14 Best Consulting Stocks to Buy Now

Page 10 of 11

02. International Business Machines Corporation (NYSE:IBM)

Number of Hedge Fund Holders: 49

International Business Machines Corporation (NYSE:IBM) offers integrated solutions and services globally through its Software, Consulting, Infrastructure, and Financing segments. The Software segment provides hybrid cloud and AI platforms for digital and AI transformations. The Consulting segment focuses on strategy, experience, technology, and operations integration by industry. RBC Capital recently raised International Business Machines Corporation (NYSE:IBM) stock price target to $211 from $200, maintaining an Outperform rating. This follows IBM’s strong performance, including a significant increase in its Generation AI (GenAI) business, which doubled to $2 billion. RBC Capital highlighted IBM’s robust free cash flow (FCF), exceeding expectations and supporting forward guidance through fiscal year 2025. Despite a temporary slowdown in its Red Hat segment, International Business Machines Corporation (NYSE:IBM) management is optimistic about growth in the second half of the year. The improved revenue forecast and FCF outlook for fiscal year 2024 indicate stable performance. The doubling of International Business Machines Corporation (NYSE:IBM) GenAI business to $2 billion underscores its innovation and market position in AI. RBC Capital’s positive outlook on IBM’s trajectory and the increased price target suggest favorable stock value prospects.

In the first quarter of 2024, the number of hedge funds with stakes in International Business Machines Corporation (NYSE:IBM) decreased to 49 from 50 in the previous quarter, according to Insider Monkey’s database of 920 hedge funds. The combined value of these stakes is approximately $1.007 billion. Ken Griffin’s Citadel Investment Group emerged as the largest stakeholder among these hedge funds during this period.

Page 10 of 11