HP INC (7HP.DE) Stock Fundamental Analysis
Europe - Frankfurt Stock Exchange - FRA:7HP - US40434L1052 - Common Stock
19.56 EUR
-0.31 (-1.56%)
7HP gets a fundamental rating of 5 out of 10. The analysis compared the fundamentals against 31 industry peers in the Technology Hardware, Storage & Peripherals industry. While 7HP is still in line with the averages on profitability rating, there are concerns on its financial health. 7HP is valued quite cheap, but it does not seem to be growing. Finally 7HP also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
7HP had positive earnings in the past year.
7HP had a positive operating cash flow in the past year.
Each year in the past 5 years 7HP has been profitable.
Each year in the past 5 years 7HP had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 7HP (6.05%) is better than 67.74% of its industry peers.
7HP has a better Return On Invested Capital (20.39%) than 83.87% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for 7HP is significantly above the industry average of 16.24%.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | N/A | ||
| ROIC | 20.39% |
ROA(3y)7.28%
ROA(5y)9.38%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)23.43%
ROIC(5y)27.93%
1.3 Margins
7HP's Profit Margin of 4.57% is fine compared to the rest of the industry. 7HP outperforms 64.52% of its industry peers.
In the last couple of years the Profit Margin of 7HP has declined.
The Operating Margin of 7HP (6.55%) is better than 67.74% of its industry peers.
7HP's Operating Margin has been stable in the last couple of years.
7HP has a worse Gross Margin (20.60%) than 77.42% of its industry peers.
7HP's Gross Margin has improved in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 6.55% | ||
| PM (TTM) | 4.57% | ||
| GM | 20.6% |
OM growth 3Y-6.95%
OM growth 5Y-1.18%
PM growth 3Y-2.79%
PM growth 5Y-1.85%
GM growth 3Y1.86%
GM growth 5Y2.26%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 7HP is creating value.
Compared to 1 year ago, 7HP has less shares outstanding
The number of shares outstanding for 7HP has been reduced compared to 5 years ago.
The debt/assets ratio for 7HP has been reduced compared to a year ago.
2.2 Solvency
The Debt to FCF ratio of 7HP is 3.45, which is a good value as it means it would take 7HP, 3.45 years of fcf income to pay off all of its debts.
The Debt to FCF ratio of 7HP (3.45) is better than 64.52% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.45 | ||
| Altman-Z | N/A |
ROIC/WACC2.92
WACC6.99%
2.3 Liquidity
A Current Ratio of 0.77 indicates that 7HP may have some problems paying its short term obligations.
7HP's Current ratio of 0.77 is on the low side compared to the rest of the industry. 7HP is outperformed by 87.10% of its industry peers.
A Quick Ratio of 0.48 indicates that 7HP may have some problems paying its short term obligations.
7HP's Quick ratio of 0.48 is on the low side compared to the rest of the industry. 7HP is outperformed by 93.55% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.48 |
3. Growth
3.1 Past
7HP shows a slight negative growth in Earnings Per Share. In the last year, the EPS has decreased by -7.67%.
The Earnings Per Share has been growing slightly by 6.64% on average over the past years.
The Revenue has been growing slightly by 3.24% in the past year.
The Revenue has been decreasing by -0.48% on average over the past years.
EPS 1Y (TTM)-7.67%
EPS 3Y-8.38%
EPS 5Y6.64%
EPS Q2Q%0%
Revenue 1Y (TTM)3.24%
Revenue growth 3Y-4.21%
Revenue growth 5Y-0.48%
Sales Q2Q%4.16%
3.2 Future
Based on estimates for the next years, 7HP will show a small growth in Earnings Per Share. The EPS will grow by 4.74% on average per year.
7HP is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 1.26% yearly.
EPS Next Y-1%
EPS Next 2Y1.55%
EPS Next 3Y4%
EPS Next 5Y4.74%
Revenue Next Year1.96%
Revenue Next 2Y1.67%
Revenue Next 3Y1.61%
Revenue Next 5Y1.26%
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 7.35 indicates a rather cheap valuation of 7HP.
Based on the Price/Earnings ratio, 7HP is valued cheaper than 96.77% of the companies in the same industry.
Compared to an average S&P500 Price/Earnings ratio of 26.59, 7HP is valued rather cheaply.
With a Price/Forward Earnings ratio of 7.44, the valuation of 7HP can be described as very cheap.
7HP's Price/Forward Earnings ratio is rather cheap when compared to the industry. 7HP is cheaper than 87.10% of the companies in the same industry.
The average S&P500 Price/Forward Earnings ratio is at 24.03. 7HP is valued rather cheaply when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.35 | ||
| Fwd PE | 7.44 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of 7HP indicates a rather cheap valuation: 7HP is cheaper than 83.87% of the companies listed in the same industry.
Based on the Price/Free Cash Flow ratio, 7HP is valued cheaper than 90.32% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 7.7 | ||
| EV/EBITDA | 6.06 |
4.3 Compensation for Growth
The decent profitability rating of 7HP may justify a higher PE ratio.
PEG (NY)N/A
PEG (5Y)1.11
EPS Next 2Y1.55%
EPS Next 3Y4%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 5.12%, 7HP is a good candidate for dividend investing.
7HP's Dividend Yield is rather good when compared to the industry average which is at 0.89. 7HP pays more dividend than 100.00% of the companies in the same industry.
Compared to an average S&P500 Dividend Yield of 1.87, 7HP pays a better dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.12% |
5.2 History
On average, the dividend of 7HP grows each year by 9.97%, which is quite nice.
Dividend Growth(5Y)9.97%
Div Incr Years6
Div Non Decr Years6
5.3 Sustainability
43.02% of the earnings are spent on dividend by 7HP. This is a bit on the high side, but may be sustainable.
7HP's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP43.02%
EPS Next 2Y1.55%
EPS Next 3Y4%
FRA:7HP (12/23/2025, 7:00:00 PM)
19.56
-0.31 (-1.56%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupTechnology Hardware & Equipment
GICS IndustryTechnology Hardware, Storage & Peripherals
Earnings (Last)
Earnings (Next)
Inst Owners84%
Inst Owner ChangeN/A
Ins Owners0.22%
Ins Owner ChangeN/A
Market Cap18.28B
Revenue(TTM)55.30B
Net Income(TTM)2.53B
Analysts56
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 5.12% |
Yearly Dividend0.99
Dividend Growth(5Y)9.97%
DP43.02%
Div Incr Years6
Div Non Decr Years6
Ex-DateN/A
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-0.64%
Min EPS beat(2)-1.12%
Max EPS beat(2)-0.16%
EPS beat(4)0
Avg EPS beat(4)-3.83%
Min EPS beat(4)-12.57%
Max EPS beat(4)-0.16%
EPS beat(8)1
Avg EPS beat(8)-2.72%
EPS beat(12)2
Avg EPS beat(12)-1.72%
EPS beat(16)5
Avg EPS beat(16)-0.81%
Revenue beat(2)2
Avg Revenue beat(2)0.4%
Min Revenue beat(2)0.08%
Max Revenue beat(2)0.72%
Revenue beat(4)3
Avg Revenue beat(4)0.11%
Min Revenue beat(4)-0.41%
Max Revenue beat(4)0.72%
Revenue beat(8)5
Avg Revenue beat(8)-0.4%
Revenue beat(12)5
Avg Revenue beat(12)-1.01%
Revenue beat(16)7
Avg Revenue beat(16)-1.11%
PT rev (1m)-7.62%
PT rev (3m)-6.16%
EPS NQ rev (1m)-2.51%
EPS NQ rev (3m)-2.94%
EPS NY rev (1m)-8.83%
EPS NY rev (3m)-8.9%
Revenue NQ rev (1m)-0.2%
Revenue NQ rev (3m)0.34%
Revenue NY rev (1m)0.35%
Revenue NY rev (3m)0.61%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 7.35 | ||
| Fwd PE | 7.44 | ||
| P/S | 0.39 | ||
| P/FCF | 7.7 | ||
| P/OCF | 5.83 | ||
| P/B | N/A | ||
| P/tB | N/A | ||
| EV/EBITDA | 6.06 |
EPS(TTM)2.66
EY13.6%
EPS(NY)2.63
Fwd EY13.44%
FCF(TTM)2.54
FCFY12.99%
OCF(TTM)3.36
OCFY17.16%
SpS50.19
BVpS-0.31
TBVpS-8.22
PEG (NY)N/A
PEG (5Y)1.11
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 6.05% | ||
| ROE | N/A | ||
| ROCE | 28.97% | ||
| ROIC | 20.39% | ||
| ROICexc | 28.97% | ||
| ROICexgc | 2551.3% | ||
| OM | 6.55% | ||
| PM (TTM) | 4.57% | ||
| GM | 20.6% | ||
| FCFM | 5.06% |
ROA(3y)7.28%
ROA(5y)9.38%
ROE(3y)N/A
ROE(5y)N/A
ROIC(3y)23.43%
ROIC(5y)27.93%
ROICexc(3y)32.57%
ROICexc(5y)41.53%
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)33.38%
ROCE(5y)40.28%
ROICexgc growth 3YN/A
ROICexgc growth 5YN/A
ROICexc growth 3Y-9.52%
ROICexc growth 5Y-18.88%
OM growth 3Y-6.95%
OM growth 5Y-1.18%
PM growth 3Y-2.79%
PM growth 5Y-1.85%
GM growth 3Y1.86%
GM growth 5Y2.26%
F-Score5
Asset Turnover1.32
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | N/A | ||
| Debt/FCF | 3.45 | ||
| Debt/EBITDA | 1.94 | ||
| Cap/Depr | 97.93% | ||
| Cap/Sales | 1.62% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 81.43% | ||
| Profit Quality | 110.72% | ||
| Current Ratio | 0.77 | ||
| Quick Ratio | 0.48 | ||
| Altman-Z | N/A |
F-Score5
WACC6.99%
ROIC/WACC2.92
Cap/Depr(3y)80.3%
Cap/Depr(5y)83.29%
Cap/Sales(3y)1.29%
Cap/Sales(5y)1.21%
Profit Quality(3y)105.09%
Profit Quality(5y)104.32%
High Growth Momentum
Growth
EPS 1Y (TTM)-7.67%
EPS 3Y-8.38%
EPS 5Y6.64%
EPS Q2Q%0%
EPS Next Y-1%
EPS Next 2Y1.55%
EPS Next 3Y4%
EPS Next 5Y4.74%
Revenue 1Y (TTM)3.24%
Revenue growth 3Y-4.21%
Revenue growth 5Y-0.48%
Sales Q2Q%4.16%
Revenue Next Year1.96%
Revenue Next 2Y1.67%
Revenue Next 3Y1.61%
Revenue Next 5Y1.26%
EBIT growth 1Y-13.76%
EBIT growth 3Y-10.87%
EBIT growth 5Y-1.66%
EBIT Next Year13.75%
EBIT Next 3Y5.38%
EBIT Next 5Y2.76%
FCF growth 1Y-11.31%
FCF growth 3Y-8.64%
FCF growth 5Y-5.6%
OCF growth 1Y-1.39%
OCF growth 3Y-6.08%
OCF growth 5Y-3.05%
HP INC / 7HP.DE FAQ
What is the fundamental rating for 7HP stock?
ChartMill assigns a fundamental rating of 5 / 10 to 7HP.DE.
What is the valuation status of HP INC (7HP.DE) stock?
ChartMill assigns a valuation rating of 8 / 10 to HP INC (7HP.DE). This can be considered as Undervalued.
How profitable is HP INC (7HP.DE) stock?
HP INC (7HP.DE) has a profitability rating of 6 / 10.
Can you provide the PE and PB ratios for 7HP stock?
The Price/Earnings (PE) ratio for HP INC (7HP.DE) is 7.35 and the Price/Book (PB) ratio is -62.28.
What is the expected EPS growth for HP INC (7HP.DE) stock?
The Earnings per Share (EPS) of HP INC (7HP.DE) is expected to decline by -1% in the next year.