UPDATE: Goldman Sachs Reiterates Neutral Rating, Lowers PT on Hewlett-Packard Company

In a report published Friday, Goldman Sachs Group reiterated its Neutral rating on Hewlett-Packard Company (NYSE: HPQ), but slightly lowered its price target from $21.00 to $20.00.Goldman Sachs noted, “Our new forecast for FY2013 EPS is $4.00, and this assumes cyclical and secular pressures continue through much next year. Nevertheless, given the many uncertainties across HP's key divisions, we also lay out a bull and bear case for each segment. The worst case scenario, pulling together the bear cases for all segments, assumes that EPS declines by 23.4% to $3.10 in FY2013. On the flip side, the best case scenario would generate EPS growth of 13.7% to $4.60. Both of these scenarios are meant to highlight the extreme cases for each business segment, but given the secular challenges HP faces and management's desire to set an achievable target, we assume HP's FY2013 guidance will come in at or below our $4.00 estimate for FY2013. While we believe the significant decline in HP's stock price this year has certainly reflected many of the challenges we have outlined, we continue to believe that the potential for future earnings disappointments and the instability in the business should keep investors on the sidelines.”Hewlett-Packard Company closed on Thursday at $17.23.