HP Enterprise’s Restructuring Shows Management Has Its Eye On The Ball
Though they can be messy at first, tech spinoffs and breakups often end up serving investors well, as the post-breakup companies prove more nimble, agile and focused than the parent companies that preceded them.
Motorola Solutions’ ( #MSI ) performance since Motorola’s early-2011 breakup is one good example. And there are signs @PayPal (PYPL) is better positioning itself to go after the digital payments opportunities in front of it after splitting from @eBay last year.
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Though it’s too early to call #HP Enterprise ( @HPE ) a big post-breakup success story, the company does look like it’s in better shape than it was when the old HP split last fall. #HPE delivered positive annual sales growth for the first time in five years during its April quarter — last year’s $3 billion purchase of Wi-Fi equipment vendor @ArubaNetworks helped, but so did stronger-than-expected server, storage and organic networking growth.