HP Inc. reduces board size as two directors exit

Published 02/04/2025, 21:16
HP Inc. reduces board size as two directors exit

In a recent corporate restructuring, HP Inc. (NYSE:HPQ), a leading computer and office equipment manufacturer with a market capitalization of $26.29 billion, has announced a reduction in the size of its Board of Directors. This change comes as a result of two members, Aida Alvarez and Robert Bennett, deciding not to stand for re-election. According to InvestingPro data, HP maintains a FAIR financial health score and trades at an attractive P/E ratio of 9.88.

The Board, effective April 14, 2025, will be decreased from 15 to 13 directors, aligning with the departures of Alvarez and Bennett. The adjustment was made official on April 1, 2025, and was disclosed in HP’s latest 8-K filing with the Securities and Exchange Commission. The company’s stock currently trades near its 52-week low, while maintaining a consistent dividend yield of 4.17%.

HP Inc., headquartered in Palo Alto, California, has a long-standing reputation in the technology sector, previously known as Hewlett Packard Co. before its name change in 1992. The company’s fiscal year ends on October 31, and it is incorporated in the state of Delaware.

The company’s bylaws have been amended to reflect the new board structure, and this modification will take effect on the same day as the annual meeting, April 14. The amended and restated bylaws have been included as an exhibit in the 8-K filing, providing official documentation of the change.

As HP Inc. prepares for its annual meeting, the reduction in board members marks a notable shift in its governance structure. The information regarding this change is based on a press release statement and the recent SEC filing, ensuring transparency and providing shareholders with the latest corporate developments. InvestingPro analysis suggests the stock is currently undervalued, with analysts setting price targets between $30 and $40. For deeper insights into HP’s valuation and 13 additional ProTips, explore the comprehensive Pro Research Report available on InvestingPro.

In other recent news, HP Inc. reported its first-quarter earnings for 2025, revealing an earnings per share (EPS) of $0.74, which aligned with analyst forecasts. The company exceeded revenue expectations with $13.5 billion, surpassing the anticipated $13.38 billion. Despite meeting these financial targets, Loop Capital Markets lowered its price target for HP from $35.00 to $30.00, maintaining a Hold rating. This adjustment followed HP’s earnings report, which showed a 3% year-over-year revenue growth in constant currency, driven by strong commercial demand and the adoption of AI-powered PCs.

In other developments, HP unveiled new AI-driven PCs and quantum-safe printers at its Amplify Conference, highlighting over 80 AI-powered PCs and innovative printing solutions. The company’s strategic partnership with Reincubate aims to enhance video conferencing capabilities on its AI PCs. Additionally, HP is contemplating shifting some manufacturing to the United States, as stated by CEO Enrique Lores, amidst tariff considerations. These recent developments reflect HP’s ongoing focus on AI product innovation and supply chain diversification.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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