Evercore Reaffirms 'Outperform' on IBM With Strong EPS Forecast

International Business Machines Corporation (NYSE:IBM) is one of the 10 AI Stocks in the Spotlight. On June 20, Evercore ISI analyst Amit Daryanani reiterated an “Outperform” rating on the stock with a $315 price target. The firm expects IBM to maintain mid-to-high single-digit revenue growth as well as double-digit growth in earnings per share and free cash flow in the coming years. This growth would enable the company to potentially generate $16 to $18 in annual EPS within the next three years. A portfolio manager, confident in her analysis, inspecting several stocks on her laptop screen. The firm has also noted improvements in market sentiment, along with a recent expansion of the market’s multiple, as key reasons for its increased target. International Business Machines Corporation (NYSE:IBM) is a multinational technology company and a pioneer in artificial intelligence, offering AI consulting services and a suite of AI software products. 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. READ NEXT: 10 AI Stocks on Wall Street’s Radar and 10 AI Stocks Getting Wall Street’s Attention.  Disclosure: None.