IBM Analyst Initiates Coverage on a Bullish Note; Top 5 Initiations for Tuesday

As an investor, keeping track of analyst initiations and ratings can provide valuable insights into the market's sentiment towards a particular stock. Today, we're taking a look at the top 5 analyst initiations for Tuesday, February 11, 2025, and how they compare to IBM's recent performance and future prospects.



1. Goldman Sachs Initiates Coverage on IBM with a 'Buy' Rating and $200 Price Target
- IBM's recent performance: IBM has shown a steady increase in its stock price over the past year, with a gain of around 15%.
- Future prospects: IBM's strategic shift towards long-term growth, focus on infrastructure software assets, and commitment to consistent financial performance are expected to drive enterprise business transformation and support the stock's potential to re-rate higher.

2. Roth MKM Initiates Coverage on Gaia, Inc. (GAIA) with a 'Buy' Rating and $10 Price Target
- IBM's recent performance: IBM's revenue and EPS are expected to steadily increase over the coming years, with revenue projected to grow from $60,532 million in 2024 to $65,517 million in 2025, and EPS from $9.13 in 2024 to $10.34 in 2025.
- Future prospects: IBM's strategic focus on AI and hybrid cloud services is expected to drive further investor interest, with a significant AI-centric backlog and the potential for Red Hat to reaccelerate its performance.

3. Goldman Sachs Initiates Coverage on AZZ Inc. (AZZ) with a 'Buy' Rating and $108 Price Target
- IBM's recent performance: IBM's financial performance and strategic shifts are attracting investor attention, with a significant AI-centric backlog and the potential for Red Hat to reaccelerate its performance.
- Future prospects: IBM's recent decision to sell its QRadar product to Palo Alto Networks (NASDAQ:PANW) and the announcement of releasing its family of Granite models into open source are seen as strategic moves to concentrate on more lucrative areas.

4. Jefferies Initiates Coverage on Waystar Holding Corp. (WAY) with a 'Buy' Rating and $51 Price Target
- IBM's recent performance: IBM's revenue and EPS are expected to steadily increase over the coming years, with revenue projected to grow from $60,532 million in 2024 to $65,517 million in 2025, and EPS from $9.13 in 2024 to $10.34 in 2025.
- Future prospects: IBM's strategic focus on AI and hybrid cloud services is expected to drive further investor interest, with a significant AI-centric backlog and the potential for Red Hat to reaccelerate its performance.

5. Oppenheimer Initiates Coverage on International Business Machines Corp. (IBM) with an 'Outperform' Rating and $320 Price Target
- IBM's recent performance: IBM's revenue and EPS are expected to steadily increase over the coming years, with revenue projected to grow from $60,532 million in 2024 to $65,517 million in 2025, and EPS from $9.13 in 2024 to $10.34 in 2025.
- Future prospects: IBM's strategic focus on AI and hybrid cloud services is expected to drive further investor interest, with a significant AI-centric backlog and the potential for Red Hat to reaccelerate its performance.



In conclusion, while the top 5 analyst initiations for Tuesday show a mix of positive and neutral outlooks, IBM's recent performance and future prospects appear promising. The company's strategic shift towards long-term growth, focus on infrastructure software assets, and commitment to consistent financial performance are expected to drive enterprise business transformation and support the stock's potential to re-rate higher. Additionally, IBM's strategic focus on AI and hybrid cloud services is expected to drive further investor interest, with a significant AI-centric backlog and the potential for Red Hat to reaccelerate its performance. As an investor, keeping an eye on IBM's progress and the market's sentiment towards the company can provide valuable insights into the tech giant's potential for long-term growth.