HP Inc. (HPQ, Financial) experienced a 6.9% decline in its stock price after releasing weaker-than-expected earnings guidance for the second quarter. The company attributed the lower guidance to increased tariffs and the costs associated with diversifying its supply chain away from China. According to FactSet, HP anticipates adjusted earnings per share (EPS) for Q2 to range between $0.75 and $0.85, falling short of the anticipated $0.86 per share.
In the first quarter, HP's earnings slightly missed expectations, although its revenue exceeded forecasts. The company continues to face challenges in managing costs while adapting to a shifting global trade environment.
