Dell, HP Shares Hit By Growth Concerns: Bloomberg

Investors are souring on Dell Technologies Inc D, HP Inc HPQ, and Hewlett Packard Enterprise Co HPE on concern that surging inflation will curb consumer spending, Bloomberg reports.
The report notes the Federal Reserve's effort to dampen those price increases is likely to crimp the economy in the coming months, further denting sales.
Related: Here's Why Morgan Stanley Downgraded Dell
Goldman Sachs also downgraded Dell as the moderating demand among low-end consumers was enough to offset its attractive valuation.
The report notes that investors are chasing companies less dependent on the economic cycle to drive sales and turning their backs on computer makers despite their cheapest valuations.
Investors are eying Apple Inc AAPL, Alphabet Inc GOOG GOOGL, and Amazon.com Inc AMZN thanks to their ample free cash flow and have defensible tailwinds in a dicey and uncertain economic environment, as per an analyst.
Analysts predict that profits for tech hardware and equipment companies will increase by 8.8% in 2022, lower than the 13% expected for the tech sector overall and the S&P 500's 10%, Bloomberg data shows.
Price Action: DELL shares traded lower by 2.86% at $47.27 on the last check Wednesday.