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IBM gains 3.6% after rising margins and huge stock buybacks allow it to post a Q2 EPS beat in...

IBM gains 3.6% after rising margins and huge stock buybacks allow it to post a Q2 EPS beat in spite of a sales miss. For now, the Street is willing to look past a nearly across-the-board slowdown in hardware, software, and services (affected some by forex). During its earnings call, IBM partly attributed its margin improvement to better spending discipline for services, and a mix shift towards software. Italy and France are blamed for Europe's poor performance.
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  • Tony Petroski
    , contributor
    Comments (6368) | Send Message
     
    "...allow it to post a Q2 EPS beat in spite of a sales miss."

     

    Isn't this the story of American big business in the new normal? Acquistitions and layoffs produce ever-expanding profit "beats" in a shrinking economy right up until the new-new normal is reached.

     

    Then what?
    19 Jul 2012, 10:46 AM Reply Like
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