IBM's Potential in the AI Market Analyzed
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 4 days ago
0mins
Should l Buy IBM?
Source: NASDAQ.COM
- AI Business Growth: IBM's generative AI offerings have generated $12.5 billion in cumulative revenue to date, primarily from consulting services, indicating strong demand and growth potential in the enterprise AI market.
- Consulting Backlog: IBM's consulting arm currently boasts a backlog of $32 billion, reflecting client trust in its AI solutions and laying a solid foundation for future revenue growth.
- Stable Software Revenue: IBM's annualized software revenue now stands at $23.6 billion, demonstrating sustained demand for its AI-related software, which enhances the company's financial stability and market competitiveness.
- Hardware and Service Integration: By selling and servicing entire mainframe computers, IBM offers flexible AI solutions, which provides a unique advantage in the AI market, catering to the diverse needs of enterprise clients.
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Analyst Views on IBM
Wall Street analysts forecast IBM stock price to rise
16 Analyst Rating
11 Buy
4 Hold
1 Sell
Moderate Buy
Current: 259.520
Low
210.00
Averages
315.80
High
375.00
Current: 259.520
Low
210.00
Averages
315.80
High
375.00
About IBM
International Business Machines Corporation is a provider of global hybrid cloud and artificial intelligence (AI) and consulting expertise. The Company’s segments include Software, Consulting, Infrastructure and Financing. The Software segment includes hybrid cloud and AI platforms, which allow clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. The Consulting segment focuses on integrating skills on strategy, experience, technology and operations by domain and industry. The Infrastructure segment is focused on the hybrid cloud infrastructure market, providing on-premises and cloud-based server and storage solutions. In addition, it offers a portfolio of life-cycle services for hybrid cloud infrastructure deployment. The Financing segment provides client and commercial financing, facilitating its clients’ acquisition of hardware, software and services. It helps clients in more than 175 countries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Quantum Computing Market Potential: IonQ aims to develop systems with over 1 million qubits, which would provide a significant technological advantage in the quantum computing field, attracting investor interest in its future growth potential.
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