IBM.TO is trading 3.1% up today, rebounding after an extreme two-day selloff triggered by a disappointing Q2 earnings preannouncement from International Business Machines Corporation.

  • The underlying stock suffered its largest one-day drop on record after IBM guided Q2 revenue to $17.2 billion and adjusted EPS to $2.93, both of which missed Wall Street expectations.
  • Management attributed the weakness to a failure to adjust quickly to a rapid shift in client spending away from software and mainframe infrastructure toward AI-related hardware, servers, and storage.
  • Today's price action is driven by bargain hunting and position covering as investors digest the negative news, even as sentiment across the broader technology sector remains fragile.