Thread regarding Hewlett Packard Enterprise (HPE) layoffs

3-5 years to fully collapse

This company is on a downward spiral. As revenue declines so will expense. It may take 3-5 years to fully dissolve (like Sears) but the direction has been set.

CSC and CSRA are no better as government will find ways to cut or redirect expense to defense and social program they too will be hit. It is interesting how both companies are farming out there commercial business to the less reliable and unstable third world countries.

End user customers will eventually renew with companies who can truly deliver with Onshore resources. Oh well It is also interesting to see how a top heavy managed company will fizzle out with useless executives who really do not produce the product and/or perform work.

Most are protected by insiders or clowns they use to work with in the past. It's a club. The ego's of these people are a trip to watch. They actually think they are needed.

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| 2896 views | | 11 replies (last February 19, 2017) | Reply
Post ID: @OP+KIHVml0

11 replies (most recent on top)

3-5 Years? I gave it 2-3 years from the separation into HP Inc and HPE.

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Post ID: @1dklc+KIHVml0

Wow...

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Post ID: @1edj+KIHVml0

@kdu, I do not disagree. I think the comparison to Sears is particularly enlightened:

Thirteen years ago, Sears traded for $14 per share. Sears embarked on an initiative to revolutionize the company, and Wall Street reacted enthusiastically. Within two years, the stock price had gone up 1500%!

Today, Sears is worth less than when the transformation started. Many speculate that the only real value is in the buildings themselves. (Sears owns thousands of buildings, and they have leases that are exceptionally good, because many shopping centers wanted them for an 'anchor.' For instance, it's rumored that they pay one dollar per year for their lease at one of America's busiest shopping centers. And it's a fifty year lease.

While these terms may sound insane, keep in mind that many of these leases were signed thirty years ago. The idea was that Sears would 'anchor' a shopping center, and bring in hundreds of customers who would 'spill over' into the other stores in the center.

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Post ID: @1qix+KIHVml0

@KIHVml0-1uad. I think you have it correct.

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Post ID: @1aon+KIHVml0

I think you all need to stop playing this game. Truth is, HPE will be free of all but its HW division by the time SpinCo and Micro Focus are done with their deals. At that point, it will be a suitable target for any number of other incumbents or PE firms. "Fully collapse?" Nope. More like gone. HPQ will carry the name of Bill and Dave. HPE will just be a forgotten name, like AMC, or Kinko's, or the various department stores that are all now Macy's.

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Post ID: @1uad+KIHVml0

Wall Street aren't interested in long term relationships. They only love any company for the next financial period.

And this is exactly the behaviour cycle which drives all publicly traded US IT companies in a market with simultaneously shrinking margins and shrinking sales to be utter a-holes to their employees.

Ironically, its the very same improvements IT brought to business that is now killing the IT business - do more with less cost and less people.

Don't just look at HPE, look at CSC, Accenture, Dell, IBM, Cap Gemini, CGI etc etc etc.

Same sh1t, different logo.

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Post ID: @dqh+KIHVml0

@evu, give it 2 to 3 more quarters of consistent revenue declining, and I can guarantee you that Wall Street won't love HPE that much. The desperate spin-offs/mergers are just distractions of the reality of the inability for HPE to generate real revenue. It's just a matter of time before the love collapses... And I'm sure Whitman knows that very well, so it shouldn't been surprising another big distraction by the end of Q2 of FY17.

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Post ID: @kdu+KIHVml0

While you may not like how HPE has treated you on a personal level, there is no denying that wall Street loves HPE. Last I checked, the price is up nearly 100% in a year.

The comparisons to Sears are prescient.

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Post ID: @evu+KIHVml0

@frr... Whitman was supporting Clinton & there's no way Clinton would have gotten rid of her. If Trump can't get her straight, Clinton especially.

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Post ID: @pic+KIHVml0

One person did not screw up HPE it's her club of cronies that did, No one will speak up if her decision making is flawed. She is human and DOES not make errors in her eyes. Like most executives when the going gets tough they put there little tail between there legs and high tail and run. Meg and her six figure club cronies will do just that. It's sort of like a soldier or sailor left to fend for themselves with no US Resources to rescue them but rather NATO Indian, Costa Rican, etc. No pun intended and other non relevant resources. A temporary band aid. Theses executives come from the brightest schools and backgrounds but can't do squat when a company really needs that talent. They jump from Meg's boat or get fired for incompetence when truly tested. True leaders dig in and rectify, correct and prosper when a problem exists. As you will see with Trump he is shaking the markets, economy and DC. America will get better but HPE will not enjoy that success only because they have gone beyond the tipping point.

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Post ID: @wvg+KIHVml0

The ONLY reason I would have liked Clinton to win is to have gotten rid of Whitman. I don't believe what she has done can be reversed at this point. To make things even worse, she betrayed the Republicans and this Administration, so she can forget about lobbying for anything. It's amazing how one person can screw up so badly so many times and still be managing a Company this size. I wouldn't even put her in charge of selling pop corn at a movie theater. She would probably screw up that as well...

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Post ID: @frr+KIHVml0

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