IBM 4Q:08 results

Ibm a little light on the top line but significantly better gross margins and a lower than expected tax rate drive a big bottom line beat -- 3.28 is 26 cents better. If the tax rate were 26.5 pct as it should have been, eps would still be 316.

Contract signings stronger than expected at 17 bil ex-currency. With the currency hit, signings were 15.6 bil, still better than consensus of 13 bil.

Co guides to 9.20 for 09, better than street's 8.75.

Ibm is historically a defensive stock that trades with a higher multiple during economic uncertainty due to its breadth of offering and inordinate ability to meet their guidance. Even up 3 post-market, the stock is likely a buy at 9*2009 guidance.