Global PC market leaders Hewlett-Packard, Dell, two companies recently issued the quarterly report
Friday, February 26th, 2010Global PC market leaders Hewlett-Packard, Dell has announced the two companies recently reported quarter, Hewlett-Packard expected to bear more performance is acceptable, exceeding Wall Street’s profit expectations for its two years. Dell may not be so lucky in the past eight quarters, with three-quarter did not reach the average analyst forecast.
Wall Street optimistic about PC sales
According to Hewlett-Packard in 2010 first-quarter results, the company net profit reached 2.32 billion U.S. dollars, up 25%; the total turnover of 31.2 billion U.S. dollars, earnings per share were 1.10 U.S. dollars, all the data exceeded the average analyst forecast . Dell’s performance but it falls short of its 2010 fiscal year net profit of 334 million U.S. dollars in the fourth quarter, down 4.8%.
Analysis of earnings of both companies can be found, Hewlett-Packard and Dell are the trade surplus up 11 times, even so, over the past one years, Dell shares rose 51%, higher than HP’s 38%. But there are analysts saying it does not take into account the cash position of the two companies will be more optimistic predictions, HP will have a 10-fold year on year trade surplus, Dell, there are 6 times.
JP Morgan Chase & Co. analyst Makemosi Markowitz noted that, in the field of business PC, Hewlett-Packard’s market share has more than Dell. He wrote in a research report, in the end of 2010 or early 2011, HP will become the corporate PC refresh cycle of the greater beneficiary, as the area is close to the server update cycle, Hewlett-Packard in the PC and server market, there will be more favorable performance.
PC demand is rising
PC giant Hewlett-Packard and Dell have said they expect more companies will replace the aging PC, but this will be a gradual process. The recent period, the company spending with the economic situation turns for the better rising, investors and then hope that PC manufacturers benefit from it, but the forecasts for these investors is no doubt served a cool their heads.
Benefited from increased consumer demand, Dell Latitude D410 battery,Latitude D420 battery and Hewlett-Packard posted strong earnings data, which also proves that the PC market, analysts made a rebound of view. However, in the PC market forecast of the forthcoming resumption of the sound, the two companies have proposed should be cautious. Most market analysts agree that the technology needs of enterprises rebound at any time.
Giant to accelerate into the Chinese market
Dell recently said that its Asian business growth continues to lead the company as a whole. Which the Chinese market is expected to maintain double-digit growth. Steve Felice, president Dell’s services for SMEs, said effective range of the Chinese Government has introduced measures to stimulate the economy, the Chinese market the company’s revenue this year is likely to continue to achieve double-digit growth. It is reported that Dell’s business in the Chinese market over the last quarter of just 81% growth. China is now after the United States Dell’s second-largest market.
On the other hand, according to Hewlett-Packard reported a performance of emerging markets, HP’s outstanding performance in the key financial process, in the BRIC countries (Brazil, Russia, India and China), Hewlett-Packard sales jumped 41%, in Europe, some regional performance has exceeded expectations. Company CEO Mark Hurd said that through technological innovation, the company gained from the hands of competitors, market share.
As the world’s first sales of technology, Hewlett-Packard because of its business diversification, breadth of market coverage, accurate cost control and stable financial performance of the highly conservative investors of all ages. The Dell is still a paradigm shift is more speculative, although the performance in the stock market last year, better than HP, Dell Inspiron E1505 battery,Inspiron E1705 battery, corporate PC sales are still over-reliance. In other words, Dell may be warmed up from the PC consumer market, riding the momentum. At present, HP has already shifted its focus to IT services business more profitable areas, which allows more flexibility in the hardware industry, while helping to improve the performance of the company’s overall profitability, which is exactly what Dell’s current direction.
