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Strategies & Market Trends : Value Investing

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To: Brian Sullivan who wrote (47180)3/24/2012 10:49:00 AM
From: Dennis 3  Read Replies (2) of 78774
 
HPQ is the screaming buy.

debt/equity is better than ibm. (ibm financing business may be the reason)

ROE 18avg
ROTC 16
P/E 8. price/cash flow even better. earnings growth 15% last ten years
growth in equity

HP products and software/services are in every data center. HP and IBM are the only one stop shop for a data center from servers, SAN, software, and monitoring.

The reason for the sell off IDK, but IMO uncertainty around management last yr, expensive acquisition. Fund managers dumped the dogs to raise money as investors pulled money out(tax savings also). When you see managers like Paulson dump other people ask why they should buy or own.
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