Analyzing IBM’s Strategic Imperatives
IBM’s (IBM) Strategic Imperatives revenue has continued to grow, boosted by its cloud and security business. The Strategic Imperatives business, which comprises its cloud, analytic, mobility, and security business, contributes ~47% of IBM’s overall revenue.
The graph above shows IBM’s Strategic Imperatives revenue over the last five quarters, during which it has grown at a compound annual rate of 3.6%. Meanwhile, it cloud, analytic, and security revenue grew at a compound annual rate of 7%, 2.2%, and 12.5%, respectively.
IBM has continued to benefit from enterprises’ ongoing trend to migrate their on-premises database to the cloud platform. Also, as discussed in the previous part, the tech giant is continuously signing new cloud and analytics support deals, boosted by growing demand.
Growing cyber terrorism threats have strengthened demand for IBM’s security offerings, QRadar and Resilient. Launching more such innovative products may help the company reduce its gap with other popular cloud operators, such as Amazon (AMZN) Web Services, Microsoft (MSFT) Azure, and Google (GOOGL).
IBM’s (IBM) Cognitive Solutions segment, which comprises ~23% of its total revenue, is expected to deliver another excellent quarter, driven by strong demand for its Watson AI platform and blockchain offerings.
Verizon Communications stock (VZ) closed down 2.09% on Tuesday after the leading US mobile carrier reported mixed results for the first quarter of 2019 before the market bell yesterday.
Several European auto companies want Nokia’s (NOK) patent business subjected to an antitrust probe.
The first-quarter semiconductor earnings season has begun, and the stock market is showing bullish sentiment as investors buy ahead of earnings releases.
Netflix (NFLX) is working its way through a series of price increases in several markets, including the United States and parts of Europe.
Netflix (NFLX) is aiming to add 14.6 million paying subscribers in the first six months of 2019.
Earlier today, the second-largest US automaker, Ford Motor Company (F), announced a plan to invest $500 million in Plymouth-based automotive company Rivian.