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Now we've got big moves in IBM's stock they just came up with the -- the movie is just the downside right now what are the numbers.
Well again neither numbers coming off the wires for you hear from their first quarter holistic 27 the eight let's say it would be -- beat by thirteen cents a revenue numbers.
-- much in line possibly slightly missed 224 point seven billion yes been -- 24 points 78 billion actually that gross margins are a little bit higher there.
But so we're continuing to dig through this and and check out what -- disappointment would be other keep in mind the -- still trading near record.
-- all right guys -- body is -- look at those numbers again it is said trading down after hours a little bit of a loss on a revenue not much in bead on on earnings per share.
IBM is becoming a software company as I mentioned before over 50% of its business is gonna be in software at the end of 2000 well that's their projection.
Does that satisfy is that one of the reasons why Warren Buffett and others are going into the stock.
Well I think absolutely suffer carries with -- recurring revenue streams as opposed US services are mostly -- hardware business but.
Talking about one of the reasons we are seeing I'll fall back in the stock price right now I'm looking at their full year 2012.
I share view and it seems to me coming in a little bit lighter than like Thomson Reuters was expecting about.
-- about thirty and forty cents lighter than what the street was looking for a -- think that that's one of the reasons we are seeing a little bit of a pullback -- -- Is that its full year 2012 its share view.
It is a little bit like currency risk got so big can't factor for this company that brings in 24 billion dollars in revenue.
A huge percentage -- bit from foreign markets CC currency fluctuations a big part of the story that IBM tells.
-- -- is the number you're looking at to Bonnie Q1 -- I'm sorry full year 2012 GAAP share at least 1427.
The -- as opposed to Thomson Reuters which was saying 149 East Aurora saint got it you've got a little bit of a delta -- which I think is what investors are reacting.
Mark Solomon what do you think.
This is all about expense control.
And about competition with everybody else was trying to provide private clouds.
So last week IBM announced their first major new systems announcement.
In many years.
System and that is to set them -- south to compete against HP.
Half or -- and Cisco.
There's a lot of competitive activity out there and and I BM is both trying to control expenses and deal -- competition.
-- they -- -- and what is your opinion that they have deliberately dial back the full year number as a result of that.
OK let's go back to Larry show -- so Yahoo! Intel and IBM.
It's Intel that is pulling back even though they beach and they came in with a very solid numbers here what is it there that you think is really kind of casting a -- cloud here.
It -- had this positive momentum to it -- -- mine.
The last four quarters revenue has grown by 184% to right now as just that.
It's flat people don't know what to do it gives it had this momentum for the past four quarters and that momentum start to tail off -- -- -- And -- was affecting -- -- thoughts right now.
Larry mark -- -- thanks you for the earnings a whip around here its earnings balloon is that Fox Business thanks so.
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