Core Viewpoint - HP Inc. has been downgraded from Outperform to In Line by Evercore ISI, with a price target maintained at $29.00, indicating limited upside potential in the near term due to various challenges in the market [1][4]. Group 1: Market Outlook - The PC market is expected to sustain growth, with a total addressable market (TAM) projected to increase in the mid-single digits, driven by the Windows 11 upgrade cycle continuing into FY26 [4]. - The printing segment is anticipated to experience a low single-digit decline, presenting challenges for the company [2][4]. Group 2: Company Performance and Strategy - HP has largely mitigated tariff impacts through supply chain adjustments and cost-cutting measures, with nearly all North American products now manufactured outside of China [2][4]. - Recent strength in the PC segment may be temporary, driven by customers purchasing ahead of anticipated tariffs, which could pose risks to demand estimates for FY26 [3][4]. Group 3: Competitive Landscape - Increased competition from Dell is noted, particularly as Dell refocuses on stabilizing its market share in the PC segment [3][4]. - The company faces headwinds in its printing division, especially in the office segment, which could further impact overall performance [3][4].