IBM’s shares are down 5% this year to $146, against an advance of the S&P of 3% over the same period.
In the last five years, IBM shares are down 27% while the S&P has risen 71%. Whatever IBM’s new
products have been, its financial position continues to tumble.
If it didn't help, then it hurt.
https://247wallst.com/technology-3/2018/06/10/new-supercomputer-does-nothing-to-help-ibm/
Dividends make the stock worth holding though until it eventually rises
I think it's great seeing IBM building a huge beast of a machine like this and getting some good press for a change. This feels a bit more like the IBM of old that many people respected. IMHO, it won't save the company sadly, I think it's too far gone to save.
I believe you may be focused too narrowly. YES the super computer at the national labs will not help the bottom line at IBM, but the technology that underlies it (Eg P9) May be a game changer in that Google and other large HPC vendors have demonstration projects to lead their AI projects. The IP cash flow of the P9 licensing most likely will help the bottom line at IBM. I believe the goal of IBM is to replace 20-25% of the Intel servers embedded within the HPC vendors infrastructure. AGAIN this is hinged on IBM being able to get the LINUX SW providers to write for P9vs Intel. With Google demonstrating a working platform, there may be a sliver of hope
Buffett bets on the wrong horse.
Not a surprise!