IBM (NYSE:IBM) is a global technology company known for its hardware, software, and services. It has been a leader in the tech industry for decades, focusing on areas like cloud computing, AI, and quantum computing. IBM competes with major players like Microsoft and Amazon in the tech space.
On January 4, 2026, Jefferies set a price target of $360 for IBM, suggesting a potential increase of 23.5% from its current price of $291.50. This optimistic outlook comes as IBM's stock has already surged by 33% over the past year, driven by strong demand for its hybrid cloud and AI products. Despite the industry's overall growth of 79.1%, IBM has outperformed competitors like Microsoft and Amazon, which saw gains of 14.2% and 2.9% respectively.
IBM's growth is supported by strategic initiatives, such as acquiring HashiCorp to enhance its AI and multi-cloud infrastructure tools. The company is also advancing in quantum computing, with a new quantum processor and collaboration with Cisco on quantum networking technology. These efforts are expected to strengthen IBM's position in the Software and Consulting segments, fueled by demand for analytics, cloud, and AI solutions.
IBM is making significant strides in quantum computing, positioning itself as a leader in this emerging field. The company has a clear roadmap and resources to achieve milestones in quantum computing over the next decade. Quantum computing, which can exponentially speed up certain computations, is expected to impact areas like materials science, logistics, and AI.
IBM is recognized as a top quantum computing stock, nearing $1 billion in cumulative signings related to this technology. The company collaborates with hundreds of partners, highlighting its commitment to advancing quantum computing. As researchers address challenges like error correction, IBM's efforts could lead to significant advancements in various industries.
