HP (HPQ) has given investors plenty to celebrate in 2026, but Aug. 26 could be the next major test. The PC maker is scheduled to report its fiscal third-quarter results after the market closes, giving investors a fresh look at whether the artificial intelligence (AI) PC boom is translating into sustainable growth. HPQ stock is already up roughly 31% year-to-date (YTD), compared with the S&P 500's ($SPX) return of 13% so far this year.
The stock has also climbed from a 52-week low of $17.56 to recently trade above the $29 level. A $20 Billion Reason Why Intel Stock Is in Focus Marvell Technology (MRVL) Stock Might Offer a Quick Bounce Before Earnings Most Analysts Still Aren't Bullish on Tesla Stock, Even After Recent Selloff. Tired of missing midday reversals?
The FREE Barchart Brief newsletter keeps you in the know. That rally makes the upcoming earnings report particularly important. Investors will want to know whether HP can continue growing revenue while dealing with rising memory, storage, and processor costs.
Despite its rally, HP doesn't look expensive. HPQ stock trades at roughly 8.9 times trailing earnings and about 10 times forward earnings. Its price-to-sales (P/S) ratio is also only 0.49 times, which is far lower than the broader industry average.
HP's most recent quarterly results give investors a solid reason to remain optimistic heading into the Aug. 26 report. For fiscal Q2 2026, the company generated $14.41 billion in revenue, up 9% year-over-year (YOY) and above Wall Street's $14 billion estimate. Non-GAAP EPS came in at $0.86 per share, up 21% YOY and comfortably beating the $0.71 consensus estimate.
The Personal Systems business was especially strong, with revenue increasing 13% to $10.2 billion. AI PCs also represented about 44% of shipments, up from roughly 35% in the previous quarter. Management expects fiscal Q3 EPS of $0.61 to $0.71, with the midpoint of $0.66 slightly above the $0.64 consensus estimate.
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