IBM's stock tumbles 23% as preliminary quarterly results fall below expectations

IBM's stock tumbled more than 23 percent in premarket trading after the company warned of preliminary quarterly adjusted profit of $2.93 per share on revenue of $17.2 billion, below analyst expectations of $3.01 per share on $17.86 billion in revenue. CEO Arvind Krishna attributed the shortfall to clients front-loading spending on servers, storage and memory ahead of anticipated price hikes, cybersecurity distractions, and large deals failing to close on expected timelines.