This Day On The Street
Continue to site
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

HP's History of Leaking News

WESTCHESTER COUNTY, N.Y. (TheStreet) -- It seems a mere throw-in point, but apparently only Barron's (NWS - Get Report) made it, and it could very well stand as defining. When it comes to sharing secrets with the media, Hewlett Packard (HPQ - Get Report) tends to leak like a sieve.

This is important because news broke yesterday that HP was going to kick CEO Leo Apotheker to the curb after only 9 months. The market rejoiced.

Bloomberg broke the story, citing two anonymous sources. Bloomberg--and perhaps all reports that followed, however--did not mention what Barron's did: HP has a history of leaking legitimate news.

This does not mean that the news is definite, or that traders were not overreacting to the possibility of change at the top of HP, probably troubled no matter who is in charge.

Historically, HP is no Apple (AAPL.) Apple is notoriously tight-lipped. Take whatever you hear leaked from Cupertino, where Apple is headquartered, with an ice-cream scooper of salt. We can run through chapter and verse of HP leaks (ironically enough, few saw Apotheker's hiring coming) but Barron's speaks the larger truth: HP leaks come true, by and large.

Anonymous sourcing forces traders into a guessing game. It's an imperfect game, to say the least, with a lot of losers. But about the only item to go on is whether the company's is classically a good leaker, like HP, or a bad one, like Apple.

At the time of publication, Fuchs had no positions in any of the stocks mentioned in this column.

Marek Fuchs was a stockbroker for Shearson Lehman Brothers and a money manager before becoming a journalist who wrote The New York Times' "County Lines" column for six years. He also did back-up beat coverage of The New York Knicks for the paper's Sports section for two seasons and covered other professional and collegiate sports. He has contributed frequently to many of the Times' other sections, including National, Metro, Escapes, Style, Real Estate, Arts & Leisure, Travel, Money & Business, Circuits and the Op-Ed Page.

For his "Business Press Maven" column on how business and finance are covered by the media, Fuchs was named best business journalist critic in the nation by the Talking Biz website at The University of North Carolina School of Journalism and Mass Communication. Fuchs is a frequent speaker on the business media, in venues ranging from National Public Radio to the annual conference of the Society of American Business Editors and Writers.

Fuchs appreciates your feedback; click here to send him an email.

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
SYM TRADE IT LAST %CHG
DELL $0.00 0.00%
AAPL $132.00 0.46%
HPQ $33.83 0.00%
NWS $15.36 0.00%
FB $80.48 0.00%

Markets

DOW 18,285.74 +0.34 0.00%
S&P 500 2,130.82 +4.97 0.23%
NASDAQ 5,090.7940 +19.0510 0.38%

Partners Compare Online Brokers

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs