H-P (HPQ) Shares Continue Lower Following Long-Term Update
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Price: $30.11 -3.8%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 4%
Revenue Growth %: +2.9%
Overall Analyst Rating:
SELL (= Flat)
Dividend Yield: 4%
Revenue Growth %: +2.9%
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Hewlett-Packard (NYSE: HPQ) is seeing some additional selling Friday following Wednesday's analyst event where the company got down to business about what was wrong with the company.
At $14.75 or so, shares are trading at a nine-year low...back when the company drew most of its revs from printer and accessory sales.
CEO Meg Whitman's comments from the analyst day event (here) expressed the real underlying issues at the PC giant. Costs are high, sales force is weak/under compensated, inventory is vast. Other than internal issues, H-P also has diversifying tastes taking hold as more consumers opt out of traditional PCs for portable notebooks, ultrabooks, and tablets.
What's more is that corporate spending hasn't rebounded as much as many in the tech segment would have hoped. Big corporations are still running older equipment with many waiting until later into 2013 until Windows 8 and a new round of server technology is tried and tested.
Whitman acknowledged the challenges, saying the H-P wouldn't see a rebound until 2015...an eternity in the tech industry. H-P peer Dell, Inc. (Nasdaq: DELL) is seeing some of the fallout as well, with shares at three-year lows.
Shares are still pricing in the news, down about 1.2 percent on the session. Since Tuesday night, H-P stock has dropped 14 percent to 15 percent, erasing about $4 billion of market cap in the process.
At $14.75 or so, shares are trading at a nine-year low...back when the company drew most of its revs from printer and accessory sales.
CEO Meg Whitman's comments from the analyst day event (here) expressed the real underlying issues at the PC giant. Costs are high, sales force is weak/under compensated, inventory is vast. Other than internal issues, H-P also has diversifying tastes taking hold as more consumers opt out of traditional PCs for portable notebooks, ultrabooks, and tablets.
What's more is that corporate spending hasn't rebounded as much as many in the tech segment would have hoped. Big corporations are still running older equipment with many waiting until later into 2013 until Windows 8 and a new round of server technology is tried and tested.
Whitman acknowledged the challenges, saying the H-P wouldn't see a rebound until 2015...an eternity in the tech industry. H-P peer Dell, Inc. (Nasdaq: DELL) is seeing some of the fallout as well, with shares at three-year lows.
Shares are still pricing in the news, down about 1.2 percent on the session. Since Tuesday night, H-P stock has dropped 14 percent to 15 percent, erasing about $4 billion of market cap in the process.
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