Apple and HP are facing a rise in DRAM and NAND/SSD prices due to a supply shortage driven by AI data center demand. IDC expects PC vendors to increase prices as memory supply challenges persist, with PC shipments expected to decline in 2026. Apple’s Mac business is thriving with new features and the M5 chip, while HP is focusing on Generative AI-enabled PCs to boost sales. HP’s PC demand forecast raises concerns, while Apple’s diverse manufacturing base helps manage supply chain risks. The consensus earnings estimate for HPQ in fiscal 2026 is $3.00 per share, down 4% from fiscal 2025. Apple’s fiscal 2026 earnings estimate is $8.13 per share, up 9% from fiscal 2025. Apple shares have appreciated 10.3% in the past 12 months, outperforming HP, which has dropped 40.2%. HP shares are cheaper than Apple’s, with HPQ trading at 0.33X forward 12-month price/sales compared to Apple’s 7.83X. Apple’s strong Mac portfolio and HP’s focus on AI-enabled PCs will impact their growth trajectories differently. Apple is a Zacks Rank #3 (Hold) and HP is a Zacks Rank #4 (Sell).

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Read more at Nasdaq: Apple vs HP: Who Gains as AI PCs Rise and Memory Costs Surge?