Why Hewlett-Packard Will Underperform in 2013
Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, embattled IT giant Hewlett-Packard has received a distressing two-star ranking.
With that in mind, let's take a closer look at Hewlett-Packard and see what CAPS investors are saying about the stock right now.
Hewlett-Packardfacts
Headquarters (founded) | Palo Alto, Calif. (1939) |
Market Cap | $28.2 billion |
Industry | Computer hardware |
Trailing-12-Month Revenue | $120.4 billion |
Management | CEO Margaret Whitman (since 2011) CFO Catherine Lesjak (since 2007) |
Return on Equity (average, past 3 years) | (0.6%) |
Cash/Debt | $11.3 billion / $28.4 billion |
Dividend Yield | 3.7% |
Competitors | Accenture Dell IBM |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 10% of the 3,846 members who have rated Hewlett-Packard believe the stock will underperform the S&P 500 going forward.
Just last week, one of those Fools, JohnStuartMill, succinctly summed up the Hewlett-Packard bear case for our community:
PCs are a dead industry and the [Hewlett-Packards] and [Dells] of the world are behemoths which just aren't nimble enough to create fast enough or take enough risk for a big reward. Even Lenovo has seemed to have taken over as the best stock for the PC industry. [Hewlett-Packard] is at its stage in a stocks life of just buying companies and integrating them in order to keep the semblance of growth.
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The article Why Hewlett-Packard Will Underperform in 2013 originally appeared on Fool.com.
Fool contributor Brian Pacampara has no positions in the stocks mentioned above. The Motley Fool owns shares of International Business Machines. Motley Fool newsletter services recommend Accenture and International Business Machines. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
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