- IBM's Q1 2025 results show a promising 9% growth in software sales.
- Analysts set an average price target of $252.63, with an implied upside of 2.91%.
- GuruFocus estimates suggest a potential downside of 37.38% from current stock prices.
IBM (NYSE: IBM) surpassed expectations in the first quarter of 2025, achieving a notable revenue of $14.5 billion. This impressive figure was largely fueled by a robust 9% increase in software sales. CEO Arvind Krishna highlighted the pivotal role of IBM's hybrid cloud and AI strategy, with the company's AI business now valued at a substantial $6 billion.
Wall Street Analysts Forecast
According to projections from 18 leading analysts, the average one-year price target for IBM is pegged at $252.63. While the high estimate reaches $320.00, the low remains at $160.00. This average target suggests a modest 2.91% upside potential from IBM's current trading price of $245.48. For a deeper dive into these estimates, visit the International Business Machines Corp (IBM, Financial) Forecast page.
The consensus from 23 brokerage firms rates IBM with an average recommendation of 2.4, which signals an "Outperform" status. This rating falls on a scale from 1 to 5, where 1 indicates a "Strong Buy" and 5 signifies "Sell."
From a valuation perspective, GuruFocus estimates the GF Value of IBM in one year to be $153.71. This projection suggests a potential downside of 37.38% compared to the current stock price of $245.48. The GF Value is a proprietary metric by GuruFocus, designed to determine a stock's fair trading value by considering historical trading multiples and both past and projected business performance. For more insights, explore the International Business Machines Corp (IBM, Financial) Summary page.
