Mid-term will bring multiple growth points Evercore ISI reiterated its "outperform" rating on IBM (IBM.US)

Investment bank Evercore ISI has reiterated its "outperform" rating on IBM (IBM.US), with a target price of $315. The bank previously discussed company strategy, management views on the macroeconomic environment, enterprise AI vision, merger concepts, and similar hot topics with IBM CEO Arvind Krishna and Global Investor Relations Director Olympia McNerney. Analysts believe that IBM is a "hybrid IT/AI leader that can withstand macroeconomic shocks, is well positioned to benefit from multiple positive factors, including the widespread adoption of enterprise AI, focus on productivity improvement initiatives, emphasis on data sovereignty, and quantum differentiation." They point out that in a favorable macroeconomic environment, corporate IT spending growth should exceed single-digit GDP growth rates, which is expected to drive overall technology spending to achieve high single-digit growth. Overall, the bank believes that IBM's business transformation has made it "a company with sustainable growth, strong free cash flow, profit margin expansion, and enviable revenue visibility." In conclusion, the bank sees multiple growth drivers for IBM in the mid-term, maintaining a target price of $315.