H-P (HPQ) "is a conglomerate in which all the cylinders have stopped firing at once," writes the...

H-P (HPQ) "is a conglomerate in which all the cylinders have stopped firing at once," writes the FT. The company's PC division, IT services operation, and servers and hardware business are all struggling, while its lucrative printing division is facing decline. And that's not to mention the firings of three CEOs, a boardroom spying scandal, and multiple megabillion-dollar deals that have gone wrong, the latest of which is Autonomy.

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Comments (15)
  • Leftfield
    , contributor
    Comments (4061) | Send Message
    HP is a cautionary example of a stupendously overpaid top management which felt free to squander tens of $billions for acquisitions rather than maintain a quality operation and guide it with a viable long-term vision.


    Meg Whitman is just the latest example produced by this BOD whose background was running Ebay without distinction while it was growing rapidly while reaping lush bonuses. There is no sign she can succeed in a situation where reversals that she helped create are growing so alarmingly.
    25 Nov 2012, 09:42 AM Reply Like
  • wyostocks
    , contributor
    Comments (9113) | Send Message
    Read and take heed all you HP bulls out there.
    Next discussion will be about the break up value of each business unit.
    25 Nov 2012, 10:39 AM Reply Like
  • change is the only constant
    , contributor
    Comments (2242) | Send Message
    TBTM (Too big to manage). There is a real limit to how much technology can be managed by managers who are not scientists. There is a limit also as to how much management can be managed by scientists.


    HP is at its limits. The choice is a managed decline or a reinvention. Which way to bet?
    25 Nov 2012, 10:43 AM Reply Like
  • Sal Marvasti
    , contributor
    Comments (1354) | Send Message
    is intel an HP or a nokia ?
    25 Nov 2012, 11:00 AM Reply Like
  • User 356806
    , contributor
    Comment (1) | Send Message
    Most if not all of the bad news is in the stock. Good things can happen. buy hpq on all dips . sell the rips. stock is headed back to the 16 area by January if not sooner. Dividend is safe. Yields over 4%.
    25 Nov 2012, 04:25 PM Reply Like
  • Tack
    , contributor
    Comments (16269) | Send Message
    In a company where the various recent CEO hirings and firings have suggested an element of poltical correctness, more than business acumen, the resulting chaos is hardly surprising.
    25 Nov 2012, 11:49 AM Reply Like
  • GaltMachine
    , contributor
    Comments (2068) | Send Message
    On a Price to Sales Ratio (PSR) you can really see the long term decline of this company from a shareholder's point of view.


    Current PSR is around 0.2 vs a 10yr average in the 0.75 range and peaked at 1.28 in October 2007.




    If it ever reverts to trend this would be a really good time to enter on a long-term basis. If you are a holder now and bought in the higher range, well, I wish you good luck!
    25 Nov 2012, 11:57 AM Reply Like
  • untrusting investor
    , contributor
    Comments (9903) | Send Message
    Good way to look at the HPQ decline.
    25 Nov 2012, 02:08 PM Reply Like
  • deercreekvols
    , contributor
    Comments (9495) | Send Message
    The Board must be held accountable for the failures at H-P. Meg Whitman was given carte blanche and she has seemingly destroyed the company.


    It may be too late, but the Board needs to be fired. At least show the shareholders that there is something to hold on to. The smoke and mirrors charges by H-P about Autonomy blew up in their face. It was never about Automony. It was about deflecting the fact that the acquisition was another loser.


    (This comment was typed and sent via and H-P laptop that was purchased on sale. Tis the season for a good sale, you know.)
    25 Nov 2012, 02:24 PM Reply Like
  • Petrarch
    , contributor
    Comments (1126) | Send Message
    HP is not too big to manage and to blame crrent management and Whitman or even Apotheker is absurd, they have been in decline since the Compaq deal


    HP used to be known for its innovation - yet by betting on PC's they moved ino an area where the innovation is outsourced to MSFT and Intel - there is none to little innovation in PC - unless it is through the logistics chain as Dell did for a while - otherwise it is just outsourced assembly and lowest common denominator pricing


    HP went from spending a lot on R&D to very little as a % of sales -look it up.


    HP's current troubles are rooted in the Compaq decision and the subsequent change in strategy - can they come back - doubtful but the road forwrd is to divest the PC business and rediscover their innvoation mojo


    25 Nov 2012, 02:27 PM Reply Like
  • Uncle Pie
    , contributor
    Comments (4322) | Send Message
    Anyone want to hazard a guess as to when HP gets kicked out of the Dow Jones Industrial Average?
    25 Nov 2012, 03:10 PM Reply Like
  • TwistTie
    , contributor
    Comments (2429) | Send Message
    When all of the negative news is behind us and HPQ is a screaming buy.
    25 Nov 2012, 04:18 PM Reply Like
  • varan
    , contributor
    Comments (5685) | Send Message
    This will be the fate of most American corporations sooner or later.


    History will record that the decline of America, if not stopped by saner people, was caused by the financialization and MBAization of all walks of American life.


    Luckily we saved ourselves and gave ourselves a bit more time by refusing to be taken over by an MBA LBO scam artist, a destroyer of pensions and American jobs.
    25 Nov 2012, 05:28 PM Reply Like
  • 1980XLS-2.0
    , contributor
    Comments (528) | Send Message
    Hope & Change just kicking in.


    Just the second inning.


    Enjoy the game.
    25 Nov 2012, 11:40 PM Reply Like
  • craig horton
    , contributor
    Comment (1) | Send Message
    Well, well, well, one assumes that all these comments are from non HP employees. It seems to me after reading these articles, that a certain distaste for HP is the common thread. I remember my Grandfather saying...."if you have nothing positive or constructive to say, keep quiet"
    so, let the flood gates open.....
    26 Nov 2012, 01:53 AM Reply Like
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