PALO ALTO, Calif. (

TheStreet

) --

Hewlett-Packard

(HPQ) - Get Report

is gearing up for a

good

2010 thanks to services, storage and networking, according to analyst firm Goldman Sachs.

The tech bellwether, which was one of the

TheStreet's

top tech picks

for 2009, recently posted strong

fourth-quarter

results, and has

forecast

a return to

growth

next year.

Goldman is singing the company's praises after a recent meeting with H-P CEO

Mark Hurd

.

"There are multiple opportunities over the near and intermediate term to drive revenue growth and margin improvement, which we think will ultimately lead to a series of quarters with earnings upside," wrote analyst David Bailey, in a recent note. "On the top line, HP continues to expand its total available market, with the biggest opportunities coming from services, storage, and networking."

Networking is certainly

looming large

in H-P's future after its surprise $2.7 billion

acquisition

of

3Com

(COMS)

. H-P is on a mission to

challenge

Cisco

(CSCO) - Get Report

after the networking giant entered the server market earlier this year, and 3Com is also expected to open up new revenue in

China

.

There is a feeling, however, that it could be some time before H-P reaps the benefits of this strategy. Bailey says that the company's storage and networking initiatives may take several quarters to contribute significant revenue, although H-P's services business should fill this vacuum.

"An extremely strong quarter of services signings (many in accounts new to HP), and a building pipeline of new deals, suggest that the growth in HP's services business should pick up in the near term," he wrote. "In services, we think that HP has made significant progress in its outsourcing and maintenance businesses."

The analyst acknowledges, however, that there is still "ample room for improvement" in both H-P's outsourcing and its maintenance businesses. H-P's services revenue increased 8% to $8.9 billion during its recent fourth quarter, although it still lags behind

IBM

(IBM) - Get Report

's quarterly services signings of $11.8 billion.

H-P, which competes with

EMC

(EMC)

and

NetApp

(NTAP) - Get Report

, also has its eye on

cloud services

, recently

buying

storage software specialist

Ibrix

for an undisclosed fee.

Cloud services, which let users access computer and storage services via the Internet, are becoming increasingly popular, prompting something of an arms race between companies like H-P, IBM and

Oracle

(ORCL) - Get Report

.

H-P also has been attempting to exploit Oracle's purchase of

Sun Microsystems

(JAVA)

, recently

fluttering its eyelashes

at worried Sun customers.

Within H-P itself, Hurd has focused heavily on

cost control

,

cutting jobs

in the midst of the recession. Although the CEO has his critics, notably for his

compensation package

, Hurd is still admired on Wall Street and is credited for getting H-P back on track after the departure of his predecessor Carly Fiorina.

"In addition to HP's efforts to improve its operating margin through headcount cuts and mix, the company is also working to standardize its supply chain across product lines and geographies," wrote Bailey, who rates the company a 'Buy'. "We think that earnings upside will serve as a catalyst for multiple expansion."

Even with

weakness

in core businesses, such as its printer division, and the impact of lower-priced PCs, H-P remains something of an analyst darling.

The computer and server maker enjoyed a

slew

of price target and estimates raises following its fourth-quarter results, and the company's stock has risen more than 35% this year.

-- Reported by James Rogers in New York