NEW YORK (TheStreet) -- HP (HPQ) - Get Report stock is increasing by 1.57% to $10.98 in after-hours trading on Wednesday, following the release of the company's 2016 first quarter earnings. 

HP reported earnings largely in line with analysts' expectations in its first earnings release since the printer and personal computer company spun off its cloud business into Hewlett Packard Enterprises (HPE) in November.

The company posted adjusted earnings of 36 cents per share, in line with estimates. Revenue was $12.25 billion for the quarter, slightly above analysts' projections for $12.2 billion. 

Both earnings and revenue declined by 12% year-over-year, as HP reported earnings of 41 cents per share on revenue of $13.86 billion for the 2015 first quarter.

Revenue for the company's printing segment was $4.64 billion for the most recent quarter, compared to estimates for $4.84 billion, CNBC.com reports. Personal systems revenue came in at $7.47 billion in revenue, below forecasts for $7.57 billion. 

HP anticipates that 2016 second quarter earnings will range between 35 cents and 40 cents per share, while Wall Street is looking for earnings of 39 cents per share. 

Separately, TheStreet Ratings team rates the stock as a "buy" with a ratings score of B-.

HP's strengths such as its attractive valuation levels and largely solid financial position with reasonable debt levels by most measures outweigh the fact that the company shows low profit margins.

You can view the full analysis from the report here: HPQ

TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this article's author.

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