IBM - IBM: Llama 3 Open-Source Play
2024-05-29 05:47:04 ET
Summary
- While IBM's recent acquisition of HashiCorp has not been well received by the market, I'm still bullish.
- IBM's leadership position in implementing open-source AI is key. That will drive the company's growth and maintain its competitive edge. I think this will be as big as linux.
- I believe IBM's stock is undervalued and has substantial upside potential, especially considering the company's strong forecast for GAAP EPS growth.
Investment Thesis
Since my last report on IBM ( IBM )(IBM:CA) in January , the company's shares have languished despite largely beating revenue estimates for the quarter. This stems from IBM's recently announced acquisition which, while I believe is strategic, has not been well received by the market. Contrary to market opinions since the last earnings report, I still maintain a positive outlook on the acquisition, and I believe the market has misunderstood their potential benefits....
IBM: Llama 3 Open-Source Play