IBM sinks after Q2 warning tied to memory shortage
IBM’s stock tumbled more than 25% after preannouncing weaker-than-expected Q2 results, with adjusted EPS of $2.93 on revenue of $17.2 billion versus consensus of $3.02 and $17.86 billion. IBM cited a global memory shortage that pressured its z17 mainframe-related demand and noted clients redirected capital expenditure toward servers, storage and memory to hedge supply constraints. The sharp drop is described as one of the steepest in decades, and IBM is set to discuss results on its July 22 earnings call.
