NEW YORK ( TheStreet) -- While it is still too early to proclaim the resurgence of Hewlett-Packard ( HPQ), Wall Street should start giving the company, and in particular Meg Whitman, credit.
For all the talk of the death of the PC due to the dominance of Apple ( AAPL) and Google ( GOOG), HP is growing modestly in other areas of its business. Although it is often loathed for not being Apple, the company appears to have discovered ways of being the best HP that it can be by figuring out ways to grow its high-margin segments such as services, networking and storage. After its most recent earnings report, the company's management inspired confidence that it can do what many think is impossible -- turning HP's fortunes around while also placing it on a path towards restoring lost credibility and returning value to shareholders. The question is, will it be enough to erase the persisting doubt about its future? Although things continue to progress as well as its circumstances will allow, HP still is unable to escape the grasp of what it isn't, as opposed to what it is. It seems the company continues to suffer because its logo is not a fruit. Granted, at one point the company did suffer from a personality complex by entering into Apple's territory with its TouchPad tablet without being adequately prepared. However, as a long time HP apologist, I will concede that standing up to Apple is no small task for even dominant companies, much less one that has had a revolving door in the CEO's office. HP's mistake was in not having fully assessed its strength or the current market dynamic to realize Research in Motion's ( RIMM) PlayBook, Dell's ( DELL) Streak and even Cisco's ( CSCO) Cius tablet were all falling by the wayside. Apple understood consumers whereas the specialty for HP et al was the enterprise. The problem is, the enterprise user and the consumer became one and the same, which placed them all at a considerable disadvantage -- or in this case, Apple's mercy. Today, they have all caved in as Microsoft ( MSFT) and Google are now in the tablet market while Amazon ( AMZN) is intent on building a larger Kindle Fire.