United States tech giant IBM shares plunge 25 percent
Tap title to read story
United States–based International Business Machines Corporation saw its shares drop by more than 24 percent on Tuesday, July 14, 2026, after releasing preliminary second-quarter results that significantly missed Wall Street expectations. The company reported revenue of $17.2 billion, up just 1 percent year over year, with its Software division growing only 5 percent, far below management’s previously projected double-digit pace. The Infrastructure segment also performed far worse than executives had indicated earlier in the year. The sharp divergence from prior guidance prompted a historic single-day sell-off and triggered a formal securities investigation into whether IBM leadership misled investors about business conditions.
More context
Timeline
- April 2026 IBM executives project strong year
- April 2026 CFO highlights double-digit software growth
- April 2026 Management guides modest infrastructure decline
- July 14 2026 IBM issues preliminary Q2 results
- July 14 2026 Revenue reported at 17.2 billion
- July 14 2026 Software division grows only five percent
- July 14 2026 Infrastructure segment underperforms prior guidance
- July 14 2026 Regulators open formal securities investigation
Why it matters
IBM's stock plunge could impact your investments. If you own IBM shares, you've likely seen a drop in your portfolio's value. Even if you don't, such a significant fall can affect the overall market mood. Check your investments and consider talking to a financial advisor.
JQJO Editorial Desk · Human reviewed · AI assisted. Report a correction.
