IBM’s strong Q4 earnings, driven by AI momentum, set off a 12% stock surge as CEO Arvind Krishna highlighted DeepSeek’s success as validation of Big Blue’s open-source AI strategy
Adjusted per-share earnings came ahead of Wall Street estimates.
International Business Machines Corp. gained in early trading after projecting strong revenue growth in the new fiscal year and a jump in AI-related bookings.
IBM stock, with 45% returns since the beginning of 2024, has outperformed the S&P 500 index, up 27%. Strong demand trends for its software business has driven its stock price growth lately. But, if you want upside with a smoother ride than an individual stock,
IBM's Q4 report shows strong growth, driven by GenAI tailwinds, with AI bookings exceeding $5 billion. See why I reiterate my buy rating for IBM stock.
DeepSeek's sudden emergence is shaking up the tech scene. That could be good news for small startup companies.
While the hyperscalers and cloud builders provide the best indicator of what it takes to create state of the art GenAI models and the infrastructure to
Evercore raised its price tag on IBM stock from $240 to $275, retaining its Outperform rating. Software, however, appears to be the only growth business. It reported $7.9 billion in revenue in Q4, up 10% YoY.
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World markets are mostly higher following gains on Wall Street driven by Tesla, IBM and Meta Platforms after strong profit reports. European markets opened higher after the European Central Bank cut a quarter-point interest rate to 2.
For 2025, International Business Machines said it targets to grow its revenues by at least 5 percent and a free cash flow of $13.5 billion. The expansion rate would be above the 3 percent uptick logged in 2024, which analysts noted was a sign of IBM’s confidence in its AI and cloud strategy.