How Did Hewlett-Packard Perform in Fiscal 2Q17? PART 6 OF 7
Shareholder returns and stock trends
Hewlett-Packard (HPQ) has generated returns of 23.8% since the start of January 2017 and 50.6% in the trailing-12-month period. However, HP stock has fallen 1.3% in the last one month and 2.2% in the trailing-five-day period as well. Although HP’s stock rose 4% after the firm announced its fiscal 2Q17 results on May 24, 2017, it fell over 3% on May 25, 2017, due to concerns regarding pricing and revenue growth.
HP generated returns of 46% in 2014 and -33% in 2015. The stock then rose 30% in 2016. Since HP’s split with Hewlett Packard Enterprise (HPE) in November 2015, the stock price has risen 47%. Peers IBM (IBM), Western Digital (WDC), and Apple (AAPL) have generated returns of 11.8%, 25.2%, and 17.5%, respectively, in 2016.
On May 25, 2017, HP closed the trading day at $18.37. Based on this figure, here’s how the stock fared in terms of its moving averages:
- 7.5% above its 100-day moving average of $17.09
- 0.4% above its 50-day moving average of $18.29
- 3.5% below its 20-day moving average of $19.03
MACD and RSI
A company’s moving average convergence divergence (or MACD) refers to the difference between the stock’s short-term and long-term moving averages. HP’s 14-day MACD is 0.27. A positive MACD figure indicates an upward trading trend.
Generally, a relative strength index (or RSI) above 70 suggests that a stock has been overbought, whereas an RSI score below 30 suggests that a stock has been oversold. HP’s 14-day RSI is 40, which shows that its stock is slightly oversold.
Of the 22 analysts covering HP stock, 12 analysts have given it “buy” recommendations, and ten analysts have given it “hold” recommendations.
The analysts’ average stock price target for HP is $20.57 with a median target estimate of $21. This means that HP is trading at a discount of 14.3% to its median estimate.