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Watch These IBM Price Levels as Stock Soars After AI Drives Strong Earnings
IBMIBM(IBM) Investopedia·2025-01-30 19:11

Earnings and AI Business Growth - IBM shares surged 12% to 256afterpostingbetter−than−expectedQ4earnings,drivenbystrongperformanceinitsAIbusiness[2]−Thecompany′sgenerativeAIbookofbusinessgrewbynearly256 after posting better-than-expected Q4 earnings, driven by strong performance in its AI business [2] - The company's generative AI book of business grew by nearly 2 billion from the previous quarter, reflecting global client demand for AI-driven enterprise solutions [3] - IBM's software segment revenue increased by 10.4% YoY, marking its largest jump in five years, offsetting weaker performance in consulting and infrastructure [3] Stock Performance and Technical Analysis - IBM shares hit a record high near 262andhavegained36262 and have gained 36% over the past year, outperforming the S&P 500 [4] - The stock is poised for a breakaway gap above the top trendline of an ascending triangle pattern, indicating bullish momentum [5][10] - Technical analysis suggests two upside price targets: 278 based on the measuring principle and 305usingbarspatternanalysis,withtheuptrendpotentiallylastinguntilMay[7][9][10]KeySupportLevel−Investorsshouldmonitorthe305 using bars pattern analysis, with the uptrend potentially lasting until May [7][9][10] Key Support Level - Investors should monitor the 238 level as a key support area, which may attract buying interest during pullbacks and could transition from resistance to support [10][11]