IBM stock crashes 30% as mainframe revenue collapses 42%

Earnings

โดย 24/7 Wall St.·Read original

Summary · why it matters

IBM's stock has plunged 30% this year after the company reported a 42% collapse in mainframe revenue, dragging total infrastructure revenue down 7% in the second quarter. The company posted quarterly revenue of $17.2 billion, up 1% year over year, while net income fell 1% to $2.2 billion. By comparison, Microsoft's single-quarter net income of $38.5 billion exceeds IBM's entire quarterly revenue. IBM's market capitalization has shrunk to just under $200 billion, while privately held OpenAI is valued at an estimated $900 billion. The company has missed every major tech revolution from personal computers to artificial intelligence, leaving it far behind rivals like Microsoft, Alphabet, and Amazon.

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