Will These 2 Tech Stocks Crush Markets After Earnings?

International Business Machines Corporation (NYSE:IBM) reported its results for the third quarter. Net income for International Business Machines Corporation rose to $3.84 billion ($3.19 per share) vs. $3.59 billion ($2.82 per share) in the same quarter a year earlier. This marks a rise of 7% from the year earlier quarter. Revene rose 7.8% to $26.16 billion from the year earlier quarter. IBM reported adjusted net income of $3.28 per share. By that measure, the company beat the mean estimate of $3.22 per share. Analysts were expecting revenue of $26.27 billion.

“In the third quarter, we drove revenue growth, margin expansion and increased earnings as a result of our innovation-based strategy and continued investment in growth initiatives,” said Samuel J. Palmisano, IBM chairman, president and chief executive officer. “Growth markets delivered outstanding revenue performance across software, hardware, and services and contributed to the company’s expanded margins. We also achieved strong results in Smarter Planet, business analytics and cloud.”

Competitors to Watch: Oracle Corporation (NASDAQ:ORCL), Hewlett-Packard Company (NYSE:HPQ), Microsoft Corporation (NASDAQ:MSFT), Cisco Systems, Inc. (NASDAQ:CSCO), Intel Corporation (NASDAQ:INTC), Dell Inc. (NASDAQ:DELL), Apple Inc. (NASDAQ:AAPL), EMC Corporation (NYSE:EMC), SAP AG (NYSE:SAP), and Sybase, Inc. (SY).

VMware Inc. (NYSE:VMW) reported net income above Wall Street’s expectations for the third quarter. Net income for VMware Inc. rose to $177.5 million (41 cents per share) vs. $84.6 million (20 cents per share) in the same quarter a year earlier. This is a more than twofold rise from the year earlier quarter. Revenue rose 31.9% to $941.9 million from the year earlier quarter. VMW reported adjusted net income of 53 cents per share. By that measure, the company beat the mean estimate of 33 cents per share. Analysts were expecting revenue of $929 million.

“I’m pleased with another solid quarter for VMware illustrated by progress with new products, growth across our portfolio and a growing community. We are becoming a significant partner to businesses moving to the cloud,” said Paul Maritz, chief executive officer.

Competitors to Watch: Citrix Systems, Inc. (NASDAQ:CTXS), Intl. Business Machines Corp. (NYSE:IBM), Microsoft Corporation (NASDAQ:MSFT), EMC Corporation (NYSE:EMC), Symantec Corporation (NASDAQ:SYMC), Oracle Corporation (NASDAQ:ORCL), Quest Software, Inc. (NASDAQ:QSFT), Hewlett-Packard Company (NYSE:HPQ), Google Inc. (NASDAQ:GOOG), and LogMeIn, Inc. (NASDAQ:LOGM).