Daily Alpha · Reddit
· Premarket Alpha · by Buzzberg Research
Retail investors are dissecting the mechanics behind IBM's revenue miss and tracking fintech M&A rumors.
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by score · day changeIBM revenue miss attributed to enterprise budget reprioritization
IBM's recent revenue miss is argued to be a result of enterprise customers prioritizing AI-related hardware and memory purchases within fixed IT budgets, which crowded out spending on IBM's mainframe and transaction processing software.
it got crowded out of its own customers' budgets by a different line item.
If the spending shift is structural, IBM's mainframe business faces long-term headwinds; if it is a timing issue, the stock may be oversold.
Watch Monitor Q2 earnings call on July 22 for management commentary on whether large deals were merely delayed or permanently lost.
Source →Stripe and Advent International reportedly offer to acquire PayPal
Reports indicate that Stripe and Advent International have made a joint offer to acquire PayPal for $60.50 per share, valuing the company at over $53 billion.
firm Advent International have made a joint offer to acquire PayPal Holdings Inc [(PYPL.O)](https://www.reuters.com/markets/companies/PYPL.O) for $60.50 per share, in a
The offer represents a significant premium to recent trading levels, though there is no certainty a deal will be reached.
Watch Monitor for official confirmation or rejection of the acquisition proposal from PayPal.
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