IBM surges 30% as Barclays calls its software the SaaSpocalypse antidote IBM’s stock has surged significantly, driven by Barclays initiating coverage with an overweight rating and a strong price target. The primary investment thesis centers on IBM’s infrastructure software, which is considered less vulnerable to AI disruption due to its deeply embedded nature and large, regulated customer base. Quantum computing is viewed as an additional upside potential, with IBM making substantial investments in the technology.

• IBM stock jumped 10% following Barclays initiating coverage with an overweight rating and a $350 price target.
• The company’s stock has gained nearly 30% in May, its best monthly performance in almost 24 years.
• Barclays’ core thesis focuses on IBM’s infrastructure software, which serves large, regulated enterprises and is seen as resistant to AI disruption.
• IBM is investing $10 billion in quantum computing over the next five years, including building the Anderon quantum chip foundry.
• A video of former President Trump praising IBM CEO Arvind Krishna has also contributed to the stock’s rally.
• IBM’s recent gains reflect a broader trend of legacy computing companies finding new relevance in the AI era. Continue reading https://thenextweb.com/news/ibm-stock-barclays-quantum-software-saaspocalypse