Layoffs are always done to boost stock price. This leadership can't even do that right, as our stock went down instead. Talk about miscalculating.
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That's no surprise. Layoffs look good on earning reports because they're shrinking operating costs and increasing profit margins. Anytime an investor sees increased profit margins will be an indicator of more cash flow, which will ultimately mean a better chance of getting nice juicy dividends and an opportunity for HP to have stock buybacks.
Investors of HP aren't in it for the company's technology; they're in it for stock opportunities. Heck, even a realized capital loss when they sell stocks will be beneficial to deduct their taxes when they file next year.
“Because all execs can't actually create a product to increase revenue.”
Not really. Good executives can lead the creation of products and find ways to increase revenue. They do exist. Unfortunately, the leadership at HP don’t fit that category.
The market knew the AI excuse for suddenly eliminating such a large chunk of HP’s workforce was just wishful thinking to distract. Lores overplayed his hand with that lie and the market saw through. They knew it would be mainly due to the real reasons that continue to plague HP.
"our stock went down instead."
Not only that, HP has missed the entire really and about to make a new 52 week low in its stock. The stock was higher when Warren Buffett had bought HP shares, but even he realized his mistake and dumped his HP shares.
Because all execs can't actually create a product to increase revenue. Instead it's layoffs and replacing software engineers with cr-ppy AI indian agentic AI..