International Business Machines Inc. shares rallied in the extended session Monday as the tech giant not only topped Wall Street estimates and broke a streak of declining revenue levels but forecast a return to pre-COVID-19 growth levels.
IBM IBM, +3.79% shares, which had initially surged nearly 5%, were last up 3.3% after hours following the end of the conference call with analysts. The stock declined 0.4% in the regular session to close at $133.12. It was up 2.8% premarket Tuesday.
On the call with analysts, IBM Chief Financial Officer James Kavanaugh said “going forward we are very confident in getting back in second quarter to our pre-pandemic levels of growth.
“By the way, our backlog run-out in the next 90 days already shows that,” Kavanaugh added.
On the call, Kavanaugh said, “the average of analyst revenue estimates for the second quarter look reasonable.” Analysts, on average, expect revenue of $18.27 billion for the second quarter, or a gain of 0.8%, according to FactSet. Read more…..
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