Shares of technology company Hewlett-Packard (NYSE: HPQ) edged slightly higher in Tuesday mid-day trading, after an analyst raised his price target for the company on strength from its core businesses.

Keith Bachman of Banc of America Securities, raised his target price for the company to $47 from $44, reiterating his Buy rating. He believes the firm should earn $2.55 per share, up from his previous estimate of $2.50 for the 2007 fiscal year.

Shares of the company rose 1.26 percent, or $0.53 to $42.63 in morning trading on the New York Stock Exchange.

Bachman said research indicates that the Palo Alto, Calif.-based company performed well in its January quarter. He cited strength in the company’s printer, PC and enterprise services

Our bullish view on HP is based on ongoing margin upside potential and attractive valuation, rather than a belief that the stock will move hard off the quarter, he writes.

For the quarter, he expects 8 percent revenue growth year-over-year in PCs, with 3.8 percent growth in enterprise systems and 6 percent in printers.