Financial Data and Key Metrics Changes - IBM achieved a revenue growth of 6% in 2025, the highest level in many years, and generated $14.7 billion in free cash flow, the highest in over a decade [4][17] - The company reported a 12% growth in operating diluted earnings per share and a 17% growth in Adjusted EBITDA [17][24] - Operating pre-tax margin expanded by 100 basis points, reflecting strong execution and a favorable portfolio mix [17][24] Business Line Data and Key Metrics Changes - Software revenue grew 9% in 2025, with three of four sub-segments delivering double-digit growth rates [5][18] - Infrastructure revenue increased by 10%, driven by the successful launch of the z17 mainframe [18] - Consulting revenue grew 1%, reflecting increased demand for AI services [8][21] Market Data and Key Metrics Changes - Data solutions grew by 19%, driven by demand for GenAI products [20] - Automation solutions saw a growth of 14%, with record bookings for HashiCorp [20] - Red Hat's revenue growth decelerated to 8%, impacted by delays in U.S. federal business deal activity [20] Company Strategy and Development Direction - IBM is focused on becoming a software-led hybrid cloud and AI platform company, with significant investments in innovation and productivity initiatives [4][10] - The company aims to sustain revenue growth of 5%+ in 2026, with a strong emphasis on its software business, expected to grow by 10% [28][34] - Strategic acquisitions, such as Confluent, are seen as key to enhancing IBM's hybrid cloud and automation solutions [10][32] Management's Comments on Operating Environment and Future Outlook - Management noted that client demand remains resilient, particularly in hybrid cloud, AI, and mission-critical infrastructure [6][16] - The company expressed confidence in sustaining growth momentum, with expectations for free cash flow to increase by about $1 billion in 2026 [28][34] - Management highlighted the importance of productivity initiatives, which have already exceeded initial targets [11][33] Other Important Information - IBM's cumulative GenAI book of business reached over $12.5 billion, with significant contributions from both software and consulting [9][31] - The company is advancing its quantum computing initiatives, with plans to deliver a large-scale, fault-tolerant quantum computer by 2029 [15][16] Q&A Session Summary Question: Insights on software growth acceleration - Management expressed confidence in organic growth within the software segment, driven by increased demand for automation and data solutions [40][46] Question: Free cash flow performance and guidance - Management attributed the strong free cash flow performance in 2025 to revenue growth and operating leverage, with a guidance of $15.7 billion for 2026 [49][52] Question: Red Hat's growth trajectory - Management acknowledged the challenges in Red Hat's growth but emphasized the strategic value and ongoing demand for its offerings [57][60]

Group 1 - Reddit Inc. is considered one of the best US stocks to buy and hold in 2026, with Deutsche Bank raising its price target to $285 from $255 while maintaining a Buy rating [1] - Morgan Stanley increased its price target for Reddit from $250 to $265, predicting that 2026 will reflect 2025's trends, favoring companies achieving significant ROIC through GenAI and GPU-enabled technologies [2] - Wells Fargo raised its price target for Reddit to $207 from $186, anticipating strong Q4 2025 performance and solid Q1 2026 guidance, driven by steady execution and a new onboarding process to boost logged-in DAUs [3] Group 2 - The digital community operated by Reddit Inc. is positioned to benefit from the growth of AI search and the renewal of major data licensing agreements in 2026 [3] - Despite the potential of Reddit as an investment, certain AI stocks are noted to offer greater upside potential and carry less downside risk [4]

ServiceNow, Inc. (NYSE:NOW) is one of the Buzzing AI Stocks Analysts are Watching. On January 20, Bernstein SocGen Group analyst Peter Weed reiterated an Outperform rating on the stock with a $219.00 price target. The firm is optimistic on NOW, citing upside catalysts in GenAI and H2 execution. In an investor note, the firm highlighted how ServiceNow is one of the safest application stocks based on short interest metrics. This is despite having experienced sharper declines than most large-cap application ...

Core Viewpoint - Roper Technologies, Inc. (ROP) is set to release its fourth-quarter 2025 results on January 27, with expectations of steady earnings and revenue growth, supported by strong performance in its Application Software and Technology Enabled Products segments [1][2]. Financial Performance Expectations - The Zacks Consensus Estimate for Roper's fourth-quarter revenues is $2.09 billion, reflecting an 11.4% increase from the prior-year quarter [2][9]. - The consensus estimate for adjusted earnings is $5.14 per share, indicating a 6.9% growth from the year-ago quarter [2]. Segment Performance Insights - The Application Software segment is expected to generate $1.19 billion in sales, a 12.9% rise year-over-year, driven by SaaS adoption and GenAI innovations [4][9]. - The Technology Enabled Products segment is projected to achieve $460 million in sales, marking a 2.9% increase from the previous year, supported by demand for ultrasonic meters and cloud-based solutions [5]. - The Network Software segment's sales are estimated at $424 million, benefiting from strong demand in construction and freight match markets, as well as GenAI-powered solutions [6]. Acquisition Impact - Recent acquisitions, including Subsplash and CentralReach, are expected to enhance Roper's top-line performance due to their modern technology platforms and strong recurring revenue bases [7][8][9]. Margin Considerations - Despite positive growth factors, rising operating costs related to the amortization of acquired assets may negatively impact Roper's margin performance [8][10].

Core Insights - TTEC Holdings, Inc. has been recognized as an Enterprise Innovator in the HFS Horizons: Travel and Hospitality Service Provider Ecosystem, 2025 report, highlighting its leadership in AI-enhanced customer experience technology and services [1][2] Company Overview - TTEC specializes in modernizing operations for travel and hospitality organizations, helping them deliver differentiated customer experiences [2] - The company employs a consult-to-operate model that integrates front-, middle-, and back-office operations through AI and automation [3] Innovation and Technology - TTEC is noted for its AI-powered, human-centered customer experience solutions tailored for global travel and hospitality brands, supported by its CX Management Services and TTEC Digital division [4] - The company utilizes proprietary AI technologies, including real-time voice and text translation (TTEC ADDI), AI-enabled servicing (Travel Genie and Botspot), and workforce performance tools (RealSkill and RealPlay) [5] Training and Development - The TTEC College of Travel, developed with the International Air Transport Association, aims to elevate agent training and ensure regulatory compliance across global travel environments [6] Client Impact and Results - TTEC has demonstrated significant client outcomes, such as generating over $20 million in value for a global cruise line and achieving $91 million in fraud-related savings for a travel leader, resulting in an 850% ROI and a 24% productivity gain [7] Market Trends and Future Directions - As travel and hospitality organizations face pressures to modernize and enhance customer loyalty, TTEC is expanding its capabilities in GenAI innovation, CX orchestration, and multilingual automation [8]

Financial Data and Key Metrics Changes - The company reported a strong performance in Q3, with adjusted operating profit exceeding $50 million for the first time, standing at $50.7 million, and adjusted net profit at approximately $51.4 million, reflecting a year-on-year growth of 33% in adjusted diluted EPS [20][21] - The adjusted margin for air ticketing was $107.9 million, showing a year-on-year growth of 20.4% in constant currency, with international air ticketing now accounting for about 43% of the adjusted margin [17][18] - The hotels and packages segment recorded a volume growth of 20.3% year-on-year, while gross booking value growth was more moderate at about 15.9% due to a reduction in GST rates impacting pricing [18][10] Business Line Data and Key Metrics Changes - The air ticketing business experienced a mixed performance, with domestic daily departures growing by 2% and 5% year-on-year in October and November, but declining by 5% in December due to new flight duty rules [8][17] - The accommodation business, including hotels and holiday packages, saw a strong demand driven by leisure travel, with the highest-ever check-ins recorded on December 25 [9][10] - The bus ticketing business witnessed strong growth, aided by festive travel, with inventory addition buoyant throughout Q3, crossing 45,000 daily schedules [13] Market Data and Key Metrics Changes - The company noted that over 45% of Myra users are from tier-two cities and beyond, indicating a growing penetration into smaller markets [5] - The corporate travel business is also witnessing strong growth, with active corporate customers on MyBiz increasing to over 77,500, compared to 64,000 in the same quarter last year [14] Company Strategy and Development Direction - The company is focusing on leveraging AI to enhance customer experience across all aspects of the travel journey, from planning to post-sales support [4][6] - A one-stop-shop strategy is being implemented to meet all travel-related needs, with the recent launch of tours and activities, providing access to over 200,000 bookable activities [7] - The company aims to improve its product relevance and effectiveness through proprietary data and AI-driven insights [5] Management Comments on Operating Environment and Future Outlook - Management expressed confidence in the Indian travel market's expansion, driven by economic, social, and technological factors, despite temporary disruptions [3][4] - The company anticipates that the disruption in flight operations will stabilize, with a return to positive growth in domestic air traffic expected in the upcoming quarters [16][46] - Management highlighted the importance of maintaining direct traffic to the company's platforms amidst emerging competition from AI tools in travel planning [56] Other Important Information - The company has repurchased approximately $41.5 million worth of shares during the quarter as part of its capital allocation strategy [21] - The integration of the travel expense management platform Happay has been completed, enhancing the company's corporate travel offerings [14] Q&A Session Summary Question: Can you break down the hotel segment growth by premium and budget segments? - The standalone hotel room nights grew by 20.6%, with the non-premium segment growing at about 23% year-on-year, while margins remained stable at about 17.7% [24][25] Question: What is the underlying margin for the growth in ancillary services? - The growth in ancillary services has been strong, with various new services being added, contributing to overall growth, but specific margins were not disclosed [30] Question: How should we think about normalized growth in the hotel business? - The GST rationalization has impacted growth, but the company expects growth to normalize and potentially return to previous levels over the next four quarters [39][43] Question: What is the outlook for domestic air traffic growth given the capacity cuts by IndiGo? - The company expects domestic air traffic to stabilize and return to positive growth, albeit at a modest rate, as supply issues are resolved [46][47] Question: How is Myra performing since its launch? - Myra has seen significant growth in interactions, with 50,000 daily interactions and a quality score of 3.9, indicating positive user engagement [50][51] Question: What are the implications of AI tools like Google and ChatGPT for the company? - The company views AI as an opportunity rather than a threat, focusing on enhancing its own AI tools while maintaining direct traffic to its platforms [56][57]

Financial Data and Key Metrics Changes - The company reported a strong performance in Q3, with adjusted operating profit reaching $50.7 million, marking a year-on-year growth of 20.4% in constant currency [17][20] - The adjusted net profit was approximately $51.4 million, with adjusted diluted EPS growing by about 33% year-on-year [20] - The adjusted operating margin improved from 1.76% to 1.82% of gross bookings compared to the same quarter last year [20] Business Line Data and Key Metrics Changes - The air ticketing segment saw an adjusted margin of $107.9 million, with international air ticketing now accounting for about 43% of the adjusted margin [17] - The hotels and packages segment recorded a strong volume growth of 20.3% year-on-year, driven by leisure travel demand and a reduction in GST rates for hotel rooms priced under INR 7,500 [18] - The bus ticketing business achieved an adjusted margin of $42.4 million, reflecting a year-on-year growth of over 26.1% in constant currency [19] Market Data and Key Metrics Changes - Domestic air market growth was impacted by new flight duty rules, leading to a year-on-year decline of 5% in daily departures in December [8] - Despite disruptions, the company managed to capture demand through other transport modes, indicating resilience in the overall travel market [3][8] - The company reported strong growth in international travel, which presents significant opportunities for expansion [8] Company Strategy and Development Direction - The company is focusing on leveraging AI to enhance customer experience and streamline operations, with the AI model "Mira" now handling over 50,000 conversations daily [4][5] - A one-stop-shop strategy is being implemented to meet all travel-related needs, including the recent launch of tours and activities, providing access to over 200,000 bookable activities [7] - The company aims to deepen penetration into tier-two cities, with over 45% of Mira users coming from these areas [5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the recovery of the Indian travel market, driven by economic, social, and technological factors [4] - The festive season and long weekends have fueled demand, reinforcing the trend of increased spending on travel among Indian consumers [3] - Management acknowledged the impact of regulatory changes on operations but remains optimistic about future growth opportunities [16] Other Important Information - The company has repurchased 0.55 million shares for approximately $41.5 million as part of its buyback program, which totaled about $46.1 million for the quarter [21] - Cash equivalents at the end of the quarter stood at over $800 million, allowing for continued investment in growth capabilities [21] Q&A Session Summary Question: Can you break down the growth in the standalone hotels segment by premium and budget segments? - The standalone hotel room nights grew by 20.6%, with the non-premium segment seeing stronger growth at about 23% year-on-year, while margins remained stable at around 17.7% [24][25] Question: Can you quantify the underlying margin for the growth in ancillary services? - The growth in ancillary services has been strong, with various new services being added, contributing to overall growth, but specific margins were not disclosed [30] Question: What is the outlook for hotel revenue growth given the recent slowdown? - The slowdown is attributed to GST impacts, but management expects growth to normalize over the next four quarters [39][43] Question: How will the disruption in domestic air traffic affect future growth? - Management anticipates a return to positive growth in domestic air traffic, with estimates suggesting a 1-2% year-on-year growth in the upcoming quarter [46] Question: What is the feedback on the AI tool "Mira" and its competition? - "Mira" has shown promising growth, with a significant increase in interactions and quality scores, and management views the rise of AI tools as an opportunity rather than a threat [49][53]

Core Viewpoint - The era of GEO has arrived, with the GenAI wave gradually reshaping information distribution logic, leading to a transformation in search paradigms, user decision-making logic, and brand focus, which may drive a new round of market restructuring [1][6] Group 1: Industry Trends - The transition to GEO is expected to alter the competitive landscape for consumer goods, as generative AI reshapes information distribution logic and SEO evolves into GEO [2] - Regulatory tightening and tax compliance are driving industry concentration, benefiting leading brands [2][3] - The emergence of new regulatory policies for e-commerce in 2025 will enhance oversight on tax payments and operational transparency, favoring compliant leading brands [3] Group 2: Market Dynamics - Offline channels are receiving policy support, which may benefit brands with a high offline presence as online growth slows and regulatory scrutiny increases [4] - Short-term opportunities may arise for third-party operators as GEO creates new marketing business opportunities, particularly for those with strong data analysis and operational capabilities [4][5] - Brands with clear efficacy claims and strong research backing are likely to benefit from AI model recommendations [5] Group 3: Investment Strategy - The focus is on brands that possess strong product and content capabilities, which are expected to directly benefit from changes in traffic dynamics on platforms like Douyin [6][7] - Continuous attention is given to the impact of GEO on traffic sources and recommendation logic within the beauty industry, emphasizing brands with significant market presence and robust research support [7]

Core Viewpoint - ASML Holding N.V. is recognized as a significant player in the AI stock market, with an Outperform rating initiated by RBC Capital and a price target of $1,550, driven by multiple growth factors in its memory and logic businesses [1][3]. Group 1: Growth Drivers - ASML is expected to outperform the SOX index in 2025 due to increased wafer fab equipment spending and growth in extreme ultraviolet (EUV) lithography, with these trends likely to continue into 2026 and 2027, supported by strong demand from GenAI [2]. - Key catalysts for ASML include a tight DRAM supply, rising EUV intensity, and a potential rebound in Samsung's HBM4 [2]. - The logic segment is seeing a resurgence in foundry competition, with GenAI accelerators adopting more advanced nodes [2]. Group 2: Valuation and Market Position - The valuation premium of ASML over US peers has decreased, making the risk/reward profile more attractive for investors [3]. - ASML specializes in advanced semiconductor equipment, including lithography, metrology, and inspection systems for chip manufacturing [3]. Group 3: Services Business - ASML's services business is projected to continue growing at a double-digit rate, indicating strong ongoing demand and operational strength [2].

Core Viewpoint - eBay Inc. is recognized as one of the best jewellery stocks to invest in currently [1] Group 1: Analyst Coverage - Morgan Stanley has raised its price target for eBay Inc. to $112 from $102, maintaining an Overweight rating [2] - The firm anticipates that the internet industry in 2026 will mirror the performance of 2025, with a focus on businesses leveraging GenAI or GPU technology for capital returns [2] - Specific sectors such as smaller advertising platforms, e-commerce, travel, and ridesharing are expected to experience valuation multiples influenced by autonomous vehicles [2] Group 2: Corporate Developments - eBay Inc. is expanding its Circular Fashion Fund in 2026 to include applications from Canada, Switzerland, and the European Union for the first time [3] - This expansion broadens the fund's reach beyond its existing markets, which include the United States, the United Kingdom, Germany, and Australia, thereby extending the circular fashion concept to North America and Europe [3]