Jefferies Reiterates Buy, PT of $35 on Hewlett-Packard

Jefferies maintains its Buy rating and price target of $35 on Hewlett-Packard Company (NYSE: HPQ) as the company posted solid FQ4 results and new CEP lowered guidance.

According to Jefferies, “FQ4 revenues were driven by PCs and software. PC margins were better due to channel demand post the Thailand floods. New CEO Meg Whitman reset forward estimates with guidance well below JEF and consensus. We believe HPQ will be able to exceed these conservative targets. We remain well above guidance but cut EPS to $4.40 (guidance >$4.00).”

HPQ closed at $26.86 per share on Monday.