International Business Machines
What to Expect: Forecasters say earnings of $3.77 per share are in the cards, compared to $3.51 for the year-ago quarter.
Why It Matters: Last quarter, International Business Machines (IBM) did the unthinkable. After nine straight years of topping each and every quarter’s estimates, Big Blue missed Q1’s earnings forecast of $3.05 by only turning in $3. It should be noted that IBM still grew revenue on a year-over-year basis; it just missed estimates.
Part of that shortfall stemmed from IBM spending more and earning less on its relatively new cloud-oriented ventures. Though traders protested the results with a knee-jerk selloff, shares started to recover a few days later. Over the past month, however, IBM shares have tanked again, pricing in another disappointment on the earnings front.