The rising demand for advanced technologies as part of the digital transformation of industries, and continued remote working, make the prospects bright for the computer hardware industry. As such, popular hardware manufacturers HP (HPQ) and Logitech (NASDAQ:LOGI) are well-positioned to capitalize on the industry tailwinds. But which of these stocks is a better buy now? Let’s find out.HP Inc. (NYSE:HPQ) in Palo Alto, Calif., and Logitech International S.A. (LOGI) in Apples, Switzerland are two well-known computer hardware manufacturers globally. HPQ provides personal computing and other access devices, imaging and printing products, related technologies, software, solutions, and services to individual consumers, small- and medium-sized businesses, enterprises, government, health, and education sectors worldwide. LOGI manufactures personal computer input devices that allow people to connect through music, gaming, video, computing, and other digital platforms worldwide. It offers its products to a network of domestic and international customers, including direct sales to retailers, e-tailers, and indirect sales through distributors.
With delays in office-reopening plans, enterprises are planning to strengthen their remote workforces. So, the computer hardware industry has been witnessing significant demand. Furthermore, the ongoing digital transformation is driving the need for computer hardware. The global computer hardware market is expected to grow at a 6% CAGR to $1.18 trillion by 2025. So, both HPQ and LOGI should benefit.
But while LOGI’s shares have declined 15% in price over the past nine months, HPQ surged 8.9%. In terms of their past year’s performance, HPQ is a clear winner with 45.9% gains versus LOGI’s 15% returns. But which of these stocks is a better pick now? Let’s find out.