Cheap and healthy — worth a proper look.

The math shows a margin of safety, and nothing is obviously deteriorating.

Current price
$32.08
Market cap ≈ $31B
Intrinsic value
$50
range $35 – $72
Margin of safety
+55%
below fair value
3 FY16 3 FY17 4 FY18 4 FY19 4 FY20 6 FY21 4 FY22 3 FY23 3 FY24 3 FY25

What the math is really telling you. Watch whether cash flow is compounding — that, more than any single year, is what a value read hangs on.

  • Good:
    Undervalued
    Fair value ~$50 vs $32 — a margin of safety of 55%.
  • Warning:
    Price assumes a big acceleration
    You'd need ~-0%/yr free-cash-flow growth to justify today's price; it has done -8.9%/yr lately.
  • Good:
    Revenue still growing
    Up 3.2% last year — demand isn't the problem.
  • Caution:
    Cash flow flat-to-down
    Free cash flow ~-8.9%/yr — big, but not compounding. The crux for a value buyer.
  • Caution:
    Manageable net debt
    Net debt of $6B — about 2.1× annual free cash flow. Normal for a mature company.

Where this number comes from →

How this was built. Every figure is computed from HP Inc.'s SEC filings — no estimates, no AI. Two-stage DCF: 9% discount rate, 5% free-cash-flow growth for 10 years, 2.5% terminal. Free cash flow is operating cash flow less capital spending. Net cash is cash and marketable securities less borrowings, commercial paper and finance leases; operating leases are disclosed but never counted as debt. We subtract net debt from the value of the business — for HP that is about $6B, or $6 per share. Fundamentals are from the FY25 annual report and change only when a new one is filed. Price of $32.08 taken 2026-09-08 (Google Finance, manual entry, 2026-09-11) — it is not live and does not move during the day.

TickerMath is an educational tool, not investment advice — it computes one model from SEC filings and can be wrong. How we compute this →