HP's CEO Removal: "Good Move, But Not Enough"

“Escaping from hardware is not a solution for HPQ,” says Global Equities Research.

In an e-mail sent to investors today, Trip Chowdhry, the Managing Director of Equity Research at Global Equities Research, said that while Hewlett-Packard

made a “good move” in

, this is not enough to get the company back on track. “VC's & Private Equity Board Members would need to be replaced next,” Chowdhry wrote. “Their interests are probably not aligned with shareholders' interest.” Moreover, Chowdhry says that “escaping from hardware is not a solution for HPQ; splitting the company is not a desirable solution.” “We need to see strategic commitment from HPQ to continue to out-innovate in hardware, software and services,” Chowdhry affirmed. “Until we see that, investors should be on the side lines on this stock.”