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Strategies & Market Trends : Buffettology

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To: Paul Senior who wrote (4562)12/10/2016 3:38:27 PM
From: CitizenKane  Read Replies (1) of 4691
 
Re: IBM

In the history of IBM many things have happened. But the company has always been able to restructure itself before it is too late.

If you look at EPS, it was 4.44 in 2000 and now it is 12.24. There were 1762.9 million shares outstanding in 2000 and now there are 950.85 million shares.

IBM drops the hardware and restructures itself to the software, it's a good thing because there is more opportunity for growth. The company's results are much impacted by the strong dollar.

The company sacrifices the short term and thinks about the long term. In the past, the company was sometimes wrong in its predictions but most of the time it was right.

I think cloud computing and data analysis will allow the company to earn a lot of money over the long term.
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