What to Expect From HP’s Q1 Results?
<p>Analysts at Deutsche Bank provided their outlook on <a href='https://financialmodelingprep.com/financial-summary/HP'>HP Inc. (NYSE:HPQ) </a>ahead of the company’s Q1 results, expected to be reported on Feb 28. The analysts anticipate Q1 results and Q2 guidance to be driven by supply chain constraints and not the demand environment but with industry data pointing towards mid-single-unit PC growth in Q4 for the company with a positive mix shift, they believe that Street revenue estimates for -1% growth quarter-over-quarter in Q1 could end up being too low. </p>
<p>However, the analysts see some risks on the gross margin side as their industry checks and other IT hardware companies point towards deteriorating supply chain dynamics starting in December. For Q2, while the analysts see some potential for a better outlook than typical seasonality on a healthy demand environment and a backlog, they believe Street's outlook for roughly flat EPS sequentially is too optimistic considering the gross margin pressure seen throughout the IT hardware industry. </p>

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