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In the past few years, HP has run into a number of failed ventures without considerably recovering from the impact of declining printer sales.

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Hewlett-Packard, from being one of the most successful companies in the tech sphere, has been on a downward spiral for some years. The company rose to the heights of success with its printer business but given the retarded sales of printers in recent years, it has been declining in its profits.  Now, an analyst has pegged HP’s stock value at negative $2, calling the company utterly worthless.


HP

In the past, HP has tried to pull together a come-back. But it has failed. Not long ago, the company stepped into the tablet market, an experience which ended up in an abysmal failure. Eventually, the company had to sell out its tablet at a price which was even lower than its cost price, clearly manifesting how unsuccessful the venture had been.

The company also tried to put its foot into the smartphone market by launching webOS handsets. That, too, turned out to be a major disappointment for HP as iOS and Android devices took over the mobile industry by storm.

Although there has been top-level changes in the management of the company, the fact is that HP is struggling to stay relevant. We have heard rumors that HP may oust a smartphone sometime in future but there seems to be no concrete deadline and every passing day reduces the chances of success for a possible smartphone release.

It is in light of all this that the Sterne Agee analyst Shaw Wu has deemed HP worthless, stating, “We’ve given them the benefit of the doubt. They are blaming everything on the economy. But the problems they have are not economy-related. If that’s the case, why are Apple and IBM doing well? To us that makes no sense. So we think the problems are structural.”

Source: Business Insider

Courtesy: BGR

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  On October 7, 2012(2 years, 8 months ago.)

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