S&P sees slight decline in computer demand

Sep 15, 2005

Standard & Poor's said Thursday global computer demand is expected to remain strong but slow down somewhat compared to a year ago.

The New York-based credit-rating agency said in its report entitled "Three U.S. Investment Grade Computer Manufacturers" that the corporate strengths of Dell, Hewlett-Packard and IBM are likely to remain steady even as the U.S. economy hits a tough spot following the devastation of Hurricane Katrina.

Dell is ranked as A, while HP has a rating of A minus, and IBM scores the highest with an A plus.

"The difference in the ratings reflects our assessment of each company's business and financial profile. IBM, the strongest of the three credits, benefits from a strong business risk profile and minimal financial risk," stated credit analyst Martha Toll-Reed. "Dell and HP each have a solid business risk profile and modest financial risk. Despite a comparable level of risk in their business profiles, Dell and HP have significantly different business models and revenue composition. Although HP has greater revenue and product diversity, Dell's rating is one notch higher than HP, reflecting Dell's stronger revenue growth and market share gains, and relatively more predictable financial performance," she said.

Copyright 2005 by United Press International

Explore further: Staples investigating possible data breach

add to favorites email to friend print save as pdf

Related Stories

Choices: Closer look at 2 plans for Dell's future

Jul 18, 2013

Dell Inc. has delayed Thursday's vote on founder Michael Dell's plan to take the computer maker private. That's a sign the board needs more time to rally support. Activist investor Carl Icahn and the Southeastern ...

Icahn boosts offer for Dell

Jul 12, 2013

Corporate raider Carl Icahn and his allies boosted their offer for troubled US computer giant Dell, and repeated their call for shareholders to reject a $24.4 billion private equity buyout.

Icahn to seek court appraisal of $24.4B Dell deal

Jul 10, 2013

Billionaire investor Carl Icahn will ask a judge to assess the fairness of a proposed $24.4 billion acquisition of struggling personal computer maker Dell in his latest attempt to wrangle a higher price from a group of buyers ...

Advisory firm backs Dell buyout

Jul 08, 2013

A key shareholder advisory firm on Monday backed a $24.4 billion private equity buyout of Dell, giving a major boost to the plan led by founder Michael Dell to reorganize the struggling computer giant.

Recommended for you

Apple sees iCloud attacks; China hack reported

9 hours ago

Apple said Tuesday its iCloud server has been the target of "intermittent" attacks, hours after a security blog said Chinese authorities had been trying to hack into the system.

HP supercomputer at NREL garners top honor

12 hours ago

A supercomputer created by Hewlett-Packard (HP) and the Energy Department's National Renewable Energy Laboratory (NREL) that uses warm water to cool its servers, and then re-uses that water to heat its building, has been ...

User comments : 0