As previously reported, Bernstein analyst A.M. Sacconaghi, Jr. downgraded HP Inc. to Market Perform from Outperform, with a $20 price target. With supplies growth expected to be negative in both 2019 and 2020, and supplies now having declined at a 4% CAGR since 2011, the analyst worries that printing may be facing greater structural headwinds from the shift to digital and increased pressure from cloned/remanufactured supplies. In short, there is a higher likelihood the printing business is a "melting ice-cube" - despite myriad efforts by HP to improve the business - and the stock accordingly warrants a lower multiple, he contends.

In the firm's Q1 letter to investors, David Einhorn's Greenlight Capital disclosed new long positions taken during the quarter, including taking stakes in HP Inc. (HPQ), Penn Entertainment (PENN) and Roivant Sciences (ROIV). In the letter, the firm stated that it established a new "medium-sized position" in Penn at an average price of $22.69 per share, arguing that "were the market to credit PENN with merely 15% of DraftKings' value, [Penn's ESPN BET] segment alone would be worth $20 per share." On HP Inc., Greenlight stated that it had established an initial position at an average price of $30.76 per share, adding that it believes "that we are, at a minimum, on the cusp of a normal PC refresh cycle, which should drive earnings above estimates." On Roivant, Greenlight said it had established a "small long position," adding that "in addition to an exciting pipeline, ROIV has a strong track record of positive trial results and successful monetization of pharmaceutical assets." Einhorn's Greenlight Capital also noted that it reduced its Teck Resources (TECK) long position into strength during Q1 and that the firm bought a "small position" in Liberty Global (LBTYA) during Q1.

Ferrari (RACE) announces that Ferrari S.p.A. has signed a multiyear partnership agreement with HP Inc. (HPQ), through which its brand will appear on racing properties of Scuderia Ferrari.