Message Font: Serif | Sans-Serif
 
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next
Author: rationalwalk Big red star, 1000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 212394  
Subject: Re: Way OT: Are computer manufacturers dying? Date: 10/3/2012 5:42 PM
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Recommendations: 9
In my opinion, HP traded down so sharply today primarily because a true "recovery" for the company appears to be out into 2015 based on management's comments during the investor day. That is an eternity for most investors and especially for managers evaluated against a benchmark each quarter or year.

I'm not sure what to make of HP and have spent the past year (thankfully) lowering the target price I set for a possible buy. I feel much like I did following RIMM during its long decline. Both seemed cheap on a trailing basis and even forward numbers were enticing. Successful value investors were involved.

I don't think there is much left of HP's "brand" anymore and doubt anyone would pay a premium for a box with HP on it. I'd venture to say that the only premium pricing power that exists anymore in computers is associated with the glowing Apple logo.

I like to follow the data and numbers and avoid emotions but when my gut tells me to pass, I don't argue. I owe a debt to Warren Buffett for the "no called strikes" analogy which has saved me more money than I've missed in lost opportunities over the years.
Post New | Post Reply | Reply Later | Create Poll . Report this Post | Recommend it!
Print the post  
UnThreaded | Threaded | Whole Thread (5) | Ignore Thread Prev | Next

Announcements

Post of the Day:
Value Hounds

Kate Spade's Wild Ride
What was Your Dumbest Investment?
Share it with us -- and learn from others' stories of flubs.
When Life Gives You Lemons
We all have had hardships and made poor decisions. The important thing is how we respond and grow. Read the story of a Fool who started from nothing, and looks to gain everything.
Community Home
Speak Your Mind, Start Your Blog, Rate Your Stocks

Community Team Fools - who are those TMF's?
Contact Us
Contact Customer Service and other Fool departments here.
Work for Fools?
Winner of the Washingtonian great places to work, and "#1 Media Company to Work For" (BusinessInsider 2011)! Have access to all of TMF's online and email products for FREE, and be paid for your contributions to TMF! Click the link and start your Fool career.
Advertisement