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NYSE:IBM

IBM Common Stock (IBM)

249.50
+0.40 (0.16%)
as of Jun 18, 2026, 11:57:34 pm Market Open.
156 watching
0
BUY

Reports next week. A great performer in 2022, but down nearly 10% YTD. It's a value name and value has underperfomed YTD. But expectations are low. They have enterprise exposure which could be weak, but they also have Red Hat. IBM will continue to execute well. A cheap name that pays a good yield.

DON'T BUY

A show-me name, needs to show blow-out numbers first. A topline number must WOW.

DON'T BUY

Has long lagged the tech sector, though better in the past year. He's concerned that IBM's mainframe customers will switch to the cloud. He sees only 4-5% growth rate in EPS.

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TOP PICK
International Business Machines Corporation (IBM) is an American multinational technology corporation headquartered in Armonk, New York, with operations in over 171 countries. IBM produces and sells computer hardware, middleware and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is also a major research organization, holding the record for most annual U.S. patents generated by a business (as of 2020) for 28 consecutive years. Social media mentions are up 200% in the past 24h.
BUY
Cloud computing growth across many companies is projected to slow as cloud matures, but IBM's underlying legacy business remains a huge grower and will comprise their revenues more and more. Will drive valuation from 14x to 16x, and still deserves discounted valuation vs. peers, though this discount is overlooked by the market.
COMMENT
Starting to show a bit of relative strength compared to higher growth names. Up 15% in the last 12 months. Outperforming both the S&P and the tech market since December 2021, which is telling. Not sure it's a name he'd add. Not expensive at 15x earnings, 2.2x price to sales. Yield is 4.5%, pretty high for tech.
BUY
Up nearly 6% this year. The CEO spun off IBM's legacy management infrastructure business to focus on its more-profitable busiensses. They posted 15% revenue growth last quarter. Are paying a 4.6% yield.
DON'T BUY
Among the worst Dow performers in Q3 Down nearly 16%. Pays a 5.6% yield. They spun off their slow-growing services business and double-downed as a hybrid cloud analytics platform. But if Wall Street expects all cloud will slow, IBM will get hurt. He disagrees that the cloud will slow. IBM has a ton of cash flow. But there are easier ways to make money.
BUY
Look at the multiple of the megacap tech companies. She's added to Oracle, Cisco and IBM for their lower multiples vs. tech peers. Three years ago, she would have been concentrated in Apple, Microsoft and Alphabet.
WAIT
The stock has been hammered. It could go lower. The strong USD could hamper their earnings, because so much of their business is overseas. Wait.
DON'T BUY
Value name, great dividend of 5.2% yield. Pretty cheap at 13x forward earnings. Weak growth rate, 8-9% going forward, which is better than in the past. Outperforming the tech index since November, but flat total return over last 10 years. Could be losing market share. He wants to see more growth in a name. High dividend payers are not the greatest price performers.
DON'T BUY
It reported after the bell today. Not a good report and shares got hammered after hours. The lesson: wait until a company reports, or else you're rolling the dice.
BUY
They report tomorrow, though she expects it to be tame. Pays a 5.2% dividend yield trading at 13x earnings.
BUY
IBM is flat, but pays a nearly 5% dividend. It trades at a fraction of the market multiple and high-octane tech stocks.
BUY
A long-term investment. US tech has fallen too much this year and faces further challenges this quarter. IBM's PE has pulled back and is now attractive. Tech as a whole is undervalued now.
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