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IBM

IBM - The Forgotten StockHello Traders, welcome to today's analysis of International Business Machines. -------- Explanation of my video analysis: All the way back in 2012 IBM created a major top formation by breaking below strong support at $180 and we saw a significant decline in stock price from there. After we then saw a reversal and a breakout in 2022, IBM is certainly back to a bullish market. I am now waiting for a retest of the breakout level mentioned in the analysis to then look for long continuation setups. -------- I will only take a trade if all the rules of my strategy are satisfied. Let me know in the comment section below if you have any questions. Keep your long term vision.
NYSE:IBM
by basictradingtv
1
IBM Stock Surges on AI Momentum: Eyes on $200 In a remarkable turn of events, IBM ( NYSE:IBM ) is making waves in the financial markets as its stock soars on the back of robust fourth-quarter earnings and an optimistic full-year revenue outlook. The surge, driven by escalating demand for the tech giant's artificial intelligence (AI) products and consultancy services, is propelling NYSE:IBM shares towards a potential breakout from a rising wedge pattern, with analysts eyeing the tantalizing $200 mark. Better-Than-Expected Performance: NYSE:IBM 's fourth-quarter performance has exceeded market expectations, with adjusted earnings coming in at $3.87 per share, surpassing the projected $3.78. The company demonstrated an 8% expansion in the bottom line compared to the same period the previous year. Meanwhile, quarterly revenue reached $17.38 billion, outstripping analysts' forecasts of $17.30 billion and marking a 4% growth from the preceding quarter. AI Takes Center Stage: A significant catalyst behind IBM's stellar performance is the soaring demand for its AI solutions and consultancy services. The company reported a doubling of its generative AI book of business from the third quarter, attributing this surge to lucrative consulting and software deals. The infrastructure business played a pivotal role, witnessing a 3% revenue increase from the previous year, fueled by the growing adoption of servers and storage solutions supporting AI applications. Distributed Infrastructure Shines: Within the infrastructure division, the distributed infrastructure category emerged as a standout performer, registering an impressive 8% growth. This surge was primarily driven by robust sales of IBM's Power processing chips, underscoring the company's strength in delivering cutting-edge technology solutions. Optimistic Outlook: Looking forward, NYSE:IBM is not resting on its laurels. The company is projecting a full-year revenue guidance for 2024 ranging between 4% to 6%, surpassing the 3% expectation held by analysts. Despite acknowledging the persistent challenges in the economic environment, NYSE:IBM remains optimistic about technology budgets in 2024, anticipating them to maintain levels similar to the previous year. This optimism is expected to propel corporate sales, further bolstering the company's financial standing. Technical Analysis: Breaking the Wedge: NYSE:IBM 's stock has demonstrated a consistent uptrend since May of the previous year, with a minor retracement to the 200-day moving average in October. Now, we anticipate a potential breakout from a rising wedge pattern. Today, NYSE:IBM stands at the cusp of scaling new heights, possibly reaching a 10-year high. If the momentum continues, the $200 level could pose as a critical resistance point, harking back to the stock's record high set in March 2013. Conclusion: NYSE:IBM 's impressive financial performance, driven by the burgeoning demand for its AI offerings, positions the company as a formidable player in the tech industry. As the stock eyes a potential breakout, investors are watching closely, wondering if NYSE:IBM can surpass the $200 milestone and continue its upward trajectory. The convergence of strong financials, robust AI business, and positive market sentiment paints a compelling picture for NYSE:IBM 's future prospects in the ever-evolving landscape of technology and innovation.
NYSE:IBMLong
by DEXWireNews
Meta and IBM Team up Against Dominant Big Tech PlayersIn a prominent push toward open-sourcing artificial intelligence, IBM and Meta on Tuesday launched a group called the AI Alliance, an international coalition of corporations, universities and organizations that are collectively committed to "open science" and "open technologies." The Alliance, according to a statement, will be "action-oriented," and is meant to better shape the equitable evolution of the technology. Some prominent members of the organization include AMD, Cornell University, Harvard University, Yale University, NASA, Hugging Face and Intel. The goal of the group, according to a statement, is to enhance responsible innovation by ensuring trust, safety and scientific rigor. To achieve that goal, it will push for the development of benchmarks and evaluation standards, support AI skill-building around the world and highlight members' use of responsible AI.
NASDAQ:METALong
by DEXWireNews
Ripple's Metaco Floats Game-Changing Safety Tech With IBMRipple Labs-owned subsidiary Metaco has joined hands with IBM to create a major top tier tech for digital asset safety. Ripple Labs’ wholly-owned subsidiary Metaco recently joined hands with IBM to introduce Hyper Protect Offline Signing Orchestrator (OSO), a new technology that will facilitate the deployment of cold storage for digital assets. The Metaco and IBM Solution Deviates from the Norm The launch of the advanced technology which was announced by IBM is targeted at addressing the requirements of top-tier banks and financial institutions. Markedly, the tool is a clear deviation from the conventional manual process of executing cold storage transactions. Moreso, it offers protection for high-value transactions by creating extra layers of security. Other features of the IBM OSO are disconnected network operations, time-based security, and electronic transaction approval by multiple stakeholders. Per IBM’s announcement, “OSO is designed to address limitations of current cold storage offerings for digital assets, including the need for people to perform manual procedures for the execution of a cold storage transaction.” Apart from all of the aforementioned features, Hyper Protect OSO breaks the communication barrier between applications that have been designed to not interact directly due to certain security concerns. Precisely, it provides a policy engine which acts as a bridge between these different applications, facilitating secure and efficient digital asset transactions. More Proactive Partnerships Metaco and IBM worked together with other entities to ensure that the newly launched tool is in alignment with client requirements. Metaco Harmonize provides a highly robust and secured orchestration platform for digital asset applications. At the same time, it intends to leverage this novel solution for its operations. Adrien Treccani, founder and CEO at Metaco stated that it is the company’s responsibility to deliver cutting-edge digital asset security to Metaco clients, especially due to its position as a trusted provider of institutional grade custody infrastructure. Furthermore, Treccani acknowledged IBM’s reliability over the years as a partner. The strategic partnership with IBM is one of Metaco’s numerous alliances to push advanced technologies and cryptocurrency. Standard Chartered’s Zodia Custody joined Metaco recently to roll out a new crypto custody solution. The offering gives institutions easy access to crypto storage and settlement, with complete security.
NYSE:IBMShort
by DEXWireNews
Meta And IBM Launch AI Alliance Amid OpenAI ChallengesMeta and IBM formed an AI alliance to counter OpenAI dominance, reshaping AI's future with success hinging on execution and safety commitment. In a strategic move to reshape the AI landscape, Meta Platforms and IBM have spearheaded the formation of the AI Alliance, a coalition comprising over 50 leading artificial intelligence (AI) companies and research institutions. Notably, this alliance, born out of dissatisfaction with the one-sided discourse dominated by entities like OpenAI, is geared towards promoting open innovation and open science in the rapidly expanding AI domain. Unlocking the Power of Collective Innovation In a joint effort, Meta Platforms and IBM have orchestrated the birth of the AI Alliance, a collaborative force of over 50 influential players in the field of artificial intelligence, according to a WSJ report. Notably, this alliance, which boasts prominent members such as Intel, Oracle, Cornell University, and the National Science Foundation, aims to champion “open innovation and open science” in the realm of AI. Meanwhile, Dario Gil, IBM’s Senior Vice President and Director of IBM Research, voiced dissatisfaction with ongoing AI discussions, emphasizing the need for a more inclusive representation of the diverse ecosystem driving the current AI advancements. Gil acknowledged the overshadowing narrative led by generative AI since the advent of OpenAI’s ChatGPT a year ago. Unlike closed systems maintained by their creators, the AI Alliance is championing the cause of open-source technology, fostering collaboration among industry giants, academia, and independent programmers. Notably, many members of the alliance already possess their AI products but are striving to keep pace with the attention garnered by OpenAI and its partner, Microsoft. Shifting Tides in the AI Market As enterprises globally are projected to spend nearly $16 billion on generative AI solutions in 2023, the AI Alliance is strategically positioning itself to offer a more distributed and resilient alternative. Notably, the recent upheaval at OpenAI has prompted businesses to seek diversified providers, minimizing the risk associated with relying on a single vendor. Meanwhile, Meta’s foray into the open-source AI market through its Llama 2 AI model and IBM’s introduction of the Watsonx system underscore the alliance’s commitment to driving innovation. In addition, IBM’s Gil expressed the significance of adopting a decentralized approach, asserting that it enhances resilience by preventing any single institution from obstructing the success of the open engine. He stated, “This alternative method is more decentralized and robust.” The AI Alliance’s launch signifies a pivotal moment in the AI landscape. As businesses explore alternatives to mitigate risk, the alliance, with its emphasis on open innovation, stands as a compelling option. Meanwhile, Ritu Jyoti, Group Vice President of Worldwide AI at IDC, notes, “It will all depend on how well they execute it.” Meanwhile, the alliance’s focus on areas like regulation and safety, with plans to release a benchmarking tool for AI safety and model validation, further solidifies its commitment to reshaping the future of AI through collective effort.
NASDAQ:METALong
by DEXWireNews
IBM: A Risky Earnings TradeNYSE:IBM Reports after the market closes today. It is probably at or near its fundamental levels even if the report is weak. The chart shows a strong support level as the stock price is at the neck of the bottom completion level. IBM is in a long term trading range when viewed on a long term trend. The problem is a weak CEO who has failed at reinvention and a stock that is pricey for its growth potential. However, it has more upside potential than downside. It would take a really negative report to create a strong run down. That is not likely. PSHI is very low so less savvy investors own almost half the outstanding shares. This means trading the earnings report is riskier.
NYSE:IBM
by MarthaStokesCMT-TechniTrader
GBPNZD: “Break & Retest” Setup on “IBM” Buy Stop Entry (33/100)System has identified a “B&R” setup and a sell stop on the break of the inside bar for an entry executed during the second hour of the LONDON 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in LONDON and only using all GBP pairs. The win rate and expectancy are unknown. Please do not take these trades.
Short
by USA_Capital_Funds
UJ: “Break Out, Break Back In” Setup on “IBM” Entry (30/100)System has identified a “BOBBI” playbook setup and an “inside bar momentum” entry during the third hour of the ASIA 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in ASIA and only using USD/JPY pair. The win rate and expectancy are unknown. Please do not take these trades.
Short
by USA_Capital_Funds
Neutral on IBM. Looking more bearish. As you can see here we are at a demand zone. But, we are consolidating at this zone and that usually means we break through the zone. If we bounce off of the zone, I will look for it to retest the recent trendline that we have just broken. But, if we break through the zone, I will be looking for the stock to fall all the way down to the bottom Bollinger Band on the weekly chart. The P/E ratio is at 65 which is very high so I am leaning more bearish. Also, the market as a whole has an extreme fear index which could also signal a bearish ride for this stock. On the weekly chart, we were over-extended from the top Bollinger Band and have been red the last two weeks so I do look for this downtrend to continue. If we fall, this could be a money-making monster for a couple months out put and I feel we have more room to go down then up. My overall opinion is that we might go up in the short-term but the long term we could be headed for a landslide to the downside.
NYSE:IBM
by OptionsMastery
UJ: “Break Out” Setup on “Inside Bar Momentum” Entry (14/100)System has identified a “BO” playbook setup and "inside bar momentum” break up market entry during the second hour of the ASIA 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in ASIA and only using USD/JPY pair. The win rate and expectancy are unknown. Please do not take these trades.
Long
by USA_Capital_Funds
UJ: “Break Out” Setup on “Inside Bar Momentum” Entry (13/100)System has identified a “BO” playbook setup and an "inside bar momentum” break up for an entry during the second hour of the ASIA 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in ASIA and only using USD/JPY pair. The win rate and expectancy are unknown. Please do not take these trades.
Long
by USA_Capital_Funds
UJ: “Reversal” Setup on “IBM” Entry (10/100)System has identified a “REV” playbook setup and a potential “inside bar momentum” shift market entry during pre-market of the ASIA 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in ASIA and only using USD/JPY pair. The win rate and expectancy are unknown. Please do not take these trades.
Long
by USA_Capital_Funds
UJ: “Reversal” Setup on “Inside Bar Momentum” Entry (9/100)System has identified a “REV” playbook setup consisting of a trend line break and multiple attempts to possibly capitulate using a broken inside bar “momentum” entry during the third hour of the ASIA 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in ASIA and only using USD/JPY pair. The win rate and expectancy are unknown. Please do not take these trades.
Short
by USA_Capital_Funds
IBM, This is Huge, Massive BULL-Acceleration, BREAKOUT-Setup!Hello There! Welcome to my new analysis of IBM. In recent times I have analyzed the stock and I have detected major important historical determinations within the analytics backend that are actually indicating an epical breakout has a high potential to emerge within the next times. Not every stock within the market is bullish however with IBM there are clear signs that it already had the potential to rebound since the grievous corona market shock lows and now as digitization increases this is already building a bullish base for IBM. Within my chart, I have detected this gigantic inverse head-shoulder formation in combination with the paramount bull flag formation, both being two bullish formations that have the potential to be major bullish trend accelerants once the breakout above the boundary has shown up this is going to activate a major double confirmation here. The trend is supported by the major underlying demand structure as well as the EMAs and the main ascending trend line. Once the final breakout above the upper boundary of the inverse head-shoulder formation in combination with the upper boundary of the bull flag has shown up this is going to accelerate the demand trend dynamics. Taking all these factors into consideration here as digitization since the corona pullback lows have been completed increased massively this is increasing the actual digitization demand within the market and for a stock like IBM, this means that there is a main underlying demand base that is accelerating a bullish trend dynamic. Once the main breakouts as mentioned within the next times have shown up this is going to activate the minimum target of 250 and above further continuations have an increased potential once the main demand and momentum spread into the trend direction increases. Because of the importance of this setup forming here, I am keeping the stock in my current watchlist. In this manner, thank you everybody for watching my analysis of IBM. Support from your side is greatly appreciated. VP
NYSE:IBM
by VincePrince
6
UJ: “Break Out, Break Back In” Setup "IB Momentum” Entry (1/100)System has identified a “BOBBI” playbook setup and a potential inside bar “momentum” shift market entry during the first hour of the ASIA 12-Candle Window. RISK: 1R TARGET: 4R ***DISCLAIMER*** This is a new system based strategy being live tested for the purpose of gathering data. The system generates between 3-6 signals per session upon detecting a qualifying setup and entry signal. Currently being tested only in ASIA and only using USD/JPY pair. The win rate and expectancy are unknown. Please do not take these trades.
Short
by USA_Capital_Funds
IBM: Navigating the Cloud and AI Era for Smart InvestmentsIBM: Navigating the Cloud and AI Era for Smart Investments When Arvind Krishna assumed the role of CEO at IBM in 2020, he embarked on a transformation journey for the iconic tech giant, steering its focus towards cloud computing and artificial intelligence (AI). As this transformation reached its fruition, the rejuvenated IBM experienced a notable surge in its share price on September 20, following an "outperform" rating bestowed upon it by Matthew Swanson, an analyst at investment bank RBC Capital. A Strategic Pivot for the Future Considering the company's strategic pivot towards the thriving domains of cloud computing and AI, alongside the recent endorsement with an "outperform" rating, the question arises: Is investing in Big Blue a logical choice? Several compelling factors support the notion of acquiring IBM shares. However, it's worth noting that IBM's stock price has experienced an upward trajectory in recent months, currently hovering close to its 52-week high. Warren Buffett's Wisdom As the venerable Wall Street figure Warren Buffett has articulated, "For the investor, a too-high purchase price for the stock of an excellent company can undo the effects of a subsequent decade of favorable business developments." With this sage advice in mind, let's delve deeper into the company to assess whether IBM constitutes a prudent and promising long-term investment. Dominating Cloud and AI IBM stands out as an enticing investment option primarily due to its unwavering focus on two dynamic domains: cloud computing and artificial intelligence (AI). The company has honed its specialization in the hybrid cloud market, catering to clients seeking a blend of dedicated IT infrastructure for heightened privacy and shared infrastructure for cost efficiencies. Within the cloud computing landscape, IBM ranks among the top six companies in terms of market share, positioning itself advantageously to harness the robust growth of the hybrid cloud sector. In 2021, this market was valued at $85 billion, and experts predict it will surge to an impressive $262 billion by 2027. IBM's extensive experience spanning decades has propelled it to the forefront of the AI arena. Notably, IBM made history in 1997 when its AI technology defeated the reigning world chess champion. The company's latest AI offering, Watsonx, which was launched in July, has rapidly found favor with over 150 businesses, including prestigious institutions like NASA. Watsonx even played a pivotal role at Wimbledon by generating tennis commentary. Quantum Leap in Technology Moreover, IBM is actively involved in the development of quantum computers, which hold the key to unlocking more powerful iterations of AI. Quantum computers possess the ability to process vast volumes of data at unprecedented speeds, and IBM holds a prominent position as a leader in the burgeoning field of quantum computing. Revenue Growth and Resilience IBM's strategic technologies have propelled the company's revenue growth over the past three years, showcasing its resilience and adaptability. In the second quarter, which concluded at the end of June, the Red Hat division, the core of its cloud computing business, experienced an impressive 11% revenue surge. Simultaneously, the data and AI segment recorded a commendable 10% increase. Both segments fall under IBM's software business unit, which contributed significantly with $6.6 billion in Q2 revenue. Strong Free Cash Flow and Dividend Track Record IBM's prowess in technology adoption among its clientele also fuels revenue expansion in its consulting division, which aids clients in integrating the company's technical solutions. This segment achieved a 4% increase in Q2 sales, reaching $5 billion. Collectively, IBM's software and consulting divisions accounted for a substantial 75% of the Q2 revenue totaling $15.5 billion. Furthermore, IBM boasts the capacity to generate dependable free cash flow (FCF), a crucial metric representing cash available for business investments, debt servicing, and dividend disbursements. By the close of Q2, the company had accumulated $2.1 billion in FCF and anticipates reaching $10.5 billion for the year, marking a substantial increase from the previous year. IBM's robust FCF empowers it to maintain an attractive dividend yield, currently exceeding 4%. Impressively, IBM has consistently paid dividends since 1916, boasting 28 consecutive years of dividend increases. Assessing the Share Price Notably, while IBM has seen growth in its software and consulting divisions, its Q2 revenue of $15.5 billion experienced a marginal 0.4% decline compared to the preceding year's quarter. This dip was primarily attributed to a reduction in sales within its infrastructure segment, responsible for hardware sales like computer servers. However, IBM anticipates year-over-year revenue growth of at least 3% in 2023, adjusting for currency fluctuations. In fact, when currency fluctuations are accounted for, Q2 year-over-year revenue exhibited a 0.4% increase. Yet, investors may scrutinize IBM's share price, which currently hovers near its 52-week high. Nevertheless, RBC Capital analyst Matthew Swanson has set an optimistic price target of $188, marking a 30% increase from the current price. Conclusion To gauge IBM's potential, let's consider its forward price-to-earnings ratio (P/E), factoring in consensus price estimates from various analysts. In comparison to cloud competitors Microsoft and Oracle, IBM holds the lowest forward P/E, potentially indicating that its stock is undervalued relative to its peers. However, it's worth noting that the average price target from analysts currently stands at $147 for IBM shares, aligning closely with the stock's current valuation. Therefore, substantial appreciation in IBM's stock price at its current level seems unlikely. Nonetheless, IBM's high-yield dividend offers the prospect of consistent passive income over the years. With its strong foothold in the cloud computing and AI markets, coupled with robust FCF generation, IBM presents itself as an appealing long-term income stock. Our preference Above 132.00, look for 146.00 and 150.00
NYSE:IBMLong
by FOREXN1
7