Pretty solid day in the markets. Saw new highs with the markets which helped wipe away the losses from last week. One dividend company with great news yesterday was Hewlett-Packard Company (HPQ). They announced revenue of $27.9 billion, up 1% YOY, and a EPS of 89 cents, which came out to 12% increase YOY. When you break it down, the positive growth stems from the comeback of their personal systems division. Laptop and computer sales increased 12% YOY, which can be attributed to a better economy where people are increasing their discretionary spending.
The best part about HPQ is their free cash flow. They raised their 2014 guidance to $9 billion in free cash flow, up from $6 billion earlier this year. Free cash flow is essentially their operational expenses minus capital expenditures. Put another way, it’s the money they have left after subtracting the costs to maintain their current business. These funds are used to invest in new areas of profitability and expand their business.
Well, that’s enough of a wrap up. Check out the video for more information!