IBM Stock Keeps Moving Sideways With No End in Sight
The case for IBM (NYSE:IBM) stock seems reasonably easy to make. For one, International Business Machines stock (as it’s sometimes known) is among the cheapest issues in the market. That combination seems like it should be an attractive one for the longtime tech giant. And indeed, I recommended IBM stock on two occasions last year, most recently amid a sell-off in November. The problem with IBM stock, however, is that the combination of a cheap price and a solid yield has held for years now. And over that stretch, IBM shares simply have kept falling. The stock actually touched a nine-year low in December. Even with a rally of late, IBM trades more than 20% below early 2017 highs. For nearly three years now, IBM has been a yield trap.