HP Inc. Exposed: Bribes, Executive Insider Sales, and Hundreds of Millions in Hedge Fund Sell-Offs.

toner · 2025-06-12T12:28:02-04:00

HP Inc. (HPQ) is making some big moves lately, but not all of them are inspiring confidence. Recent disclosures have raised serious questions about the company’s internal strategy and external influence. From $40,000 in lobbying expenditures that some are interpreting as corporate "bribing" to executives dumping millions in stock and hedge funds pulling hundreds of millions from HPQ, it’s clear that something’s going on behind the scenes. HPQ’s Lobbying: Influence or Bribery? HP Inc. recently disclosed that it spent $40,000 on lobbying activities. While the figure is far from eye-popping in the grand scheme of corporate lobbying, the timing and purpose are worth considering. In the U.S., companies are required to disclose their lobbying expenditures under the Lobbying Disclosure Act of 1995, which aims to maintain transparency about the influence companies have on lawmakers. However, the $40,000 raises an important question: What is HPQ trying to achieve? Lobbying typically involves pushing for favorable policies around areas like technology regulations, trade agreements, or tax legislation. In HPQ’s case, these could be issues like data privacy and corporate tax breaks, which directly affect its business. But could this small lobbying budget be a sign of something more? Some critics might argue that the expenditure could be a form of corporate bribery to influence key policy decisions. While there's no evidence to support that, it’s certainly worth watching.| Insider Trading: Executives Dumping Stock Another eyebrow-raising development is the insider trading activity at HPQ. The company’s top executives have been selling off a significant number of shares, with no insider purchases to offset the trend. Here's a breakdown of some notable sales: Kristen M. Ludgate, Chief People Officer, sold 74,356 shares for $2.56 million. Alex Cho, President of Personal Systems, sold 40,287 shares for $1.4 million. Stephanie Liebman, Global Controller, sold 26,646 shares for $811,234. Anneliese Olson, President of Imaging & Printing, sold 21,545 shares for $613,817. Now, insider sales aren’t necessarily unusual. Executives often liquidate stock for personal financial reasons, such as diversification or tax planning. But when multiple insiders are selling and no one is buying, it raises an important question: Do these executives know something we don’t? Consistent insider selling can sometimes indicate that executives are less confident about the company’s future prospects. It’s not definitive, but it’s a red flag that investors should keep an eye on. Hedge Fund Exodus: Billions in HPQ Stocks Being Sold Off Perhaps the most telling sign that HPQ may be facing challenges is the recent exodus of hedge funds from its stock. Some of the largest institutional investors have significantly reduced or completely exited their positions in HPQ: Pacer Advisors slashed its position by 6.33 million shares, worth about $175 million. Arrowstreet Capital reduced its holdings by 3.36 million shares (-47.8%), valued at $92.93 million. Nuveen Asset Management sold 2.94 million shares (-30.5%), worth $95.95 million. Contour Asset Management completely exited its position, dumping 2.67 million shares for $87 million. Bridgewater Associates reduced their stake by 2.63 million shares (-92.9%), worth $72.98 million. While some investors are pulling out, there’s one noteworthy exception: JPMorgan Chase, which increased its position by 52.1% in Q1 2025, buying 2.37 million shares worth about $65.58 million. But the overall trend of hedge funds reducing their positions sends a clear signal: Big money players are losing faith in HPQ’s future. A mass sell-off of this magnitude could be a sign that these institutional investors are reassessing their outlook on HPQ, potentially due to concerns about the company’s long-term growth or market conditions. What Does This Mean for HPQ’s Future? Taken together, these three developments—lobbying spending, insider stock sales, and hedge fund exits—indicate that HPQ may be at a critical juncture. Here’s what we know: Lobbying efforts suggest that HPQ is actively trying to influence policy in its favor, which might be a response to potential regulatory challenges or changing tax laws. Insider trading signals that top executives are cashing out while not putting their own money back into the company. While this might not be a direct indication of a failing company, it’s still something to watch closely. The hedge fund sell-offs could point to waning investor confidence, with several major players deciding that the risks outweigh the potential rewards.

Tonernews.com, June 12, 2025. USA

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HP Inc. (HPQ) is making some big moves lately, but not all of them are inspiring confidence.
Recent disclosures have raised serious questions about the company’s internal strategy and external influence. From $40,000 in lobbying expenditures that some are interpreting as corporate “bribing” to executives dumping millions in stock and hedge funds pulling hundreds of millions from HPQ, it’s clear that something’s going on behind the scenes.

HPQ’s Lobbying: Influence or Bribery?
HP Inc. recently disclosed that it spent $40,000 on lobbying activities. While the figure is far from eye-popping in the grand scheme of corporate lobbying, the timing and purpose are worth considering. In the U.S., companies are required to disclose their lobbying expenditures under the Lobbying Disclosure Act of 1995, which aims to maintain transparency about the influence companies have on lawmakers. However, the $40,000 raises an important question: What is HPQ trying to achieve?

Lobbying typically involves pushing for favorable policies around areas like technology regulations, trade agreements, or tax legislation. In HPQ’s case, these could be issues like data privacy and corporate tax breaks, which directly affect its business. But could this small lobbying budget be a sign of something more? Some critics might argue that the expenditure could be a form of corporate bribery to influence key policy decisions. While there’s no evidence to support that, it’s certainly worth watching.|

Insider Trading: Executives Dumping Stock
Another eyebrow-raising development is the insider trading activity at HPQ. The company’s top executives have been selling off a significant number of shares, with no insider purchases to offset the trend. Here’s a breakdown of some notable sales: Kristen M. Ludgate, Chief People Officer, sold 74,356 shares for $2.56 million. Alex Cho, President of Personal Systems, sold 40,287 shares for $1.4 million. Stephanie Liebman, Global Controller, sold 26,646 shares for $811,234. Anneliese Olson, President of Imaging & Printing, sold 21,545 shares for $613,817.

Now, insider sales aren’t necessarily unusual. Executives often liquidate stock for personal financial reasons, such as diversification or tax planning. But when multiple insiders are selling and no one is buying, it raises an important question: Do these executives know something we don’t? Consistent insider selling can sometimes indicate that executives are less confident about the company’s future prospects. It’s not definitive, but it’s a red flag that investors should keep an eye on.

Hedge Fund Exodus: Billions in HPQ Stocks Being Sold Off
Perhaps the most telling sign that HPQ may be facing challenges is the recent exodus of hedge funds from its stock. Some of the largest institutional investors have significantly reduced or completely exited their positions in HPQ: Pacer Advisors slashed its position by 6.33 million shares, worth about $175 million. Arrowstreet Capital reduced its holdings by 3.36 million shares (-47.8%), valued at $92.93 million. Nuveen Asset Management sold 2.94 million shares (-30.5%), worth $95.95 million. Contour Asset Management completely exited its position, dumping 2.67 million shares for $87 million. Bridgewater Associates reduced their stake by 2.63 million shares (-92.9%), worth $72.98 million.

While some investors are pulling out, there’s one noteworthy exception: JPMorgan Chase, which increased its position by 52.1% in Q1 2025, buying 2.37 million shares worth about $65.58 million. But the overall trend of hedge funds reducing their positions sends a clear signal: Big money players are losing faith in HPQ’s future. A mass sell-off of this magnitude could be a sign that these institutional investors are reassessing their outlook on HPQ, potentially due to concerns about the company’s long-term growth or market conditions.

What Does This Mean for HPQ’s Future?
Taken together, these three developments—lobbying spending, insider stock sales, and hedge fund exits—indicate that HPQ may be at a critical juncture. Here’s what we know: Lobbying efforts suggest that HPQ is actively trying to influence policy in its favor, which might be a response to potential regulatory challenges or changing tax laws. Insider trading signals that top executives are cashing out while not putting their own money back into the company. While this might not be a direct indication of a failing company, it’s still something to watch closely. The hedge fund sell-offs could point to waning investor confidence, with several major players deciding that the risks outweigh the potential rewards.
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June 12, 2025 at 12:28 PM

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