Is Hewlett-Packard Company (HPQ) on the Path to Recovery or Ruin?

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I believe that HP’s top priority now should be to avoid all the costly drama that kept it occupied over the past five years, which seriously handicapped its development. HP has to double up on its efforts to catch up to the evolved personal computing market. Chromebooks, tablets and hybrids are a good start and at least a divergence from its traditional Wintel business model.

Investors should keep an eye on how these new products fare over the next few quarters, as well as how price reductions from competitors are affecting its ability to profit from the PC and server businesses. If sales of those products improve, then HP could become a worthwhile investment again.

The article Is HP on the Path to Recovery or Ruin? originally appeared on Fool.com and is written by Leo Sun.

Leo is a member of The Motley Fool Blog Network — entries represent the personal opinion of the blogger and are not formally edited.

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