Hats Off to IBM On July 17, IBM released Q2 results that were mixed but included a 5.4% increase (adjusted for currency) in sales from its Cloud & Cognitive Solutions group. And since the cloud is where everything seems to be headed these days, that was sufficient to drive IBM's share price up more than 4% that day. Also helping was a news release issued the previous day jointly by IBM and AT&T (NYSE: T). The two companies announced they will work together under a long-term agreement that stated, "AT&T Business will utilize Red Hat's open source platform to manage workloads and applications. Just one week earlier, IBM closed on its $34 billion acquisition of Red Hat announced late last year. At the time, some analysts worried that IBM paid too high of a premium and would suffer the consequences this year. It's too soon to determine how much financial value IBM will derive from this arrangement in revenue and cost savings. Regardless, the AT&T deal alone won't completely dispel those concerns, but it proves the concept is viable. Since IBM has proven it can grow cloud revenue without Red Hat, the assumption is future cloud sales will grow even faster. Just how fast is anyone's guess, but that's what makes the stock market so exciting. Of course, excitement comes at a price. I don't mind taking risks since I follow the stock market so closely, but you may not feel the same way. If not, then I suggest you follow the advice of my colleague Jim Fink. Jim Fink, chief investment strategist of Velocity Trader, Options for Income, and Jim Fink's Inner Circle, has developed a way to quickly, predictably and safely multiply the gains of regular stocks. Jim is now making you a promise. If Jim doesn't deliver 24 triple-digit winning trades over the next 12 months, he'll fork over $1,950. Each time Jim has made this bold bet, he has delivered! Jim has put together a new presentation, in which he discusses how to make 163% profits, whether the market is going up…down…or sideways. Want all the details? Click here now. |
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