The combination of an earnings miss and disappointing guidance put the hurt on veteran tech stock HP (HPQ -0.12%) this week. Over the past five trading days the company's share price withered by 11%, according to data compiled by S&P Global Market Intelligence.

Revenue and profitability went in opposite directions

Just after market close on Wednesday, HP published figures from its fiscal second quarter of 2025, revealing that its net revenue was $13.2 billion. That was 3% higher than in the same period of fiscal 2024. The dynamic was markedly different on the bottom line, as non-GAAP (adjusted) net income sank to $678 million ($0.71 per share) from the year-ago profit of $812 million.

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Analysts weren't expecting such a steep drop in profitability; on average, they were modeling adjusted net income of $0.79 per share. On the plus side, the company beat the pundit consensus of under $13.1 billion for net revenue.

In the earnings release, HP quoted CEO Enrique Lores as saying that during the quarter, the company had "delivered solid revenue growth, led by strong commercial performance in personal systems and continued momentum behind our future-of-work strategy."

Earnings guidance trimmed

HP is bracing for impact on tariffs, which affect its operations because many of its components are sourced abroad. It lowered its guidance for the entirety of the fiscal year, setting the forecast for adjusted per-share earnings at $3.00 to $3.30. That's down considerably from its previous estimate of $3.45 to $3.75. Free cash flow should come in at $2.6 billion to $3 billion, meanwhile.

The PC market hasn't been lively for years, and given the enduring popularity of mobile devices, I don't expect this to change. That market will also be affected by the tariff war if it drags on. None of this makes me confident about HP stock.