Boston, MA 06/16/2014 (wallstreetpr) – Provider of software, technologies, and product solutions Hewlett-Packard Company (NYSE:HPQ) found fresh interests among investors following an optimism on the better than expected business PCs demand that was witnessed by chip maker Intel Corporation (NASDAQ:INTC). The chip maker had increased its revenue forecast for the June quarter and also for the full year. Therefore, traders and investors’ seem to bet that HP too might face a similar trend and that it could witness a better demand for its PCs.
Surge In Stock Price
As a result of renewed optimism from investors on the potential upside that HP stock provides, the stock reached a yearly high of $35.20, representing an increase of 5.4% from the closing price of $33.39 on June 12. The stock ended Friday’s regular trading with a gain of 5.3% at $35.16.
However, if the price of May 30 is taken into consideration, i.e. $33.50, the Friday’s closing price indicated a growth of 4.96% only, the net gain in June, compared to Friday’s gain of 5.3%. On the other hand, the stock surged 10.6% since Hewlett-Packard Company (NYSE:HPQ) announced its financial results for the first quarter on May 22 after the market closed.
For quite sometimes shares of the company are trading slightly above the technical barometers of 50-day, as well as, 200-day moving averages of $32.99 and $30.43 respectively.
Intel Outlook Boost
The reasons for a renewed interest in the counter of Hewlett-Packard Company (NYSE:HPQ) is that Intel Corporation (NASDAQ:INTC) has viewed business PCs demand better than it had expected and increased its revenue guidance for the second quarter and the full year. Being a PC maker, investors expect HP to benefit from the demand due to their dependence on it and it is time to enter the counter before being too late to join the bull party.
Though there are no analysts, who have either increased their earnings target of Hewlett-Packard Company (NYSE:HPQ) or price tag of it, sentiments have already struck investors. PCs sale have been witnessing a downside trend in the last few years due to the significant growth in the smart devices. It was a bit of a surprise for both analysts’ and investors’ that the demand from the business PC section is witnessing better than expected trend.