Warnings of Earnings miss.
IBM shares slipped double digits in premarket trading after the firm released preliminary second-quarter results that fell short of expectations.
CEO Arvind Krishna blamed the shortfall on weakness in the software and infrastructure business because clients shifted money toward hardware purchases like memory chips.
Most external US sales openings appear to be gone as of last week. This explains why.
@be they should have cut their loses on Albany years ago
@c2 I see you are back, IBM India HR liar-bot rage-bait troll shill spanky-pants id--t loser parasite. With your usual dish of BullSheet and Hype.
LOL ! Did you lead your team to lose in the hype about the Watson X Challenge ? or did you bluff you way through as a loser Tamil warrior ?
A 20% drop is disappointing, and nobody who supports IBM is celebrating it. But one difficult earnings reaction doesn't erase more than a century of innovation or determine the company's future.
Markets often overreact in the short term. IBM has faced serious challenges before and has reinvented itself multiple times throughout its history. I'll judge the company by what it does over the coming quarters and years, not by a single trading day.
If you're rooting for thousands of employees to fail because the stock had a bad day, that's your choice. I'm rooting for IBM to learn, improve, and succeed.
@c0 Could it be an announcement that all US IBMers get Arvind's 2026 bonus divided up amongst them ? It won't be much but better than nothing.
Or news that Arvind and Krabanaugh have quit or been fired for cause by the IBM board of trustees ?
None of these lame excuses from Arvind should be entertained for even a minute. The man needs to be sent to jail for fraud and cooking the books with Krabanaugh.
There is an executive mantra that says take all of your bad news on the same day. I would expect next Wednesday to be something positive.
@bw Overperform articles have gone to cover the gravesite of Dead Gerbil.
@ax yeah, where is IBM India HR liar-bot rage-bait troll shill spanky-pants id--t loser parasite ? He must have read the tea leaves about what was coming down today and decided to head for Arvind's toilet to hide out. Not a peep from him about leading his teams to fail or his executive promotion from Arvind.
@bs yes, that will happen when He-l Freezes over. Until then, they will be raking in their excessive bonuses and depositing their oversized paychecks starting of course with the chief loser at IBM, Arvind.
Where are all those articles from last quarter and maybe even earlier, with the analysts that had "Overperform" ratings on the IBM stock?
Great thread here. It highlights even more damage: how this sc--wed folks that just got their RSUs vested.
https://www.reddit.com/r/IBM/comments/1uw63ug/arvind_krishnas_letter_to_ibm_investors/
@bs Any executive jump out of the Armonk windows yet ?
So I imagine AK and the exec team are going on PIPs for losing 25% of the company's value
It's going to depend on the forward guidance issued on the earnings call. If they revise 2H revenue growth estimates down, look out below. You can't keep barking about AI and Quantum while growing slower than the inflation rate.
The beatings will continue until morale improves.
On July 14, 2026, IBM lost roughly $67 billion in market value in a single trading session. So what will happen to the $1 billion in government funding that was awarded for the Albany quantum fab? Is it just poof gone?
@bm he means the actually earnings call on July 22nd…. Expect stock to drop more then
@Bk Care to elaborate?
The bigger news is coming next week.
This announcement goal is to soften next week blow.
Well, it sounds like the only solution is to PIP/RA the more senior employees, hire more grads with AI "skills", and make a big announcement that IBM is rebalancing the workforce to accommodate the new company direction. I keep saying space travel to Mars is next, though IBM might just set its sights on Jupiter. To show it's ahead of the competition.
Last year, we had 2 people highly paid.
One is a useless POS manager, the second is a developer with very high skills.
The developer was let go, the POS useless manager is still su-king the blood of IBM.
These recent IBM results are not a surprise to anyone with some critical thinking.
Question now is can Red Hat continue to grow 10%+ with the Z17 cycle being kaput. Q3 results will be the tell. RH is carrying all of IBM now, if it falters turn out the lights lock the door and go home.
@bd
Yup, it now appears that they were Huiming’s attempt to make the Albany site look relevant instead of the major cost center that it really is. If you go back and read the posts that were critical of these announcements, they pointed out the major glaring issues with each of them. They were little more than cheap publicity stunts and tricks that created a week of buzz. Now they’ve been exposed for what they really were. But hindsight is 20/20.
@bb 100% bullsh!t.
So how many billions did we lose today?
So all the quantum and sub 1nm news was just bullsh-t?
It boils down to innovation. What innovative ideas are coming out of each of the divisions
SW = none as they have adopted a buy and distribute model
Consulting = almost none as they have adopted a low cost labor model instead
Infrastructure = adopted a chip design and farming the IP model
In the possible words of Churchill. “Never let a good crisis go to waste”
@b3
Next, selling Power to the Indians.
@b3
I am guessing, Power will be completely sold to the Indians.
Ginni R would be celebrating this as a raging success
@ax
Rats are first to leave a sinking ship.
The lies! The manipulations!
The preannounce most likely means a restructuring charge. This is different vs an RA charge as restructuring means a fundamental change to the way IBM does business going forward
@aw exactly who are we selling all these great new things too exactly?? No one
Mr Gerstner...blah blah blah. Karma AK:
That the color of your money speaks all languages most people do believe
But if we sow the seeds of bad karma bad fruit we will receive
If on your way to financial success others out of money you did cheat
To karma you will have to pay the price of your deceit.
What goes around always comes around some have been known to say
And for every wrong to others that we do some price we have to pay
And though the law may not bring you to book your past will follow you
And one day in some way you will pay for every wrong you do.
You may be a known billionaire one of the privileged few
And money brings one respect and power and others look up to you
But if in your climb to success you've harmed others in some way
Karma will not respect you when it visits you one day.
A very wealthy person you own half of the Town
But on your way up the corporate ladder you have dragged a few down
And you may be one of those who think that to cheat and lie for gain is fair
But karma will not ignore you though you are a billionaire.
Calling Deep Throat! Where are you Deep Throat? Tell us what you know.
Where is Mister I have 500 badges and 6,000 Education hours today?
How will he spin this ?
Bob saw this coming a mile away. We don't need no stinking customers.
@ak
IBM moved Power development to India. You get what you have paid for.
Pay for mediocrity, you get mediocrity.