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Monday, October 19, 2015

Same story at $ibm

14 straight quarters. Pretty annoying when management is a bunch of highly paid suits. (Im just an annoyed supporter.)

Most frustrating is guidence. The perviously highlighted trade was that IBM maintains guidence. That was shot to shit.



Material declines, that shift target prices. With a lack of stabile revenue, low end multiple is still merited.

14.75 x 11.4 = 168
15.75 x 11.4 = 179

Of course with constant declines of these estimates, they are suspect. (More reason for the lower deserved multiple.)

The stock was at the precipice of an interim sentiment shift. But earnings results proved fruitful for the bears.

Still, longterm trend can support higher prices above, while still being its negative trend.

It just needs a reason to be testing its highend range. 

Maybe the dividend yield can be enough. Given sentiment, looking to add near 140 or even a flush into the high 130s.

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