This was written by CNBC producer, Robert Hum
After the bell, IBM is down 3 percent after its Q1 revenue results missed estimates, led by double-digit declines in Systems and Technology (down 23 percent) as well as the Global Services (down 10 percent) divisions.
Helped by better-than-expected gross margins, however, the tech giant actually bested analysts’ estimates on the bottom line. Additionally, it remained optimistic for the year, providing earnings guidance of “at least $9.20” per share – well ahead the $9.03 street forecast.
And how’s this for optimism?
During a time of much economic uncertainty and limited visibility, IBM defies the recent trend set by most companies. While many companies have refrained from giving much quantitative guidance for both the near-term and long-term horizons, IBM assures investors that the company is “ahead of pace” on their $10-$11 EPS guidance for NEXT year. Analysts are currently expecting IBM’s 2010 earnings to be around $9.78 per share.
- From our bloggers: Jim Goldman reports "IBM Does Some Financial Hand-Holding"
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