Stocks of Hewlett Packard Rise In Spite of Missed Earnings

Stocks of Hewlett Packard Rise In Spite of Missed EarningsThough the computer maker Hewlett-Packard Co. reported a fourth quarter sales figure that missed the expectations of the Wall Street, but its stocks surged 4.1 percent. The company is planning a split of its personal computer and printer operations making them into stand-alone units.

Hewlett-Packard Co's quarterly revenue dropped for almost all of its business segments this year. This surely highlights weaknesses which can be harmful for its plans of separation of its enterprise services from the computer and printing operations in 2015.

On Tuesday HP said that in the fourth quarter the company's sales dropped 2.5 percent from $29.13 billion last year to $28.41 billion. The analysts had forecasted $28.76 billion.

Profits dropped by $1.06 cents per share to $2.01 billion in comparison to the $1.01 cents per share last year which stood up to the expectations of the analyst's.

Meg Whitman, Chief Executive of the company, while highlighting the performance of HP and comparing it to the one that was noted three years ago as she took her role, said to the analysts, "I've always said that turnarounds aren't linear. We're right where we thought we'd be."

Whitman also said that she expects a slower turn down in enterprise returns in the coming year. She said that, enterprise services will be the biggest "swing factor" in the growth projection of the company in 2015.