Analyst Recommends Buying Rigetti and Quantum Computing Stocks Despite Criticism.
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Jan 15 2026
0mins
Should l Buy IBM?
Source: Barron's
- Investment Trend: Analysts are increasingly advising investors to invest in quantum-computing stocks.
- Market Attention: The technology is gaining significant attention on Wall Street, indicating its potential for growth.
Trade with 70% Backtested Accuracy
Stop guessing "Should I Buy IBM?" and start using high-conviction signals backed by rigorous historical data.
Sign up today to access powerful investing tools and make smarter, data-driven decisions.
Analyst Views on IBM
Wall Street analysts forecast IBM stock price to rise
16 Analyst Rating
11 Buy
4 Hold
1 Sell
Moderate Buy
Current: 245.070
Low
210.00
Averages
315.80
High
375.00
Current: 245.070
Low
210.00
Averages
315.80
High
375.00
About IBM
International Business Machines Corporation is a provider of global hybrid cloud and artificial intelligence (AI) and consulting expertise. The Company’s segments include Software, Consulting, Infrastructure and Financing. The Software segment includes hybrid cloud and AI platforms, which allow clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. The Consulting segment focuses on integrating skills on strategy, experience, technology and operations by domain and industry. The Infrastructure segment is focused on the hybrid cloud infrastructure market, providing on-premises and cloud-based server and storage solutions. In addition, it offers a portfolio of life-cycle services for hybrid cloud infrastructure deployment. The Financing segment provides client and commercial financing, facilitating its clients’ acquisition of hardware, software and services. It helps clients in more than 175 countries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
IBM to Hold Q1 2026 Earnings Call on April 22
- Earnings Call Scheduled: IBM will hold its Q1 2026 financial results conference call on April 22, 2026, at 5:00 p.m. ET, aimed at providing investors with detailed insights into the company's financial performance and future outlook.
- Live Webcast Access: Investors can access the live webcast of the earnings call through IBM's official website, ensuring transparency and enhancing engagement with investors, thereby improving the company's image.
- Pre-Call Preparation: Prior to the call, investors can visit the company website to obtain the earnings press release, helping them better understand the financial data to be discussed and its implications.
- Post-Event Materials: After the call, IBM will provide a replay, associated charts, and prepared remarks, ensuring that investors can comprehensively access information and conduct in-depth analysis.
See More
Needham Lowers IBM Price Target to $290 Ahead of Q1 Results
- Price Target Cut: Needham has reduced IBM's price target from $340 to $290, reflecting potential headwinds to software and services growth due to the Gulf conflict.
- Revenue Forecast Downgrade: Analysts project a 2026 revenue growth rate of 4.5%-5.0%, slightly below the consensus of 5.0%, indicating a cautious outlook on the company's future performance.
- Profitability Outlook: Expected PTI margins are projected to increase by 100 basis points year-over-year, with EPS at $12.38 (up 7%) and free cash flow expected to rise by $1 billion (up 7%), all roughly in line with market expectations.
- Defensive Characteristics: Despite the uncertain macroeconomic environment, IBM possesses the ability to drive incremental growth from acquired software assets (like Hashi and Confluent) while achieving margin expansion through mix shift and operational efficiencies.
See More
IBM: Stifel Lowers Price Target to $290 from $340
- IBM's Price Target Adjustment: IBM has reduced its target price from $340 to $290.
- Market Impact: This adjustment reflects changes in market conditions and expectations for the company's performance.
See More
Pasqal to Go Public, Offering Quantum Enthusiasts a New Investment Opportunity.
- Recent Developments: Quantum investors have experienced significant activity, including multiple public listings and notable technical advancements.
- Future Outlook: There is an increasing belief that the transformative impact of quantum technology may be realized sooner than previously expected.
See More
Arm Launches First AI Data Center Chip
- AI Data Center Chip Launch: In March 2026, Arm Holdings announced its first in-house AI data center chip, the Arm AGI CPU, marking a shift from IP licensing to production silicon, which is expected to enhance its competitiveness in the AI market by supporting major clients like Meta.
- Collaboration with IBM: The partnership with IBM aims to develop dual-architecture hardware focused on AI and data-intensive enterprise workloads, integrating Arm's AGI CPUs into mission-critical virtualized systems, potentially elevating its status in enterprise infrastructure.
- Investment Outlook: Analysts project Arm's revenue to reach $7.4 billion and earnings to hit $2.3 billion by 2028, indicating a dual growth potential from its core IP and new AGI CPU business, despite challenges related to execution risks and rising costs.
- Market Response and Risks: While the launch of AGI CPUs has generated market excitement, investors should remain cautious of R&D and execution risks, particularly regarding the complexities and cost increases associated with full-chip projects that could impact profitability.
See More
Challenges and Opportunities in Retirement Savings
- Importance of Retirement Planning: Gregory Hutchison, after nearly 44 years at IBM, retired in 2021 with close to $1 million in his 401(k), and while he enjoys a relatively comfortable life, he regrets not consulting a financial advisor sooner to avoid unexpected tax and expense issues.
- Risks of Market Volatility: New retirees face significant risks from market volatility, as evidenced by record-high hardship withdrawals from 401(k) plans last year, indicating that many savers are forced to tap into their retirement funds in emergencies, potentially jeopardizing their long-term financial stability.
- Diversification of Asset Allocation: Financial advisors recommend that retirement savers diversify their funds across different types of accounts to allow for more flexible access in emergencies, thereby avoiding hefty penalties and taxes associated with early withdrawals.
- Calculating Retirement Income: Many savers are surprised to find that their actual living expenses in retirement are significantly lower than their working income, often only needing about $75,000 annually, highlighting the importance of careful retirement income planning.
See More
IBM to Hold Q1 2026 Earnings Call on April 22
- Earnings Call Scheduled: IBM will hold its Q1 2026 financial results conference call on April 22, 2026, at 5:00 p.m. ET, aimed at providing investors with detailed insights into the company's financial performance and future outlook.
- Live Webcast Access: Investors can access the live webcast of the earnings call through IBM's official website, ensuring transparency and enhancing engagement with investors, thereby improving the company's image.
- Pre-Call Preparation: Prior to the call, investors can visit the company website to obtain the earnings press release, helping them better understand the financial data to be discussed and its implications.
- Post-Event Materials: After the call, IBM will provide a replay, associated charts, and prepared remarks, ensuring that investors can comprehensively access information and conduct in-depth analysis.
See More
Needham Lowers IBM Price Target to $290 Ahead of Q1 Results
- Price Target Cut: Needham has reduced IBM's price target from $340 to $290, reflecting potential headwinds to software and services growth due to the Gulf conflict.
- Revenue Forecast Downgrade: Analysts project a 2026 revenue growth rate of 4.5%-5.0%, slightly below the consensus of 5.0%, indicating a cautious outlook on the company's future performance.
- Profitability Outlook: Expected PTI margins are projected to increase by 100 basis points year-over-year, with EPS at $12.38 (up 7%) and free cash flow expected to rise by $1 billion (up 7%), all roughly in line with market expectations.
- Defensive Characteristics: Despite the uncertain macroeconomic environment, IBM possesses the ability to drive incremental growth from acquired software assets (like Hashi and Confluent) while achieving margin expansion through mix shift and operational efficiencies.
See More
IBM: Stifel Lowers Price Target to $290 from $340
- IBM's Price Target Adjustment: IBM has reduced its target price from $340 to $290.
- Market Impact: This adjustment reflects changes in market conditions and expectations for the company's performance.
See More
Pasqal to Go Public, Offering Quantum Enthusiasts a New Investment Opportunity.
- Recent Developments: Quantum investors have experienced significant activity, including multiple public listings and notable technical advancements.
- Future Outlook: There is an increasing belief that the transformative impact of quantum technology may be realized sooner than previously expected.
See More
Arm Launches First AI Data Center Chip
- AI Data Center Chip Launch: In March 2026, Arm Holdings announced its first in-house AI data center chip, the Arm AGI CPU, marking a shift from IP licensing to production silicon, which is expected to enhance its competitiveness in the AI market by supporting major clients like Meta.
- Collaboration with IBM: The partnership with IBM aims to develop dual-architecture hardware focused on AI and data-intensive enterprise workloads, integrating Arm's AGI CPUs into mission-critical virtualized systems, potentially elevating its status in enterprise infrastructure.
- Investment Outlook: Analysts project Arm's revenue to reach $7.4 billion and earnings to hit $2.3 billion by 2028, indicating a dual growth potential from its core IP and new AGI CPU business, despite challenges related to execution risks and rising costs.
- Market Response and Risks: While the launch of AGI CPUs has generated market excitement, investors should remain cautious of R&D and execution risks, particularly regarding the complexities and cost increases associated with full-chip projects that could impact profitability.
See More
Challenges and Opportunities in Retirement Savings
- Importance of Retirement Planning: Gregory Hutchison, after nearly 44 years at IBM, retired in 2021 with close to $1 million in his 401(k), and while he enjoys a relatively comfortable life, he regrets not consulting a financial advisor sooner to avoid unexpected tax and expense issues.
- Risks of Market Volatility: New retirees face significant risks from market volatility, as evidenced by record-high hardship withdrawals from 401(k) plans last year, indicating that many savers are forced to tap into their retirement funds in emergencies, potentially jeopardizing their long-term financial stability.
- Diversification of Asset Allocation: Financial advisors recommend that retirement savers diversify their funds across different types of accounts to allow for more flexible access in emergencies, thereby avoiding hefty penalties and taxes associated with early withdrawals.
- Calculating Retirement Income: Many savers are surprised to find that their actual living expenses in retirement are significantly lower than their working income, often only needing about $75,000 annually, highlighting the importance of careful retirement income planning.
See More
