International Business Machines

20 Oct: IBM stock plunges 6% today reporting fiscal Q3 2020 earnings

IBM STOCK NEWS

IBM reported third straight quarter of revenue declines.

“International Business Machines (NYSE:IBM) reported its fiscal Q3 2020 earnings after close of trading Monday. IBM stock is down 6.5% in response as of 11 a.m. EDT today despite nailing the analysts’ consensus earnings target, and surpassing it on revenue.

Expected to earn $2.58 per share, IBM matched that on a pro forma basis. It beat the consensus estimate of $17.5 billion in revenue, at $17.6 billion.

While IBM beat estimates, its revenue still declined by 2.6%. Although that wasn’t a lot, it was the company’s third straight quarter of declining sales.

Earnings calculated according to generally accepted accounting principles (GAAP) didn’t come close to matching the company’s headline pro forma number. GAAP profits from continuing operations were only a diluted $1.89 per share. But this was a $0.02 improvement (1.1%) over last year’s Q3 number.”

Stock market data: Fool

At 3:13 PM, ET time today, October 20, 2020, International Business Machines Corporation (IBM) stock was at 117.05-8.47 (-6.75%). Stock Market open.