UPDATE: Sterne Agee Downgrades Hewlett-Packard Company to Neutral

In a report published Friday, Sterne Agee Group downgraded its rating on Hewlett-Packard Company HPQ from Buy to Neutral. Sterne Agee noted, “After careful consideration, we are reluctantly downgrading our rating on HPQ. We are at a loss in identifying positive catalysts within a reasonable investment horizon and fear for further downside surprises as we believe the headwinds the company faces are likely structural and secular in nature. Also, in our sum-of-the-parts analysis, we see a bullish case scenario of $15 but more likely $10 taking into consideration a liquidity discount and decent return for a private equity buyer.” Hewlett-Packard Company closed on Thursday at $14.94.