LRCX - 3 Tech Stocks You Should Own This Earnings Season
Earnings season is upon us and companies are now reporting on their late summer financial results in earnest. Stock prices can go wild during these periods as companies post figures that either beat or fall short of investor expectations. But these short-term reactions don't mean it's time to bail on solid stocks. Three tech names that recently reported are IBM (NYSE: IBM) , Duck Creek Technologies (NASDAQ: DCT) , and Lam Research (NASDAQ: LRCX) . Here's why three Fool.com contributors think they're worth owning.
Nicholas Rossolillo (IBM): Ahead of the Nov. 3 spinoff of its managed infrastructure business (which is now called Kyndryl ), IBM reported results that fell short on some fronts. Earnings per share of $2.52 beat the consensus analyst expectation by a penny, but revenue of $17.6 billion was shy of the $17.8 billion consensus. Shares fell nearly 10% following the update.
No bother, though. If you're looking for a solid income generator with some gradual stock price growth over time, IBM is still a good pick. The culprit for much of the lackluster financial update was the managed infrastructure business that will soon be separated from IBM, which was still reporting under the "Global Technology Services" segment in Q3. That segment's revenue fell 5% year over year to $6.15 billion. As a result, total revenue was up just 0.3% from last year. Ex-Kyndryl, though, IBM said it grew overall sales by 2%.
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3 Tech Stocks You Should Own This Earnings Season