Shares of Hewlett Packard (NYSE: HPQ) dropped precipitously on Friday. But even as the weekend reports tried to explain the situation, it remains a head scratcher.



Chart Courtesy of StockCharts.com

O.k., the chart looks dismal, and if you owned the stock, and had a well placed sell stop, you didn't get too badly hurt. So, that's a positive.

But, here's what we don't get. According to the consensus of reports that are available, Hewlett Packard CEO Mark Hurd, wasn't having an affair with the woman, actress/Real Estate VP/Reality show star Jodie Fisher, whose letter to the HP board started the investigation that led to Mr. Hurd's resignation. Ms. Fisher feels badly about Mr. Hurd losing his job, according to the statement released via her lawyer, but doesn't seem upset about her settlement with him. And there is no information, yet, as to what the nature of the sexual harassment that allegedly took place was, and how when HP didn't find any evidence of sexual harassment in its investigation, any of this came to pass.

Yet, Mr. Hurd settled the issue, presumably financially, with Ms. Fisher. And he has resigned. All that HP got on Mr. Hurd is that he spent company money, presumably on Ms. Fisher and didn't report it accordingly. Sure, company money is not for expensive dinners with women who you're not having a affair with, but presumably sexually harrassing, according to Ms. Fisher's account. So Mr. Hurd wasn't very smart, and he has paid the price for his indiscretion, personally and professionally.

But what the heck happened here?

If you're confused, then so are we. Mr. Hurd clearly had a private problem with Ms. Fisher, which we settled. Ms. Fisher clearly felt that something more than dinner was transpiring and took care of her end of things with Mr. Hurd.

Mr. Hurd resigned. He has presumably paid the company back for the money that he used inappropriately. And Hewlett shares tanked. What are we getting at? Why did Hewlett shares tank? What does any of this have to do with PCs, printers, ink and Hewlett products?

In fact, so little is known as to what really happened that you have to wonder if anyone is actually thinking this through.

We're not being crass here. We're just wondering if this isn't a good buying opportunity for HP shares? As for the hyperbole, it's starting to look similar in many ways to the Sherrod/Breitbart debacle.

We have a feeling that as real reporters start snooping inside this story, what comes out will be a whole lot different that what was initially reported. Meanwhile, looking at HP shares may be worthwhile.

Follow Dr. Duarte on Twitter

Make money if any market rises or falls, with a copy of "Market Timing For Dummies."