Cindy Shaw
Cindy Shaw
adapting changing existing focused instead longer model perfecting
We think Dell has been too focused on perfecting its existing model instead of adapting it to a changing environment. What was working for them before is no longer working.
concerns cost credit cutting finally fully improving investors possibly putting realizing reflected rest
We think Hewlett-Packard will finally get credit for improving execution, possibly putting to rest concerns (H-P) is a cost-cutting story that is fully reflected in the stock. We think investors are finally realizing that cost cutting is only part of the story.
bit mixed results toward
The results are mixed with a near-term bit toward the negative.
earnings management quality tactic
We do not look favorably upon this tactic as we think it reduces quality of earnings and reduces management accountability and transparency.
hearing hoped
I was hearing of some of these problems, but I hoped things were more under control.
contract duke half ibm left remaining
IBM may be left to duke it out for the remaining half of the contract that has yet to be awarded.
future imply might negative
If they do write it off, that might imply they are negative about future profitability. To write it off would be contradictory.
bucks company earnings given itself outrageous price sell trying
We all know this company has been trying to sell itself for 65 bucks (a share) minimum, which was a pretty outrageous price given the earnings outlook.
company earnings less likely
When earnings are improving, a company is less likely to take a write-off.
earnings expenses generally investors legal moving view
We view this as a legal way of artificially boosting earnings by moving expenses to a place where investors generally won't see them.
based citing conference cost credited cutting driver earnings execution finally growth headlines improving investors key questions realizing results wisdom
We have been citing improving execution as a key driver of earnings growth while conventional wisdom and headlines have credited cost cutting. Based on yesterday's results and questions on yesterday's conference call, we think investors are finally realizing that cost cutting is only part of the story.
believe business customers functions links moving necessary
We believe . . . that tightening links with customers by moving these functions into business units is a necessary step,
fallout might people sounds
It sounds like the fallout for EDS might not be as pronounced as some people had expected.
compare headed nice
It's nice to see that kind of improvement. It still doesn't compare to Dell's margins, but HP is headed down the right path.