Foxconn, the Taiwanese supplier for Apple Inc., reported a significant boost in profit margins during the third quarter, marking a quarterly record high since 2017. The company is also emphasizing its transition to a platform solution provider, focusing on smart cities, smart manufacturing, and electric vehicles, fueled by artificial intelligence development.
Tesla, the electric vehicle manufacturer, is expediting the release of more affordable models to mitigate declining profit margins and sales. These cheaper cars are anticipated to enter the market by the end of this year or early next year, significantly sooner than the previously stated late-2025 timeline. This decision comes amidst an industry-wide sales slump affecting electric vehicles.
UBS has raised IBM’s price target to $130 while maintaining a Sell rating. This adjustment follows IBM’s recent sale of its Weather business and revisions to its segment reporting. UBS has revised its revenue growth and profit margin forecasts, particularly for the Software and Consulting segments. Despite the revisions, IBM remains a significant player in the IT Services industry, with a track record of consistent dividend increases and low price volatility.
