IBM is set to report Q4 earnings with positive earnings estimates, collaboration projects, and historical performance.

From Nasdaq: 2025-01-23 09:26:00

International Business Machines Corporation (IBM) is set to report fourth-quarter 2024 earnings on Jan. 29. Sales and earnings estimates are $17.6 billion and $3.74 per share, respectively. Earnings estimates for 2024 are at $10.16 per share, while for 2025, they are at $10.61 per share.

The cloud and data platform of IBM has delivered a four-quarter earnings surprise of 5.5% on average. In the last quarter, the company surpassed estimates by 1.3%.

For the upcoming results, IBM collaborated with Janes and Lockheed Martin, aiming to enhance decision-making in defense operations and accelerate AI-driven innovation in aerospace and defense applications, likely boosting revenues in the Consulting segment.

Despite facing competition and challenges in transitioning to the cloud, IBM has gained 28.3% in the past year, outperforming peers in the industry.

From a valuation perspective, IBM is trading at a premium compared to the industry and above its mean. The company shares currently trade at 20.96 forward earnings.

IBM aims to benefit from the increasing demand for hybrid cloud and AI solutions, but integration risks from acquisitions and competitive pressures pose challenges.

Experts have identified 7 best stocks for the next 30 days, with IBM being one of them. These stocks have historically outperformed the market with an average gain of +24.1% per year.



Read more at Nasdaq: IBM Stock Before Q4 Earnings: A Smart Buy or Risky Investment?