HP vs PTC

HP Inc. and PTC Inc. are contrasted here to inform readers about their business models, financial performance, and market context. This page presents a neutral, accessible comparison of how each company operates, generates value, and positions itself within the technology and software landscape for investors. Educational content, not financial advice.

HP Inc. and PTC Inc. are contrasted here to inform readers about their business models, financial performance, and market context. This page presents a neutral, accessible comparison of how each compa...

Comparison Snapshot

Key Financial Metrics

HPQ

Metric

PTC

$17.86B

Market Cap

$19.71B

30.39%

Potential Profit

30.86%

Hold

Analyst Rating

Buy

Why It's Moving

HPQ Dips as Morgan Stanley Flags IT Hardware Storm, Sparking Value Debate

Morgan Stanley slashed its HPQ price target by 10% to $18 while keeping an Underweight rating, dragging shares down 1.7% and pressuring peers like Dell.
Analysts highlight a 'perfect storm' in IT hardware, with HPQ underperforming the market by lagging S&P 500 gains amid a 13.65% monthly drop.
Despite pressure, HPQ trades at a low 7.2x P/E versus industry averages, fueling talk of undervaluation ahead of expected earnings growth.

Sentiment:

🐻Bearish

HPQ Dips as Morgan Stanley Flags IT Hardware Storm, Sparking Value Debate

Morgan Stanley slashed its HPQ price target by 10% to $18 while keeping an Underweight rating, dragging shares down 1.7% and pressuring peers like Dell.
Analysts highlight a 'perfect storm' in IT hardware, with HPQ underperforming the market by lagging S&P 500 gains amid a 13.65% monthly drop.
Despite pressure, HPQ trades at a low 7.2x P/E versus industry averages, fueling talk of undervaluation ahead of expected earnings growth.

Sentiment:

🐻Bearish

Investment Analysis

HP

HPQ

Pros

HP Inc. reported a 3% year-over-year increase in net revenue in Q3 2025, demonstrating top-line growth.
The company maintains strong profitability with a healthy gross profit margin above 21% and consistent dividend payments for 55 years.
HP has expanded its product portfolio with AI-powered solutions now comprising 25% of its offerings, supporting future growth.

Considerations

HP's net margin remains relatively low at around 4.8%, indicating limited profitability compared to some peers.
EPS declined from the previous year and an earnings growth slowdown of over 7% is expected, raising concerns about sustaining earnings momentum.
Recent insider stock sales and a notably negative return on equity may signal internal management or efficiency challenges.

PTC

Pros

PTC Inc.’s stock price around $190 reflects strong valuation from sustained demand in enterprise and industrial software markets.
The company focuses on growing revenue through innovative digital transformation products that align with industry trends.
PTC operates in a niche software sector with opportunities for expansion via partnerships and recurring subscription revenues.

Considerations

Recent stock price volatility with notable short-term declines suggests some market sensitivity or execution risk.
PTC faces competitive pressure from larger technology firms in the digital transformation and CAD software segments.
Exposure to macroeconomic fluctuations and technology spending cycles may create periodic revenue and profit headwinds.

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