HP dials back profit expectations on PC market slump, China weakness
HP Inc tempered its annual profit expectations due to a prolonged slump in the personal computers segment and sluggish demand in China.
/cloudfront-us-east-2.images.arcpublishing.com/reuters/D6MGAOJTMBNR5CM74HUCRWNK6M.jpg)
Topics
Posted 8/29/2023, 8:56:00 PM
reuters.com
Relevant topic timeline:
HP Inc. has reported disappointing earnings due to weak demand for printers and lower-than-expected prices for personal computers, leading to a drop in their stock.
HP Enterprise reported strong earnings, fueled by growth in the networking business and high demand for high-performance computing and generative artificial intelligence hardware and services.
HP Inc.'s stock dropped 10.7% in after-hours trading following mixed financial results and a cautious outlook, with CEO Enrique Lores noting that the external environment has not improved as expected and PC pricing has been a challenge, but the availability of AI products in late 2024 is expected to boost sales.
Shares of HP Inc., the maker of personal computers and printers, are falling as the company cuts its earnings outlook, but this short-term pain could lead to long-term gains.
PC-making giant HP Inc. experienced a plunge in shares as tepid demand for computers led to a full-year profit warning, highlighting the ongoing challenges of the PC market.