On June 24, IBM fell 3.03% in regular trading, trading at $258.99/share, with turnover of $4.35 billion. Despite receiving bullish upgrades from two major investment banks the prior trading day, the stock succumbed to broad market weakness.
On the news front, JPMorgan upgraded IBM from Neutral to Overweight and raised its target price from $270 to $291, citing confidence in the continued acceleration of its software business. Analysts noted that software now accounts for approximately 45% of revenue but nearly two-thirds of consolidated profit, offering higher margins, better cash conversion, and superior earnings quality that justify premium valuation multiples relative to hardware and services. Separately, Morgan Stanley raised its IBM target price from $225 to $267, maintaining an Equal Weight rating, driven by robust enterprise server market demand fueled by AI on-premises deployment trends.
However, these dual catalysts were overwhelmed by a sharp market-wide selloff. U.S. stock index futures fell broadly, with Nasdaq futures declining as much as 2.6%, putting widespread pressure on technology shares. IBM was unable to decouple from the sector-wide downdraft despite its company-specific positive developments.
(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)
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