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Beat The Street Shills: IBM Sales Decline 16th Quarter; Don’t Worry They Still “Beat The Street”

Yesterday, IBM reported that its sales were down yet again.

However, in the battle for positive reporting, Bloomberg reports IBM Earnings Beat Estimates as Currency Counters Sales Decline.

Curiously, when I click on that link, I see this headline: “IBM Earnings Show It’s Still Struggling With New Product Growth

IBM reported quarterly earnings that beat analysts’ estimates, though a first-time breakdown of sales of newer offerings showed that growth in those areas still isn’t increasing fast enough to make up for a long decline in traditional products.

Adjusted earnings, excluding some items, fell 19 percent from a year earlier to $2.35 a share, International Business Machines Corp. said in a statement Monday. Analysts estimated $2.09 on average. Sales fell 4.6 percent, dropping for the 16th consecutive quarter, to $18.7 billion, compared with the average analyst estimate of $18.2 billion. Currency dragged on revenue by less than three percentage points, while the Armonk, New York-based company had previously forecast a three to four percentage point impact.

IBM received a tax refund in the first quarter of more than $1 billion, which Chief Financial Officer Martin Schroeter had said was already factored into the full-year earnings forecast of at least $13.50 a share.

The tax benefit will be fully absorbed by costs incurred due to job cuts.

Four Year Turn Around

The Wall Street Journal reports a>