After a year-and-a-half of booming sales during the pandemic, the PC industry finds itself in the midst of a historic slump. According to market intelligence firm IDC, consumer PC shipments were down 15% in the third quarter, and the two largest U.S. PC companies by shipments, HP Inc. (NYSE: HPQ) and Dell Technologies (NYSE: DELL), were down by even more. Their shipments declined by 27.8% and 21.2%, respectively.
Yet both of their stock prices actually rose after the companies delivered their latest quarterly reports, despite revenue declines and downbeat guidance. For value investors who favor stocks with low price-to-earnings ratios and high dividend yields, both of them may be worth exploring. After all, even Warren Buffett has a sizable stake in HP.
People may be most familiar with the consumer PC divisions of both Dell and HP, but both companies actually have extensive operations in other products as well. In fact, PCs provide a minority of their operating profits.
Source Fool.com