Unveiling the Secrets of IBM’s Stock Performance
A Glimpse into IBM’s Stock History
- IBM’s monthly chart showcases a series of all-time highs, with the last one hitting $215.90 in April 2013.
- Despite trading above $215.90 on September 13th, 2024, the stock failed to close above the 12-year-old all-time high.
- However, it’s just a matter of time before IBM breaks through this resistance.
IBM’s Performance Analysis
- According to blog technician @GarySMorrow, IBM has shown progress over the last 24 months.
- Historically, IBM has had cycles of underperformance followed by sharp rallies after a decade of stagnation.
- Notably, Lou Gerstner’s strategic moves revived IBM’s fortunes in the mid-1990s.
Insight into IBM vs. the S&P 500
- Performance Comparison: Check out how IBM has fared against the S&P 500 in terms of total returns from 2000 to September 13, 2024.
- S&P 500 Data:
- The forward 4-quarter estimate (FFQE) dropped to $259.80 from $260.60 last week.
- The PE on the forward estimate stands at 21.6x.
- Earnings yield decreased to 3.62% from previous levels.
Anticipating Q3 ’24 Earnings Growth
- Earnings Growth Trends:
- Q1 ’24 and Q2 ’24 witnessed bottoming out of EPS growth rates early in the quarter.
- Expect Q3 ’24 EPS growth to follow a similar pattern, peaking around the first 10 days of October ’24.
Upcoming Fedex Reports
- Fiscal Update: FedEx is set to report its fiscal Q1 ’25 results on September 19, 2024.
- Strategic Moves: The company is undergoing restructuring under new leadership to enhance operational efficiency.
FOMC Meeting and Market Expectations
- Market speculations are rife about the outcome of the upcoming FOMC meeting.
- With GDP growth projections and bond market dynamics in focus, the possibility of a rate cut remains uncertain.
Closing Thoughts
- While this information serves as insight, it’s essential to remember that past performance doesn’t guarantee future results.
- Investors should assess their risk tolerance and adjust their portfolios accordingly.
Thank you for exploring the world of finance with us.
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Analysis of the Rewritten Content
Key Points Covered:
- IBM’s stock performance history and future potential.
- Comparison between IBM and the S&P 500.
- Anticipated earnings growth trends in the market.
- Updates on FedEx’s restructuring and upcoming reports.
- Insights into the FOMC meeting and its potential impact on the market.
Importance for Readers:
- Understanding stock performance trends can help investors make informed decisions.
- Comparing different asset classes like IBM and the S&P 500 aids in portfolio diversification.
- Forecasting earnings growth provides insights into market expectations.
- Updates on company restructuring like FedEx can impact stock valuations.
- Awareness of central bank decisions like the FOMC meeting can guide investment strategies.
How it Affects You:
- As a reader, this content equips you with knowledge to navigate the financial landscape.
- Insights into market dynamics can influence your investment choices.
- Understanding historical trends and future projections aids in building a robust financial portfolio.
- Awareness of corporate developments and macroeconomic factors can help you stay ahead in the market game.