💻 HP $HPQ has just reported results that at first glance look pretty good.

Revenue in the third fiscal quarter rose 12.5% year-over-year to $15.7 billion, and adjusted earnings came in at $0.83 per share. The company also raised its full-year outlook for earnings and free cash flow.

But beneath the surface, it's not so clear-cut. The number of computers sold fell 16% year-over-year, and revenue growth was driven mainly by higher prices and more expensive models. At the same time, higher memory and component prices are squeezing margins.

I used to be deciding between it and Dell $DELL. I ended up going with Dell, but today they're actually quite different companies. After the spin-off of Hewlett Packard Enterprise $HPE, HPQ is left mainly with personal computers and printers, while Dell still has a large server and infrastructure segment alongside PCs.

And that's a pretty fundamental difference today. Thanks to servers, Dell benefits much more directly from the AI infrastructure boom, while HPQ's investment story is still far more tied to the PC market and device refresh cycles.

Does anyone have HP or HPE in their portfolio?