With IBM missing Wall Street's expectations for revenue growth in its third quarter by $103m, a sell-off in after-hours trading was already underway and will no doubt be in full swing when the market opens up tomorrow. Wall Street just doesn't get Big Blue. What the Street's moneymen don't realize is that IBM doesn't care about …
Does it matter?
Frankly, does it matter anymore what the value of the IBM share is worth? Really... we're talking about a gambling marker. It's not like IBM will sink or swim because of how much a bunch of uneducated gamblers on wall street perceive the performance of a company who produces products they don't understand.
Wall Street has far too much power over the health of the economy. Isn't it about time we scaled back their importance. And besides... how does a bunch of loser traders making or losing money on perceived value of a gambling voucher differ than another loser betting on a horse at the track?
Isn't it about time that investors start investing and stop gambling?
So IBM remains highly profitable and makes 26.2 billion $ per quarter. It misses a target set by Wall Street (by whoever idiot analyst) by only 0,4% and things are rough??? Have we lost any sense of logic?
"What the Street's moneymen don't realize is that IBM doesn't care about revenue growth. What IBM does care about is making profits and boosting earnings per share because that is how it measures its own performance and how its top brass is compensated."
Perhaps what has happened is that the great gamble has failed, and wall street has finally seen that that the top brass in IBM are only concerned with getting the share price to the level that will give them their big bonuses and that IBM have dipped below the critical mass that will make then a serious consideration for long term investment growth.
- Game Theory The agony and ecstasy of SteamOS: WHERE ARE MY GAMES?
- Intel's Raspberry Pi rival Galileo can now run Windows
- Hello, police, El Reg here. Are we a bunch of terrorists now?
- Microsoft and HTC are M8s again: New One mobe sports WinPhone
- Worstall on Wednesday Wall Street woes: Oh noes, tech titans aren't using bankers