IBM Stock Slumps After $1 Billion Chips Act Award and Trimmed Outlook

IBM stock fell sharply on September 16, 2026, after receiving a $1 billion award under the Chips Act and trimming its revenue growth outlook for 2026.

The company's shares dropped by 4.38% to close at $237.49 on the New York Stock Exchange, following the announcement of the award for its chip subsidiary Anderon.

IBM had initially expected more than a 5% increase in constant-currency revenue growth for 2026, but has now revised this forecast to between 4 and 5%, citing lower-than-expected second-quarter results.

The company's management attributed the decrease in revenue growth outlook to infrastructure sales declining by 7% year-over-year, while software revenue grew by 5% and consulting was flat.