121.62 0.00 (0.00%)
After hours: 5:15PM EST
|Bid||121.50 x 800|
|Ask||121.61 x 1000|
|Day's Range||120.83 - 122.00|
|52 Week Range||105.94 - 171.13|
|Beta (3Y Monthly)||1.61|
|PE Ratio (TTM)||19.60|
|Earnings Date||Jan 22, 2019|
|Forward Dividend & Yield||6.28 (5.16%)|
|1y Target Est||147.11|
Red Hat shareholders have approved the company’s proposed $34 billion buyout by IBM. With more than 141 million votes for the proposal – as opposed to nearly 182,000 against it – shareholders approved the deal at a special stockholder meeting Wednesday.
Will Azure Help Microsoft Consolidate Its Hybrid Cloud Position?Azure, the central theme to hybrid cloud strategy Recently, Microsoft (MSFT) explained how the hybrid cloud, AI, and IoT (Internet of Things) are interconnected, complementing each
In this daily bar chart of IBM, below, we can see a developing bottom pattern since early November. Note that the On-Balance-Volume (OBV) line makes a higher low in December versus last October. The OBV line is close to making a new high for the move up and signals a shift from the aggressive selling seen in October.
Can Warren Buffett Outperform the Markets in 2019?(Continued from Prior Part)Warren Buffett As we noted in the previous part, Berkshire Hathaway (BRK-B) has an enviable record of beating the S&P 500 (SPY). Berkshire Hathway managed to beat the
Should You Consider Microsoft Stock in 2019?One of the top software stocks to own in 2019 2019 has started on a very positive note for Microsoft (MSFT), a leading player in the enterprise software space. Earlier this week, it secured a
Ford, IBM and LG have joined forces to use blockckain to prevent child labour being used to mine minerals essential for making smartphones and electric cars. The three multinationals and China’s Huayou are using the technology to track cobalt mined in the Democratic Republic of Congo along the supply chain to batteries making batteries for Ford’s electric vehicles. Lithium-ion batteries are found in a host of consumer electronics including iPhones and tablets.
ARMONK, N.Y., Jan. 16, 2019 /PRNewswire/ -- Today, IBM Services (NYSE: IBM) announced a $325 million agreement with Juniper Networks in which IBM will assist the network technology giant in managing its existing infrastructure, applications and IT services to help reduce costs and enhance their journey to the cloud. According to a recent report from IBM's Institute for Business Value, nearly all companies surveyed said they are using some form of cloud computing today, with 85 percent using more than one cloud environment. As part of the seven-year agreement, IBM will use the IBM Services Platform with Watson to help manage the Sunnyvale, Calif. based company's support systems including data centers, help desks and data and voice networks.
Only in 2019 would a tech company embarking on a debt-financed $34 billion acquisition be considered a “defensive play.” But that’s what one analyst is calling IBM stock.
A New York Times article I read in early January discussed how Apple (NASDAQ:AAPL) CEO Tim Cook was going to have a really tough time in the year ahead, possibly his toughest test since taking over as CEO, putting doubts about Apple stock in the heads of investors. The author (Jack Nicas) provided five reasons why this could be Cook's toughest year yet: China's not nearly as lucrative as once thought; people own phones longer; President Trump can't stand Chinese-made products; Apple's become defensive about iPhone sales; and innovation is slowing in Cupertino. In the words of Judge Chamberlain Holler (Fred Gwynne) from the movie My Cousin Vinny, the author's arguments are very lucid, intelligent, and well-thought out. InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 10 Growth Stocks With the Future Written All Over Them Indeed,Tim Cook's ability to drive Apple stock higher is not a slam dunk, but it's important to remember that the pace of innovation at most of the smartphone companies, not just Apple, appears to be slowing as new ideas get harder and harder to deliver. While I understand why people think that Apple is not going to have an easy time in the years ahead, I believe that Warren Buffett's big bet on AAPL stock is a good one that will continue to be positive for Berkshire Hathaway's (NYSE:BRK.A,NYSE:BRK.B) shareholders for years to come. Unlike Buffett's IBM (NYSE:IBM) investment, his investment in Apple stock will turn out to be one of his best moves in a long, illustrious career. Here are seven reasons why. ### Reasons Why Berkshire Will Benefit From Apple Stock: Buffett Himself It's become a cottage industry of sorts to second-guess Warren Buffett's stock picks in recent years, but the fact is, he and his team are still very good at making long-term bets on stocks and riding them to big profits. The Jan. 3 headline on CNN Business said it all. Apple's plunge has cost Warren Buffett nearly $4 billion today. Berkshire Hathaway owns almost 253 million shares of Apple, making the holding company Cupertino's third-largest shareholder behind BlackRock (NYSE:BLK) and Vanguard. It's also Berkshire Hathaway's largest equity holding, accounting for 26% of the company's stock portfolio. Buffett wouldn't risk so much on Apple stock if he wasn't certain that the long-term upside is much greater than the short-term pain created by the slump of AAPL stock. Warren Buffett is the type of person who's very good at seeing the big picture. If he sees a good future for AAPL, I do, too. ### Reasons Why Berkshire Will Benefit From Apple Stock: Huge Free Cash Flow Anytime I see an article about Apple's free cash flow, I need to read it. Apple might be suffering a crisis of innovation - at least if you believe the detractors - but it's not suffering from a shortage of cash. Seeking Alpha contributor Robert Riesen recently detailed five reasons why Apple stock is a good buy at current prices. High atop his list was the company's ability to generate cash, not to mention its huge cash stockpile. In 2018, AAPL repurchased $73.1 billion of Apple stock, more than it repurchased in the two previous years combined. The company paid $180.25 per share on average, about $10 less than the midpoint between the high ($233.47) and low ($142.00) of Apple stock over the past 52 weeks. Most companies tend to pay more than the 52-week midpoint price, so from that perspective AAPL is effectively repurchasing its shares. Apple finished its last fiscal year with $71 billion left on its share repurchase authorization. With Apple stock trading lower than the midpoint between its 52-week high and its 52-week low, expect AAPL to buy a lot of shares in the first half of 2019. As Riesen stated in his Seeking Alpha article, AAPL produces at least double the amount of free cash flow of other companies on the market, yet AAPL stock has a similar enterprise value to other tech companies. Apple's cash flow generation should be worth more to investors. ### Reasons Why Berkshire Will Benefit From Apple Stock: Valuation One of the valuation metrics I like to use when analyzing any company is free-cash-flow yield, defined as free-cash-flow per share divided by market cap plus long-term debt less cash. That metric tells you not only that the company is generating significant free cash flow, but also that it's trading at a reasonable valuation. Currently, Apple's enterprise value is 11.72 times its free cash flow of $67.4 billion. To get the free cash flow yield, you divide $67.4 billion into the company's enterprise value of $789.6 billion. The result is a free-cash-flow yield of 8.5%, above the 8% minimum for which most value investors look. Riesen compares nine other tech companies to Apple. Only IBM (barely) has a lower enterprise value to free-cash-flow ratio, which suggests that investors continue to underestimate the value of its free-cash- flow generation. That's okay. When a recession hits, AAPL will have more cash than almost any other company, putting it in a great position to weather the storm. That's got to be worth more than 11.7 times free cash flow. ### Reasons Why Berkshire Will Benefit From Apple Stock: Services RBC Capital Markets recently warned that the company's services revenue slowed to about 18% growth last quarter, well below the 27% growth that analysts were expecting. According to the firm, fewer purchases of AppleCare due to a lack of hardware upgrades were the main culprit. Despite this warning, RBC remains confident about the ability of Apple's services business to move the needle for AAPL stock. "We think investors are better off remaining positive here given attractive valuation and high probability for services to re-accelerate later in 2019 via new offerings," RBC said on Jan. 14. One theory is that big companies like Netflix (NASDAQ:NFLX) are starting to require new subscribers to sign up directly with them. By doing so, the companies no longer have to pay large fees to Apple and Alphabet (NASDAQ:GOOG,NASDAQ:GOOGL) to sell their products and services in the Apple and Google app stores . I don't know how much water this argument holds, but I do know that Apple's services revenue is not going to go up in a straight line. There are going to be quarters when consumers throttle back spending, and this quarter appears to be one of them. Tim Cook's argument is that AAPL wants its customers to enjoy their phones, and that services such as iTunes and the App Store help them do that. I couldn't agree more. In the future, AAPL will focus not just on selling phones, but on generating ancillary revenue from phone owners. The company's recurring revenue will more than offset the impact to its top line of declining phone sales. Over the long-term, that will be a winning plan for owners of AAPL stock. ### Reasons Why Berkshire Will Benefit From Apple Stock: China In what's become a broken record, analysts are recommending that Apple lower the price of its phones in China because the high prices of iPhones puts the company at a severe disadvantage to other phone providers in the country. "Apple needs to make sure that over the next few quarters they do not lose any current iPhone customers, and thus speaks to the more significant price reductions on the way in China, in our opinion," Wedbush analyst Dan Ives stated on Jan. 14. "This is a smart and necessary strategy." Ives believes that Apple needs to cut the price of its iPhone XR by 20% in China to stop hemorrhaging customers, many of whom are flocking to cheaper phones. In December, I wrote that AAPL shouldn't cave in to pressure to lower its phone prices in India; I have the same viewpoint about China. iPh0ne isn't supposed to be everybody's phone; it's supposed to appeal to people who don't want to spend a lot of time figuring out how to use phones. Apple's products have generally been easy to use, and its customers have to pay for that privilege. By cutting its prices, AAPL would not only cut into its margins, but destroy its brand power. I understand that AAPL is not selling enough phones in China, but if the price of the iPhones was the only thing holding it back, I'm pretty sure it would have acted a long time ago. If Apple wants to be an important part of the Chinese smartphone market, it needs to remain the premium option for the country's consumers. It must have patience. ### Reasons Why Berkshire Will Benefit From Apple Stock: Privacy Did you see the bold, amusing ad that Apple placed on the side of a hotel in Las Vegas during CES 2019? It read, "What happens on your iPhone, stays on your iPhone." It was meant as a dig against the Facebooks (NASDAQ:FB) of the world who will gladly sell your information to the highest bidder, even if that bidder happens to be a Russian named Vladimir Putin. While Apple's iPhone isn't free of privacy issues caused by third-party apps downloaded on the App Store, AAPL does not release its customers' data and information to anyone who wants it. That's because it doesn't use this information for advertising purposes. That's what makes AAPL so much more attractive than many of its competitors and peers. "Apple needs to sell privacy with as much marketing skill as it does its 'super-Retina screens' and 'precision-machined, surgical-grade stainless steel,'" wrote 9to5 Mac contributor Ben Lovejoy in December. "Long-term, I'd guess privacy promotion will do more to sell iPhones than any number of trade-in deals. And it will enhance the company's image, not damage it." That strategy, in my opinion, is far smarter than dropping the price of an iPhone in China by 20%. It's harder to do but worth far more to the brand in the long run. ### Reasons Why Berkshire Will Benefit From Apple Stock: Tim Cook Tim Cook took an impossible task - succeeding Steve Jobs as CEO - and made it look easy. I don't know the man, but he seems like a very genuine person, who puts his pants on one leg at a time, just like the rest of us. Among the issues that he's had to face since becoming chief executive: * A slowdown of iPad sales * A slowdown of iPhone sales * Too much cash * Too small of a dividend * No great product innovations I could add another five issues, maybe ten, to the list. Yet, since Cook was named CEO in August 2011, Apple stock is up almost 200%, which includes a 30% drop over the last three-and-a-half months. Owners of Apple stock were spitting nails when Steve Jobs got sick and then died because they were worried that Jobs's replacement would be some number cruncher with no clue about innovation. That's what many of them thought about Cook, but he's proven to be far more technologically adept than most people gave him credit when he first became CEO. I'm not going to say much about Cook other than to note that Warren Buffett's said a lot of good things about the man. If you haven't noticed, Buffett knows a thing or two about sizing up a person. Cook's a keeper. As of this writing, Will Ashworth did not hold a position in any of the aforementioned securities. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Top 10 Global Stock Ideas for 2019 From RBC Capital * 10 A-Rated Stocks the Smart Money Is Piling Into * 5 Best Bank ETFs for This Week's Earnings Avalanche Compare Brokers The post 7 Reasons Why Buffettas Bet on Apple Stock Is a Good One appeared first on InvestorPlace.
Adam Neumann, an Israeli-born entrepreneur, has made millions of dollars by leasing multiple properties in which he has an ownership stake back to WeWork.
IBM is one of the "Dogs of the Dow." The stock set its all-time high of $215.90 in March 2013 and declined to a multi-year low of $105.94 on Dec. 26.
It doesn't take a genius to realize that social media company Snap (NYSE:SNAP) is in serious trouble. Last year, SNAP stock dropped more than 55%, making it one of the worst-performing investments in the marquee New York Stock Exchange. Unfortunately, the embattled organization will likely suffer a repeat performance in 2019 unless it can turn the ship around. In a shocking announcement Tuesday, management revealed that CFO Tim Stone will step down from his post. As a result, Snap stock tumbled over 7% during extended trading. Heading into Wednesday's session, SNAP stock is trending down more than 11%! If you've followed the company's (usually negative) news stream, you'll know that Stone's departure comes amid a wave of high-profile executives abandoning ship. Last year, marketing VP Steve LaBella and chief strategy officer Imran Khan sought greener pastures. Most recently, HR head Jason Halbert resigned earlier this week. InvestorPlace - Stock Market News, Stock Advice & Trading Tips As if things couldn't get worse for SNAP stock, Stone's tenure was one of the shortest in the organization's history. The now-former CFO lasted only eight months. * Top 10 Global Stock Ideas for 2019 From RBC Capital Per protocol, SNAP CEO Evan Spiegel offered the usual niceties. As far as the real motives behind the quick exit, we can only speculate. But we can make one statement with reasonable certainty: the decisive catalyst(s) must have been overwhelming. We have to remember that executives don't make these decisions lightly. While they enjoy impressive salaries and benefits, a poor reputation can quickly end that joyride. Specifically, Stone left e-commerce and technology giant Amazon (NASDAQ:AMZN) for this role. That's not an easy gig to walk away from. Further, Stone's prospective employers will rightfully question his motives and commitment. Not only that, the company offered him $20 million in restricted stock, with an option to buy 500,000 common shares. ### Bad Omen for SNAP stock No matter how rich you are, you never willingly leave money on the table. In fact, the affluent become more emboldened with their negotiating skills: that's why they're rich! Therefore, it's shocking for anyone to let so much wealth go. Because of his extremely truncated tenure, Stone will not receive a majority of the compensatory benefits tied to SNAP stock. Simultaneously, the executive indirectly sullied his 20-year career at Amazon. So what could drive someone to this drastic decision? Again, we can only speculate. But examining the common reasons why CFOs quit is revealing, and portends further pain for Snap stock. From an administrative perspective, CFOs typically leave due to interpersonal conflicts. This is a broad category that covers situations such as executive and directorial dysfunction, a poor relationship with the CEO, and ineffective talent within the finance group. On a personal level, a CFO could simply get bored with non-stimulating work. Or they could simply jump ship for more money. None of these reasons satisfactorily explains why Stone pulled the plug. Moreover, they're related to executives who put in the time to discover these negatives. As The Wall Street Journal explained a few years back, a sudden departure may spell trouble. In some cases, the problem is due to executives butting heads. But in others, a fundamental vulnerability may exist in the target organization. The WSJ chronicled 3D Systems' (NYSE:DDD) former finance chief Ted Hull similarly brief tenure. When 3D Systems initially hired Hull, he represented a steal. Previously, Hull worked at Cisco Systems (NASDAQ:CSCO) and International Business Machines (NYSE:IBM). In reality, Hull was a bad omen. The 3-D printing industry's growth narrative declined significantly. Apparently, there was nothing he or anyone could do to save DDD. ### Huge Uphill Battle Lies Ahead for Snap Stock Prior to the news, a temptation existed to take the contrarian trade. As I mentioned earlier, SNAP stock absorbed significant pain. However, its Snapchat app remains popular with its core young audience. Additionally, management is actively seeking international opportunities. But at some point, we must read between the lines. Among publicly traded competitors Facebook (NASDAQ:FB) and Twitter (NYSE:TWTR), Snap has the smallest subscriber footprint. However, its youth-centric focus means it has to win the volume game with its core audience. After all, Snap stock isn't exactly an older person's investment. Unfortunately, Facebook's Instagram app has disrupted the company's dominance in the younger demographic. Further, FB has the resources to bombard SNAP relentlessly. All management can hope for is that they can be bought out at a reasonable price. That sounds awfully negative until you realize that Stone left a fortune on the table. For him, leaving was the rosier option compared to gobs of money. If that's not an indictment against SNAP stock, I don't know what is. As of this writing, Josh Enomoto did not hold a position in any of the aforementioned securities. ### More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * Top 10 Global Stock Ideas for 2019 From RBC Capital * 10 A-Rated Stocks the Smart Money Is Piling Into * 5 Best Bank ETFs for This Week's Earnings Avalanche Compare Brokers The post Snap Stock: Why Would Its CFO Resign So Abruptly? appeared first on InvestorPlace.
Brexit Deal Goes Down in Flames, Markets Yawn Theresa May’s Brexit deal was defeated by such a large margin, 432-202, that stock markets have been shocked into complacency over it, or at least that’s what it seems. With such a huge defeat, there is no way that the deal can be renegotiated or tweaked to […] The post Market Morning: Brexit Burn, New Anti-Cannabis AG, Cobalt On Blockchain, Microsoft on Healthcare appeared first on Market Exclusive.
Carmaker Ford, technology giant IBM, South Korean cathode maker LG Chem and China's Huayou Cobalt have joined forces in the first blockchain project to monitor cobalt supplies from Democratic Republic of Congo. The pilot, overseen by responsible-sourcing group RCS Global, aims to help manufacturers ensure that cobalt used in lithium-ion batteries has not been mined by children or used to fuel conflict. Companies are under pressure from consumers and investors to prove that minerals are sourced without human rights abuses, but tracking raw materials throughout their journey is challenging.
Carmaker Ford (F.N), technology giant IBM (IBM.N), South Korean cathode maker LG Chem and China's Huayou Cobalt have joined forces in the first blockchain project to monitor cobalt supplies from Democratic Republic of Congo. The pilot, overseen by responsible-sourcing group RCS Global, aims to help manufacturers ensure that cobalt used in lithium-ion batteries has not been mined by children or used to fuel conflict. Companies are under pressure from consumers and investors to prove that minerals are sourced without human rights abuses, but tracking raw materials throughout their journey is challenging.
The group, which includes participants at each major stage of the supply chain from mine to end-user, will begin with a pilot focused on cobalt and explore the creation of an open, industrywide blockchain platform that could ultimately be used to trace and validate a range of minerals used in consumer products.
CAMBRIDGE, Mass. , Jan. 15, 2019 /PRNewswire/ -- IBM (NYSE: IBM ) today announced that IBM® MaaS360® with Watson™ has been named by Google as an Android Enterprise Recommended solution for company-owned, ...
IBM (IBM) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
Instinet analyst Jeffrey Kvaal reduced his price target on shares of International Business Machines Corp. to $160 from $170 on Tuesday, citing unfavorable foreign-exchange trends. Kvaal nonetheless remains upbeat about the stock, maintaining a buy rating and calling shares his "preferred tech defensive play" due to its annuity revenue, low valuation, and potential to return to sales growth. Stifel analyst David Grossman also cut his IBM target price, to $145 from $178, ahead of the company's Jan. 22 earnings report. "IBM is trading at 12x FCF, which suggests the quarter is an unlikely catalyst given the absence of near-term growth," he wrote. Grossman has a buy rating on the shares. IBM shares are inactive in premarket trading Tuesday. The stock has dropped about 15% over the past three months, as the Dow Jones Industrial Average has fallen 5.3%.
NEW YORK, Jan. 15, 2019 /PRNewswire/ -- NRF 2019, NYC -- Today at the National Retail Federation's 2019 Big Show, IBM (NYSE: IBM) announced the latest findings of a study into the Retail & Consumer Industry and launched new AI-powered innovations to help the retail industry accelerate customer experience by providing tools designed to optimize worker and business performance. At the heart of this is retail's growing adoption of intelligent automation, defined as the convergence of people, processes, automation, and AI.
# International Business Machines Corp ### NYSE:IBM View full report here! ## Summary * Perception of the company's creditworthiness is negative * Bearish sentiment is low * Economic output for the sector is expanding but at a slower rate ## Bearish sentiment Short interest | Positive Short interest is extremely low for IBM with fewer than 1% of shares on loan. This could indicate that investors who seek to profit from falling equity prices are not currently targeting IBM. ## Money flow ETF/Index ownership | Neutral ETF activity is neutral. The net inflows of $15.71 billion over the last one-month into ETFs that hold IBM are among the highest of the last year, but the rate of growth is slowing. ## Economic sentiment PMI by IHS Markit | Negative According to the latest IHS Markit Purchasing Managers' Index (PMI) data, output in the Technology sector is rising. The rate of growth is weak relative to the trend shown over the past year, however, and is easing. ## Credit worthiness Credit default swap | Negative The current level displays a negative indicator. IBM credit default swap spreads are near their highest levels for the past 1 year, which indicates the market's more negative perception of the company's credit worthiness. Please send all inquiries related to the report to email@example.com. Charts and report PDFs will only be available for 30 days after publishing. This document has been produced for information purposes only and is not to be relied upon or as construed as investment advice. To the fullest extent permitted by law, IHS Markit disclaims any responsibility or liability, whether in contract, tort (including, without limitation, negligence), equity or otherwise, for any loss or damage arising from any reliance on or the use of this material in any way. Please view the full legal disclaimer and methodology information on pages 2-3 of the full report.