Hewlett-Packard shares fall on analyst downgrade

Hewlett-Packard shares fall after BMO downgrades stock to 'market perform' from 'outperform'

Associated Press

WASHINGTON (AP) -- Shares of Hewlett-Packard Co. fell more than 4 percent Wednesday after an analyst downgraded the stock, warning of lower revenue growth projections for the company's PC, printer and services businesses.THE SPARK: BMO Capital Markets analyst Keith Bachman on Wednesday downgraded Hewlett-Packard to "Market Perform" from "Outperform."THE ANALYSIS: Bachman said that while Hewlett-Packard shares appear cheap, he believes the company's July quarter will mark the third straight quarter that estimates will need to be lowered.THE BIG PICTURE: Although the analyst lifted his fiscal year 2011 earnings estimate by a penny to $5.01 per share, he cut his fiscal year 2012 estimate to $5.11 per share from $5.15.SHARE ACTION: Hewlett-Packard shares declined $1.32, or 4.1 percent, at $31.29 Wednesday.

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