IBM (IBM) Set to Announce Earnings Tomorrow: What You Should Know

IBM Set to Announce Earnings: What Investors Should Know

This Wednesday after market close, IBM (NYSE:IBM), a leader in technology and consulting, is scheduled to release its latest earnings report. Here’s a breakdown of what to expect.

In the previous quarter, IBM surpassed Wall Street’s revenue projections by 1.4%, posting $16.33 billion in revenue—a 9.1% increase from the prior year. The company also exceeded analyst forecasts for both operating income and earnings per share, marking a robust performance.

For the upcoming quarter, analysts anticipate IBM’s revenue will climb 9.5% year-over-year to reach $19.21 billion, a notable improvement compared to the flat results from the same period last year. Adjusted earnings per share are projected to be $4.29.

IBM Total Revenue

Over the past month, most analysts have maintained their forecasts for IBM, indicating confidence in the company’s current trajectory. However, it’s worth noting that IBM has fallen short of revenue expectations twice in the last two years.

Performance Among Industry Peers

Several companies in the IT services and technology sector have already shared their fourth-quarter results, offering some context for IBM’s upcoming report. Accenture, for example, reported a 6% increase in revenue year-over-year, beating analyst estimates by 1.2%. Applied Digital saw its revenue surge by 98.2%, outpacing expectations by 14.8%. Following these announcements, Accenture’s stock remained steady, while Applied Digital’s shares rose by 8.1%.

Market Trends and Analyst Outlook

Within the IT services and technology sector, share prices have risen by an average of 1.8% over the past month as earnings season approaches. In contrast, IBM’s stock has declined by 3.1% during the same period. Analysts currently have an average price target of $305.16 for IBM, compared to its recent trading price of $296.46.

Looking Ahead: The Next Big Players in Tech

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