IBM Stock Just Rose, What Does It Mean?
IBM (NYSE:IBM) stock rose by 5.7% this past Tuesday, the 25th. As always, this type of change was well received. But the news only got better when investors realized that this shift had taken place after the release of IBM’s latest report.
What did it say? Was it something good? What can we expect for the company moving forward?
IBM Surpasses Wall Street’s Expectations
A while ago, Wall Street had shared some of its expectations surrounding IBM. The company was set for yearly revenue of $16 billion by the end of the most recent quarter.
However, IBM showed a yearly revenue of $16.7 billion, which amounted to a 6.5% increase from last year’s figures. Also found in this report, the company shared how it managed to do such a feat.
- Up to $7.3 billion was earned in software revenue. For this one segment, that amounted to a 13.1% increase.
- Up to $6.2 billion was earned in cloud-based services. For this one segment, that amounted to a 16% increase.
- Among other operations.
With this knowledge, IBM management expects its interests to remain strong with the upcoming year. Given the rising popularity of both software and cloud services, this provider has got its ace up its sleeve, and there’s no doubt about it.
As of today, IBM’s earnings-per-share ratio stands at $3.35. (Which also surpassed Wall Street expectations, how about that?)