All four major financial web sites have this as a top story. As for us - we'll feel the pain again. And, the dividends will keep coming for sure, stock buybacks will continue and Ginni Rometty will continue to unload massive piles of cash for her stellar performance.
The rest of us, we can get ready for a brand new wave of RAs - careers interrupted and promises broken - yet, nobody at the top will feel the pain - that's your brave new IBM of 2017...
non-operational measures = RAs and other black magic
it's an undertakers tactic, let's bury them
IBM's Margins Were The Big Problem --
http://www.benzinga.com/analyst-ratings/analyst-color/16/10/8572082/ibms-margins-were-the-big-problem
"Garcha reiterated an Underperform rating on the company with a price target of $110.
The analyst mentioned that at first glance, the results appeared better than expected, with revenue declining on 0.3 percent year-on-year to $19.2 billion and EPS at $3.29, both metrics beating the consensus forecasts but missing the estimates.
'The results were again helped by non-operational measures, which we find concerning. We believe the secular and structural challenges facing IBM remain, and specifically see limited improvement in Services and Software margins,' Garcha stated.
The analyst pointed out that the EPS beat was helped by a 14 percent tax rate, while IP revenue of $528 million helped PTI by $320 million or EPS of $0.27."
Just got fired from IBM today. I'm 64 and so was expecting the axe to fall at any time. All the people who are my age are either being let go or retiring, IBM seems to want younger, cheaper employees as a conscious policy.
http://www.forbes.com/sites/laurengensler/2016/10/17/ibm-third-quarter-earnings/#283a882b15b1
The articles said revenue down but beat expectations but failed to say IBM game plan
Eliminated $50 a month for internet and cell phones for 24x7 support people
Reduced severance from 6 months max to 1 month
Offshore more jobs leading to more US ra's
Hire more contractors and play with their hours and pay no benefits
Not matching 401k unless employed on Dec 15th
I'm sure there are other items that Change to help with their expectations
Right, new round of RA's supposed to start this week or very soon. That's our reward for busting our butts, while the execs will be showered with bonuses, raises, and more stock. I suggest a silent walkout. Most of us in IBM work from home. How about filling your calendar with any ridiculous meeting or webcast you can find, even if it's not related to your job role, and just stop working. Go to the Ayco site and schedule all of their financial seminars, they are very good and it's an IBM benefit. Polish up the resume, spend time with the family, read, do enjoyable things. You are on the way out one way or the other, so enjoy life a little.