HP Inc, known by the ticker symbol HPQ, is a large-cap computer hardware manufacturer, operating in the technology business sector. This is my third report on HPQ for this Viital dog of the week stock portfolio. I last discussed it on December 1, last year.
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HP Inc. is a leading provider of computers, printers, and printer supplies.
The company's three operating business segments are its (1) personal systems, containing notebooks, desktops, and workstations; (2) its printing segment which contains supplies, consumer hardware, and commercial hardware; (3) corporate investments.
It serves individual consumers, small- and medium-sized businesses, and large enterprises, including customers in the government, health, and education sectors.
The company was formerly known as Hewlett-Packard Company and changed its name to HP Inc. in October 2015.
HP Inc. was founded in 1939 and is headquartered in Palo Alto, California. |
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HPQ Dividends
HP Inc's most recent quarterly dividend of $0.25 is payable to shareholders April 6th, to shareholders on record as of March 8th. The HPQ Annual estimated dividend payout per share of $1.00 yields 2.68% per yesterday's $37.33. closing price.
HPQ has paid quarterly dividend payouts increasing annually since January, 1990. That stretch marked 32 years last month.
HPQ Returns
Adding the $1.00 annual HPQ forward-looking dividend to its estimated one-year price upside of $2.67 shows a $3.67 potential gross gain, per share, to be reduced by any costs to trade HPQ shares.
At yesterday's $37.33 price per share, a little over $1000 would buy 27 shares.
A $10 broker fee (if charged) would be paid half at purchase and half at sale and might cost us about $0.37 per share.
Subtract that maybe $0.37 brokerage cost from my estimated $3.67 gross gain estimate per share results in a net gain of $3.30 X 27 shares = $89.10 for a 8.9% net gain on a $1,007.91 investment.
So it is that HP Inc (HPQ) shows a possible 8.9% net gain including a 2.68% forward estimated dividend yield.
Over the next year at this time our $1000 investment in HP Inc (HPQ) could generate $26.80 in cash dividends alone. Note that a single share of HPQ stock bought at Friday's share price of $37.33 is over $10 more than the dividend income from $1000.00 invested. So, by my dogcatcher ideal, now is not the time to pickup HP Inc, (HPQ) shares. The estimated next-year dividend from $1K invested is $10.53 less than HPQs single share price. Consider yourself alerted. Its a sign! Wait for HPQ shares to pull back to $31.50.
All of the estimates above are speculation based on the past history of HP Inc, (HPQ). Only time and money invested in this stock will determine its market value.
