IBM: Avoid This Poor-Total-Return And Low-Growth Company

Summary

• International Business Machines' total return was below the Dow average for the 57.0 month trial period at 22.47%, which is mediocre. So you can also leave the money in an index.

• The average annual growth rate (CAGR) of 5% of international trading machines is low and does not seem to have the means to expand business significantly, except for cloud computing.

• International Business Machines' profits in the last quarter (ending in June) were fair, with earnings higher than estimates, profits higher than last year, revenues up and revenues estimated.

• The dividends of International Business Machines are above average at 4.4% and have increased over the past 19 years, but without good growth this can not continue.

International Business Machines (IBM), one of the largest software technology companies for computers, is an option to avoid the full return of the investor. International Business Machines has low growth and a lot of money, which it uses to increase the dividend each year. With an improvement in our profits in the last quarter, we will see IBM improve its growth. This is an avoidance for The Good Business Portfolio, my IRA portfolio of good business companies balanced across all investment styles.

When scanning the five-year chart, International Business Machines has a mediocre chart that goes down and turns right on a steady slope for five years. The chart is the type of chart you want to avoid, with a negative and volatile slope.