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IBM Says Second-Quarter Sales Missed as Customers Pulled Back

IBM shares plummeted over 20% after the company warned that second-quarter sales missed expectations due to customer pullbacks.

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The brief

IBM has reported that its preliminary second-quarter revenue fell below estimates. The company attributed the miss to customers pulling back on spending.

Coverage from Reuters, CNBC, Bloomberg, Yahoo Finance, and Seeking Alpha emphasizes a shift in spending toward AI. The news triggered a significant stock crash for IBM and created panic within the software and consulting sectors.

Market attention remains on the broader impact of this warning on related software and consulting stocks following the shares' decline of more than 20%.

Synthesized by Archynetys from the headlines below under a strict no-invention contract. ✓ fact-checked: all claims supported by sources Updated 1h ago.

Quick answers

Why did IBM's second-quarter sales miss estimates?

According to Bloomberg and Reuters, sales missed as customers pulled back and spending shifted toward AI.

How did the stock market react to the news?

CNBC reports that IBM shares skidded more than 20%, while Seeking Alpha notes the warning sent panic into software and consulting stocks.

Which outlets reported on the revenue forecast?

The revenue forecast and sales miss were reported by Reuters, CNBC, Bloomberg, Yahoo Finance, and Seeking Alpha.

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