Where Will IBM Stock Be In 1 Year?
IBM's (NYSE: IBM) stock slumped 4% on Jan. 26 in response to its fourth-quarter report. The tech giant's revenue stayed flat year over year, and rose 6% in constant currency terms to $16.7 billion, which beat analysts' expectations by $320 million. Its adjusted earnings rose 7% to $3.60 per share but missed the consensus forecast by a penny.
Those sluggish growth rates weren't surprising, since IBM had already told investors to brace for tough macro and currency headwinds over the past few quarters. However, its stock has stayed nearly flat over the past 12 months -- and outperformed the S&P 500's decline of nearly 7% -- as its low valuation and high dividend yield made it a safe haven play in this ongoing bear market. Can IBM still generate stable growth and outperform the market over the next 12 months?
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Source Fool.com
