Oppenheimer Initiates International Business Machines Corporation (IBM) With a Buy

​International Business Machines Corporation (NYSE:IBM) is one of the Best Cloud Stocks to Buy Now. On November 21, Param Singh from Oppenheimer initiated International Business Machines Corporation (NYSE:IBM) with a Buy rating and a $360 price target. Earlier on November 19, Amit Daryanani from Evercore ISI had also reiterated a Buy rating on the stock with a $315 price target.

​Singh from Oppenheimer noted that his bullish sentiment is based on the prediction that the company’s software portfolio can achieve double-digit revenue growth driven by robust automation and growth in Red Hat. Moreover, the analyst also sees the consulting segment sustaining its low single-digit growth along with a recovering application development and management.

​In addition to this improved positive outlook, the company is also making progress with quantum computers. On November 20, Reuters reported that International Business Machines Corporation (NYSE:IBM) and Cisco Systems plan to link quantum computers over long distances. The companies aim to prove that this concept is workable by the end of 2030.

Earlier, on November 12, the company had unveiled Loon, its experimental quantum computing chip. Management believes the chip is a major milestone towards making quantum computers useful by 2029.

International Business Machines Corporation (NYSE:IBM) is a global technology leader providing software, consulting, and infrastructure solutions, with a​ strategic emphasis on hybrid cloud and artificial intelligence.

While we acknowledge the potential of IBM as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.