Why H-P's EDS Deal Makes the Street Nervous
Clearly, the Street is not crazy about Hewlett-Packard’s (HPQ) plan to acquired Electronic Data Systems (EDS). In two days, the Street has knocked about 10% off H-P’s stock price, chopping its market cap by about $12.5 billion, almost equal to the $13.9 billion deal price. The obvious question is, why?