Can IBM's Long-Term Wimbledon Commitment Benefit the Stock?

International Business Machines Corporation (IBM) and The All-England Lawn Tennis Club recently announced a multi-year renewal of their long-standing technology partnership, extending a successful collaboration spanning 36 years. This joint venture helps fans access personalized, real-time insights and interactive experiences, making it easier to follow and engage with Wimbledon matches worldwide.

Under the renewed agreement, IBM will remain Wimbledon’s official AI, cloud, and digital transformation partner, bringing advanced AI-powered features like Live Likelihood to Win and Match Chat, using match data and watsonx AI for real-time match insights and personalized commentary. IBM’s enhanced cloud platforms and data-driven analytics will deliver fast, more immersive, and globally accessible fan experiences, making Wimbledon’s digital engagement smarter and more interactive than ever.

IBM has partnered with major sports organizations, such as the U.S. Open Tennis Championships, The Masters golf tournament, and the National Hockey League. The company has leveraged these global platforms to present watsonx and its AI and cloud technologies, strengthening brand leadership and customer trust while unearthing future business opportunities.

How Are Competitors Advancing in the Sports Technology Market?

IBM faces competition from Microsoft Corporation (MSFT) and Alphabet Inc. (GOOGL). Google has been named the official cloud provider and a founding partner for the 2028 Los Angeles Olympics, using its AI, cloud, and search technologies to improve fan experiences, media coverage, and event operations. Its Cloud’s AI tools help FOX Sports and MLB to deliver real-time insights and highlights, making sports broadcasts more engaging for fans.

Microsoft has signed a five-year partnership with the English Premier League to use Copilot AI and Azure cloud to deliver personalized content, real-time data, and better fan experiences. The company expanded its partnership with the NFL by using Copilot and Azure AI to provide real-time game data, insights, and performance analytics for teams and coaches.

IBM’s Price Performance, Valuation & Estimates

IBM shares have gained 32.9% over the past year compared with the industry’s growth of 92.8%.

From a valuation standpoint, IBM trades at a forward price-to-sales ratio of 3.94, below the industry average.

Earnings estimates for 2025 have increased 1.2% to $11.39 over the past 60 days, while the same for 2026 have also rose 1.8% to $12.24.

IBM currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

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This article originally published on Zacks Investment Research (zacks.com).

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