By Stephen Guilfoyle
Publication Date: 2026-04-23 16:20:00
On Wednesday evening, IBM (IBM) released its first-quarter financial results. For the period ended March 31, the company posted adjusted EPS of $1.91 (GAAP EPS: $1.28) on revenue of $15.917 billion. These top-line and adjusted bottom-line results both beat Wall Street’s expectations, while that sales print was good for year-over-year growth of 9.5%.
The shares are trading sharply lower Thursday. Why? The guidance issued did not blow Wall Street away. Perhaps they expected more. Perhaps IBM is managing expectations.
I initiated a long position in the name overnight. This is that story. Psst… I was okay with the guidance.
Arvind Krishna, chair, president and CEO of IBM, commented in the press release:
“The first quarter was a strong start to the year with broad-based revenue growth across our segments. These results reflect the integrated value of our portfolio and the trust clients put in us to improve their operations. As clients scale use cases, AI continues to be a…
