IBM (IBM) stock dipped Wednesday after the computer industry giant reported third-quarter results that missed on revenue. The IBM earnings report came after the market close.
XThe company reported revenue of $18 billion, with adjusted earnings of $2.68 per share. Wall Street expected $18.23 billion in revenue and earnings of $2.66 per share.
IBM earnings dropped 22 % from the year-ago period.
Revenue fell 3.9%, the fifth-straight quarter revenue has dropped. The Dow Jones component has been in a multiyear transition from mainframe computing to cloud computing. The shift includes the divestiture of several old-line operations. It also led to several acquisitions, such as the $34 billion purchase of Red Hat.
Shares of IBM fell 3.7%, near 136.90, during after-hours trading on the stock market today.
Cloud revenue of $5 billion in the third quarter grew 11%. Revenue from IBM's largest business unit, Global Technology Services, dropped 5.6% to $6.7 billion.
IBM ended the third quarter with $11 billion of cash and equivalents.
Please follow Brian Deagon on Twitter at @IBD_BDeagon for more on tech stocks, analysis and financial markets.
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