17.69 18.00 19.68 17.79 18.68
P 19.68 19.68 19.68 19.73 20.18
R1 22.07 21.35 20.48 22.17 23.07
R2 24.06 22.39 20.88 24.11 —
R3 28.45 24.06 21.29 26.56 —
HP Trading Trading Ideas
If the price consolidates above the resistance level of 20.60, one should expect the company’s shares to further grow. Potential profits should be locked in by orders at 21.60, 22.60 and 23.40. Stop loss – 19.60. If the price consolidates below 19.30, sales of #HPQ may be considered. The movement potential is aimed in the area of 17.50–16.50. Stop loss – 20.30. Implementation time: 3 days.
HP Stock Recommendations
Nov-11-19 Upgrade Evercore ISI In-line → Outperform $24
Oct-10-19 Downgrade Goldman Neutral → Sell $18 → $14
Oct-07-19 Downgrade Argus Buy → Hold
Oct-04-19 Reiterated Morgan Stanley Equal-Weight $21 → $20
Oct-04-19 Reiterated BofA/Merrill Underperform $17 → $16
Oct-04-19 Downgrade Loop Capital Buy → Hold $21 → $19
Sep-16-19 Downgrade UBS Buy → Neutral $26 → $20
Sep-09-19 Downgrade Bernstein Outperform → Mkt Perform $20
Aug-23-19 Reiterated Wells Fargo Market Perform $23 → $20
Aug-23-19 Reiterated UBS Buy $28 → $26
Aug-23-19 Reiterated Morgan Stanley Equal-Weight $23 → $21
Aug-23-19 Reiterated Citigroup Neutral $21 → $20
Aug-23-19 Reiterated BofA/Merrill Underperform $19 → $17
Aug-23-19 Reiterated Barclays Equal Weight $21 → $20
Aug-23-19 Downgrade Evercore ISI Outperform → In-line $23 → $19
Aug-20-19 Downgrade Citigroup Buy → Neutral $25 → $21
Aug-08-19 Initiated Barclays Equal Weight $21
Jun-20-19 Initiated Deutsche Bank Hold $20
Jun-06-19 Initiated Evercore ISI Outperform
May-14-19 Downgrade Wolfe Research Outperform → Peer Perform $25 → $21
HP 1 Day Moving Averages
Name Value Action
Exponential Moving Average (5) 20.19 Buy
Simple Moving Average (5) 20.06 Buy
Exponential Moving Average (10) 20.04 Buy
Simple Moving Average (10) 20.03 Buy
Exponential Moving Average (20) 19.72 Buy
Simple Moving Average (20) 19.92 Buy
Exponential Moving Average (30) 19.41 Buy
Simple Moving Average (30) 19.30 Buy
Exponential Moving Average (50) 19.10 Buy
Simple Moving Average (50) 18.46 Buy
Exponential Moving Average (100) 19.09 Buy
Simple Moving Average (100) 18.90 Buy
Exponential Moving Average (200) 19.65 Buy
Simple Moving Average (200) 19.44 Buy
Ichimoku Cloud Base Line (9, 26, 52, 26) 19.42 Neutral
Volume Weighted Moving Average (20) 19.90 Buy
Hull Moving Average (9) 20.23 Buy
HP 1 Day Oscillators
Name Value Action
Relative Strength Index (14) 66.11 Neutral
Stochastic %K (14, 3, 3) 78.94 Neutral
Commodity Channel Index (20) 159.75 Neutral
Average Directional Index (14) 34.07 Neutral
Awesome Oscillator 0.97 Buy
Momentum (10) 0.85 Sell
MACD Level (12, 26) 0.46 Sell
Stochastic RSI Fast (3, 3, 14, 14) 43.53 Neutral
Williams Percent Range (14) −12.20 Sell
Bull Bear Power 1.15 Neutral
Ultimate Oscillator (7, 14, 28) 52.84 Neutral
