IBM (IBM) Offering Possible 42.86% Return Over the Next 17 Calendar Days

IBM's most recent trend suggests a bullish bias. One trading opportunity on IBM is a Bull Put Spread using a strike $149.00 short put and a strike $144.00 long put offers a potential 42.86% return on risk over the next 17 calendar days. Maximum profit would be generated if the Bull Put Spread were to expire worthless, which would occur if the stock were above $149.00 by expiration. The full premium credit of $1.50 would be kept by the premium seller. The risk of $3.50 would be incurred if the stock dropped below the $144.00 long put strike price.

The 5-day moving average is moving up which suggests that the short-term momentum for IBM is bullish and the probability of a rise in share price is higher if the stock starts trending.

The 20-day moving average is moving up which suggests that the medium-term momentum for IBM is bullish.

The RSI indicator is above 80 which suggests that the stock is in overbought territory.

To learn how to execute such a strategy while accounting for risk and reward in the context of smart portfolio management, and see how to trade live with a successful professional trader, view more here

LATEST NEWS for IBM

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IBM hit with another age discrimination suit: What it means for Red Hat
Fri, 26 Jul 2019 18:00:00 +0000
Former IBMer Brad Calderon claims he “diligently” performed during his 18-year career at Armonk, New York-based IBM. While Van Kampen has no connection to this lawsuit, he is representing two former IBMers in separate age discrimination cases currently being investigated by the U.S. Equal Employment Opportunity Commission.

Would IBM Stock Be Lifted by a Merger With GE?
Fri, 26 Jul 2019 17:13:05 +0000
It's not good when even Warren Buffett loses patience with a company, but that's what's happened to IBM (NYSE:IBM) and IBM stock. Source: Shutterstock InvestorPlace – Stock Market News, Stock Advice & Trading TipsAlthough IBM stock was up 35% this year through July 24, including dividends, IBM has become the poster child for lack of innovation. No matter what it does to alter its course and get with the times, the investing public doesn't regain faith in its leadership. * 7 Oversold Stocks To Buy Right Now Investors' lack of faith in IBM stock is clear because its five-year annualized return is -1.8%, significantly worse than the 13.7% total return for the Morningstar U.S. Market fund over the same period. But even better evidence was provided by a comment on a recent Yahoo Finance article about IBM. "IBM is Microsoft under (former MSFT CEO Steve) Ballmer. They need new leadership to reinvigorate the company's culture and direction. Right now, it doesn't matter who they buy or what they develop; the culture is one of stagnation vs. innovation," wrote B, a Yahoo Finance reader. Well, at least Ballmer's NBA team, the Los Angeles Clippers, got Kawhi Leonard. All is forgiven, Steve. But seriously, comments just like that one are very revealing. There is no love lost for IBM CEO Ginni Rometty.I recommended that IBM move on from Rometty at the beginning of 2018. The company's acquisition of Red Hat did little to change my mind. It's never paid anywhere close to $34 billion for any of its acquisitions. The deal was a "Hail Mary" by Rometty. She's a big part of the reason for the company's stagnation, in my opinion. But I digress. Approximately 24 comments in, someone with the screen name Willie Fistergash suggested that IBM should merge with General Electric (NYSE:GE).Crazy, right? Maybe so, but it does have some merit. Here's why. Larry Culp's a Better BetGE stock is another name I've had very little use for, but now that Larry Culp's taken the helm, I've become a little more curious about GE stock.After all, Culp ran Danaher (NYSE:DHR) for 14 years from May 2001 to March 2015 before taking some time off from being a CEO. During Culp's 14-year reign at Danaher, the company's stock gained 514% or nearly 20% on a compounded annual basis. That's pretty darn good. The owners of GE stock would obviously be quite pleased if he could repeat that performance. I suppose it's one reason GE's board is willing to pay him up to $300 million, in an effort to boost GE stockI recently wrote that the owners of GE stock should take profits — it's up 44% in 2019 — rather than continue to hold their shares in the hope that Culp can reignite GE's cash flow machine. I was basing a good deal of my negative sentiment on the analysis of analyst Stephen Tusa, who was the first analyst to become bearish on GE stock back in May 2016 and continues to be skeptical about the company, despite all of the moves Culp has made to slim it down to a few healthy operating segments. The $21-billion sale of GE's biopharma business to Culp's old company is a textbook example of a company using insider knowledge to extract premium dollars for a business that's no longer useful to it. What Does This Have to Do With IBM?Larry Culp is 55 years old. Ginni Rometty is 61.Larry Culp is a proven winner. Ginni Rometty has done nothing in her 7.5 years as IBM's CEO to demonstrate that she has the technology chops or the leadership qualities necessary to reignite the company's former penchant for innovation. I'm not saying IBM hadn't already lost its innovation spark before Rometty became CEO in January 2012, but she's been at Big Blue for most of her career. If she was going to make IBM great again, she would have already done it. The odds, however, of IBM and GE merging are extremely minuscule; I have a better chance of becoming the president of the United States, even though I was born in Canada and still live there.But, for long-time shareholders or employees of IBM, the idea of someone like Larry Culp taking charge is an exciting one. Unfortunately for IBM, Culp's already got his hands full with his efforts to boost GE stock further. Should IBM merge with GE?It's not the worst idea in the world. At the time of this writing Will Ashworth did not hold a position in any of the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Oversold Stocks To Buy Right Now * 7 Stocks to Buy Upgraded by Wall Street * 7 Marijuana Stocks With Critical Levels to Watch The post Would IBM Stock Be Lifted by a Merger With GE? appeared first on InvestorPlace.

IBM's Hillsboro lab chief on next-generation open source systems
Thu, 25 Jul 2019 20:18:01 +0000
Keith Brown said open source is central to the work being done at IBM's Hillsboro hub.

Skechers, Sunrun, Alphabet, Microsoft and IBM highlighted as Zacks Bull and Bear of the Day
Thu, 25 Jul 2019 13:19:01 +0000
Skechers, Sunrun, Alphabet, Microsoft and IBM highlighted as Zacks Bull and Bear of the Day

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