A Glimpse of IBM's Earnings Potential

IBM (NYSE:IBM) is set to give its latest quarterly earnings report on Wednesday, 2024-10-23. Here's what investors need to know before the announcement.

Analysts estimate that IBM will report an earnings per share (EPS) of $2.22.

IBM bulls will hope to hear the company announce they've not only beaten that estimate, but also to provide positive guidance, or forecasted growth, for the next quarter.

New investors should note that it is sometimes not an earnings beat or miss that most affects the price of a stock, but the guidance (or forecast).

Historical Earnings Performance

Last quarter the company beat EPS by $0.24, which was followed by a 4.33% increase in the share price the next day.

Here's a look at IBM's past performance and the resulting price change:

Quarter

Q2 2024

Q1 2024

Q4 2023

Q3 2023

EPS Estimate

2.19

1.60

3.78

2.01

EPS Actual

2.43

1.68

3.87

2.20

Price Change %

4.0%

-8.0%

9.0%

5.0%

Stock Performance

Shares of IBM were trading at $231.75 as of October 21. Over the last 52-week period, shares are up 69.37%. Given that these returns are generally positive, long-term shareholders are likely bullish going into this earnings release.

Analyst Views on IBM

For investors, grasping market sentiments and expectations in the industry is vital. This analysis explores the latest insights regarding IBM.

The consensus rating for IBM is Buy, derived from 12 analyst ratings. An average one-year price target ...