HP Inc Slides 6.2% as Cisco Margin Guidance Misses and Memory Costs Rise
HP Inc shares slid 6.19% Thursday after Cisco’s fiscal third-quarter gross margin guidance of 65.5%-66.5% missed the 68% consensus, spotlighting rising memory costs and supply constraints. The stock’s drop follows Dell’s 9.21% plunge and Lenovo warning of unit pressure from memory shortages through fiscal 2026.
1. HP Inc Stock Slides in Broad Tech Selloff
HP Inc shares dropped 6.19% during a sector-wide tech slump that erased over $500 billion in market cap, illustrating hardware stocks’ vulnerability alongside software names.
2. Cisco’s Margin Guidance Shortfall
Cisco reported fiscal third-quarter gross margin guidance of 65.5%-66.5%, below the 68% consensus, reflecting heavier hardware mix and higher commodity costs that rattled peers.
3. Rising Memory Costs and Supply Strains
HP faces elevated memory inflation and supply constraints as Lenovo forecasts unit pressure through fiscal 2026, creating additional headwinds for hardware margins and PC shipments.