IBM beat earnings and the stock still fell almost 7% - why?
In plain EnglishWhen expectations are already high, “good” results can still disappoint. The price can drop even after a beat.
Who this affectsPeople who own IBM, other big tech/software stocks that report soon, and index funds that hold them.
Educational explanation of how this news can affect different companies. Not investment advice. About these explanations
SectorsTechnology and software: investors may compare upcoming results with already-high expectations.
StocksIBM, other big tech/software stocks reporting soon, and index funds that hold them.
RisksAn earnings beat does not guarantee a price rise. Expectations and future guidance can matter as much as recent results.
