HPQ HP Inc.
too hard · 81
Owner-earnings value$34.73
Price$30.46
Margin of safety
+14.0%
Quality gate · 81/100
⚠ negative book equity
Median ROIC42.5%
Gross margin19.9%
Net debt / EBITDA1.7x
FCF conversion108%
Share count / yr-2.0%
Profitable years4/4
Moat & management
Owner-earnings inputs
| Owner earnings (TTM) | 2.59B |
| Owner-earnings yield | 9.4% |
| Free-cash-flow yield | 14.1% |
| Growth used (normalized) | 0.0% |
| Market-implied growth (reverse DCF) | -3.2% |
| Terminal growth | 3.0% |
| Discount rate (hurdle) | 10.5% |
Projected owner earnings
| Yr | Owner earnings | Growth | PV |
|---|---|---|---|
| 1 | 2.59B | 0.0% | 2.35B |
| 2 | 2.60B | 0.3% | 2.13B |
| 3 | 2.62B | 0.7% | 1.94B |
| 4 | 2.65B | 1.0% | 1.77B |
| 5 | 2.68B | 1.3% | 1.62B |
| 6 | 2.73B | 1.7% | 1.49B |
| 7 | 2.78B | 2.0% | 1.38B |
| 8 | 2.85B | 2.3% | 1.28B |
| 9 | 2.92B | 2.7% | 1.19B |
| 10 | 3.01B | 3.0% | 1.10B |
⚠ maintenance capex ≈ min(capex, D&A), capped at FCF · Price pays for ~-3%/yr owner-earnings growth over 10y (reverse DCF); model credits 0%.