IBM is scheduled to report third-quarter 2026 results after the close on October 21, with Zacks consensus at $16.84 billion in sales and $2.87 per share in earnings. The 2026 EPS estimate has held at $12.33 over the past 60 days, while the 2027 estimate is up 0.08% to $13.20. IBM has averaged a 4.6% earnings surprise over four quarters and beat estimates three times, but Zacks' model does not predict a Q3 beat, with an Earnings ESP of -0.63% and a Zacks Rank #3. Recent deals include a multi-year, $240 million agreement with Together AI, while the article flags competition from AWS and Microsoft Azure, the threat from Anthropic's Claude Code to legacy COBOL service work, and ongoing pricing pressure eroding margins.
Summary written by Upside AI from the original article. Read the source for full details.
Read the original on Yahoo Finance ↗
Related news
- Spain to approve pension increase as soon as possible , but not before December
Spain's pensioners will see no increase before the 29 November elections, but Economy Minister Carlos Cuerpo said the government will approve the rise by royal decree-law in December, once November inflation data is published on 27 November. Funcas estimates the rise at about 3.6%, lifting the average pension by around €50 to €1,424 a month. The minimum wage is also expected to rise during the campaign, having increased 66% since the coalition took office. Cuerpo stressed that settling the increases is important to reduce uncertainty as Spain enters 2027 without a government.
- 3 Reasons to Buy Silicon Motion Technology Before the End of 2026
Silicon Motion Technology (SIMO) makes NAND flash controllers that are vital for AI infrastructure and works with major memory makers including Micron, Samsung, SK Hynix and Sandisk. Second-quarter revenue more than doubled year over year, net income rose from $16.3 million to $136.1 million, and the stock trades at a 19.6 forward P/E. The company guided for up to $541 million in third-quarter revenue, a 20% sequential jump, and has a history of beating its guidance. The author argues the 20% drop over the past week reflected macroeconomic issues rather than company fundamentals, and that the company will likely beat guidance again when it reports on Oct. 29.
- Should You Buy Netflix Stock Before Oct. 20? History Has a Clear Answer.
Netflix reports third-quarter results next week, and its shares have fallen 40% over the past year as momentum and expectations both remain low. The company's own guidance calls for revenue growth of 11.7%, its weakest in three years, and revenue growth is expected to slow for a third consecutive quarter. The author notes the stock has fallen after each of its last five quarterly reports, with an early spring rally as the main exception. The article also points out that Netflix has recovered from past plunges, including an 83% drop after the Qwikster fiasco in 2011 and a 77% peak-to-trough fall in 2022 that it made back within two years. The author finds the recent chart troubling, but says the longer-term record is more encouraging.
- Got $1,000? 1 Top Stock to Buy Amid the Semiconductor Sell-Off Before It Triples by 2030
The PHLX Semiconductor Sector Index has jumped 440% over four years, well ahead of the Nasdaq Composite's 159% gain, but has lost more than 10% in the past week after comments from Broadcom CEO Hock Tan and Intel CEO Lip-Bu Tan about funding constraints on AI infrastructure. The article argues Marvell Technology (MRVL) has strong growth prospects, with fiscal 2026 revenue of $8.2 billion (up 42%), a targeted 55%-60% revenue CAGR through fiscal 2031, and fiscal 2031 revenue expected at $70 billion to $90 billion. Analysts estimate EPS will rise 48% in the current fiscal year, and EPS could reach $12.50 in fiscal 2029. In the author's scenario, EPS hits $28.12 after five years and a 31.5x earnings multiple lifts the stock to $885, 261% above its current price, which would make a $1,000 investment worth over $3,600.
- Do This Before You Buy Another Trump Stock …
The article argues that government backing does not guarantee a stock’s price, since investors often bid up shares before the benefits materialize, a premium the author calls the “Washington premium.” It cites Intel Corp. (INTC), where an agreement with the Trump administration includes an $8.9 billion investment for a 9.9% passive stake with no board seat, and MP Materials Corp. (MP), whose Pentagon deal includes a 10-year price floor on neodymium-praseodymium products. The author stresses that such support does not answer normal business questions about execution, competitiveness, earnings and a sensible share price. The piece compares this with the 2008 rescue of Fannie Mae and Freddie Mac, where existing common shareholders bore losses even though the government protected the mortgage market.
- 3 Chip Stocks to Buy Before Big Tech Reports Its Spending Plans
Microsoft reports fiscal first-quarter results on Oct. 28, and capital spending plans at the big cloud and internet companies keep rising, with the four largest now expected to spend over $700 billion this year. Alphabet raised its 2026 outlook to $195 billion to $205 billion, Amazon to around $220 billion, and Meta to $130 billion to $145 billion, nearly double its 2025 spending. Nvidia's data center revenue rose 117% to $89.0 billion in fiscal Q2 2027 and the stock trades at about 14 times earnings, while Broadcom's AI semiconductor revenue grew 221% to $16.7 billion and data centers made up 79% of Marvell's revenue. The author considers all three worth buying, ranking Nvidia first as the cheapest, and warns that plans flattening in late October could pressure the stocks.
Related markets
Latest news
- Meta Earnings: What To Look For From META
Meta Platforms (NASDAQ:META) will report earnings this Wednesday after the market closes. Last quarter, revenue reached $60.8 billion, up 28% year on year and above analysts' expectations, though revenue guidance for next quarter slightly missed forecasts; daily active users hit 3.6 billion, up 3.4%. The market expects revenue growth of 23.6% this quarter, slowing from 26.2% a year earlier, and analysts have generally reconfirmed their estimates over the past 30 days. Over the last month, consumer internet stocks have gained 1.3% on average, while Meta is down 4.8%.
- An AI bust could come from places investors arent watching , an economist says
Concerns about an AI bubble are growing, and TS Lombard's Dario Perkins warns that investors may be overlooking other risks. Debt among smaller cloud providers, model developers and suppliers could reach $2 trillion by the end of 2027. Perkins does not see this as a systemic risk, but warns that earnings disappointments and canceled orders could ripple through the ecosystem, and that a chip glut could follow over-ordering. Much of the industry's revenue growth still comes from spending within the AI ecosystem rather than from businesses and consumers outside it. He also flags political backlash, noting that ordinary people dislike AI and nearby datacenters, and warns that one high-profile accident could turn AI toxic.
- Yen jumps after JGB auction draws big demand , euro finds relief
The yen rose 0.2% to 158.15 per dollar in Asian trading after a 20-year Japanese government bond auction drew bids of 5.84 times the amount sold, well above the 4.01 times at the previous auction, and the yield fell 6 basis points to 3.71%. A State Street strategist said the record demand suggests sidelined cash is returning and that JGBs are becoming a relative haven from political and fiscal volatility in Europe, particularly France. Anti-government protests in France prompted curfews in several cities, while Italy said it would send 500 troops after two days of unrest, and the euro rallied 0.2% to $1.1234. Elsewhere, bitcoin slipped 0.3% to $81,674.25 and ether edged down 0.2% to $2,393.21.
- Unemployment rate dips to 4 . 7 % - but vacancies hit five - year low
Vacancies fell by 21,000 to 691,000 in the three months to September, the biggest drop since the three months to March and the lowest since July to September 2014 outside the pandemic, while unemployment dipped in the three months to August. Payroll numbers were down 66,000 over the year to September. The ONS said the fall was mainly among smaller firms struggling with higher labour costs, following rises in employer national insurance, the minimum wage and workers' rights. A CBI survey found labour costs and regulations were making it harder to create jobs, and firms urged the Chancellor not to add to their burden in the October 28 Budget. ICAEW's Suren Thiru said the labour market is 'running on idle' and unemployment could climb above 5 per cent, while Shadow Chancellor Andrew Griffith blamed Labour's 'Jobs Tax' and red tape.
- CNBC Daily Open: Tech rebounds in the U.S., but Asia isn’t buying it yet
U.S. tech stocks rebounded as the Nasdaq Composite rose more than 1% on Monday, with Nvidia up 1.4% and Tesla up 3.8%. In Asia, however, tech shares fell on Tuesday, with South Korea's Kospi down over 4% and Japan's Nikkei 225 down 1.6%. Nvidia also unveiled plans to back four German AI startups as part of its nearly $10 billion European investment commitment. Jenny Lee of Granite Asia said Asian companies are reaching IPOs much sooner, often at four to five years old, while Jio Platforms' Indian IPO saw its anchor investor quota oversubscribed more than 30 times, aiming to raise up to 302 billion rupees ($3.2 billion). In Singapore, several agricultural stocks fell after Senior Minister K Shanmugam warned that companies would not escape responsibility for possible roles in the haze, noting seven firms had been questioned by the Singapore Exchange.
- NiSource (NI) Stock Looks Overvalued Against Its Dividend Outlook
NiSource has nearly doubled shareholders' money over the past five years, delivering a 97.6% total return, which raises the question of whether dividends can justify the current share price. The article highlights a new 20-year energy agreement with Microsoft, including customer-funded grid upgrades and long-term electric service for data centers, which may affect future capital needs and cash-flow visibility. Using a Dividend Discount Model with inputs of about $1.35 dividend per share, roughly 9.07% return on equity, a payout ratio slightly above 61%, and implied dividend growth of about 3.5%, the estimated intrinsic value sits meaningfully below the current share price of $41.95. The model still does not bridge that gap, suggesting income investors are paying a premium for a relatively steady payout with modest assumed growth.
Get the briefing on Telegram or Zalo
Join the Upside Telegram channel or Zalo group for the Vietnam stocks and gold briefing at 8:00 and 19:00 (Vietnam time) on trading days, plus a weekly wrap on Saturday morning.