Hewlett-Packard shares plunged on Monday following CEO Mark Hurd’s resignation last week after an investigation found that he had falsified expense reportsto conceal a relationship with a female contractor. Robert Doll, vice chairman and chief equity strategist at BlackRock discussed his insights.
“There are enough good things going on at HP and the stock is cheap enough that you can give it the benefit of the doubt — so I’d be a better buyer especially if there’s any more weakness,” Doll told CNBC. “I’m looking to add to the position, given the weakness we’ve seen.”
In addition to HP , Doll noted that there has been “significant weakness” among the large blue-chip tech companies, including Microsoft and Intel , as the execution of the topline growth has been in “a bit of a question.”
“I’ve been nibbling away at them,” Doll said of the firms. “These higher-quality, strong balance sheets, good free-cash flow [firms] make sense in this environment.”
Scorecard—What He Said:
- Doll's Previous Appearance on CNBC (Aug. 2, 2010)
More on Hewlett-Packard:
CNBC Data Pages:
Sex Scandals of the Powerful and Famous
Doll's firm own shares of HPQ.