
IBM (IBM) Stock Forecast & Price Target
IBM (IBM) Analyst Ratings
Bulls say
The analysis indicates a positive outlook for IBM, supported by a significant increase in the second-half HCP pipeline, which has tripled since the first quarter. The company has demonstrated improved market sentiment towards both quantum computing and GenAI, with anticipated GenAI bookings potentially increasing from the $1 billion achieved in Q1. Additionally, management has raised revenue guidance to "over" 5% constant currency growth and projects mid-teens growth in adjusted EBITDA, indicating strong profitability and the potential for higher valuations relative to its software peers.
Bears say
IBM's management anticipates ongoing consumption headwinds, particularly impacting the Red Hat segment, which is expected to fall to the low-end of its previous growth forecast. October job postings reflect a month-over-month decline of 6%, although year-over-year growth is significant at 65%. Increased competition, customer churn, and the company's challenge in attracting new clients amid evolving market demands coupled with its size and maturity are critical factors contributing to a negative outlook on its growth trajectory.
This aggregate rating is based on analysts' research of IBM and is not a guaranteed prediction by Public.com or investment advice.
IBM (IBM) Analyst Forecast & Price Prediction
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