Jefferies analysts are optimistic about IBM's future after its Think 2026 conference, highlighting strong software pipeline trends and AI adoption potential. They see IBM as well-positioned in enterprise AI with a focus on infrastructure, regulated industries, and consulting-led AI deployment. Despite some short-term software delays due to hardware shortages, IBM's software pipeline is robust, with growth opportunities in platforms like HashiCorp and AI tools like the internal coding assistant 'Bob.' Jefferies maintains a $320 price target, noting IBM's valuation is currently below its historical average and peers. The firm also views IBM's mainframe business as a durable asset, supported by AI-driven demand and modernization efforts.
IBM's business model remains strong despite a 7% decline in mainframe infrastructure revenue, supported by loyal legacy customers and solid free cash flow. Software growth, especially an 11% increase in Red Hat revenue, helps offset mainframe challen...
Energy prices cooled in June, easing inflation pressures despite ongoing tensions between the U.S. and Iran near the Strait of Hormuz. Morgan Stanley reported record quarterly revenue and profit, boosted by a surge in equities trading fueled by the A...
IBM reported earnings and revenue below expectations due to enterprises reducing spending on traditional IT systems to invest in their own AI infrastructure. This shift indicates companies prefer developing on-premises AI solutions with cheaper open-...
US stock futures rose after a softer-than-expected Consumer Price Index (CPI) report reduced the chances of a Federal Reserve rate hike in July. The market now awaits today's Producer Price Index (PPI) data, which could either confirm easing inflatio...
IBM introduced Power Autonomous Operations, an AI agent that autonomously monitors and resolves issues in Power systems up to 15 times faster than manual methods, enhancing system uptime and efficiency. Alongside, IBM launched the Power S1112, a comp...
