International Business Machines Corporation (NYSE:IBM) is included among the 15 Best Stocks to Buy for the Long Term. Stifel Lifts IBM Price Target Following $11B Confluent Acquisition Photo by Annie Spratt on Unsplash On December 9, Stifel analyst David Grossman lifted his price target on International Business Machines Corporation (NYSE:IBM) to $325 from $295 after the company announced its plan to acquire Confluent for $11 billion in cash. He kept his Buy rating in place and noted that IBM has histor ...

Core Insights - A global study by IBM Institute for Business Value indicates that enterprise data strategies are evolving rapidly as organizations aim to scale AI, but many Chief Data Officers (CDOs) feel their data is not ready to fully leverage AI's potential [1][2]. Group 1: Data Strategy and AI Readiness - 81% of surveyed CDOs report their organization's data strategy is integrated with technology roadmap and infrastructure investments, a significant increase from 52% in 2023 [2]. - Only 26% of CDOs are confident that their data can support new AI-enabled revenue streams, highlighting a gap between AI ambitions and actual readiness [2][8]. - Barriers such as data accessibility, completeness, integrity, accuracy, and consistency hinder organizations from fully utilizing enterprise data for AI [2][3]. Group 2: Role of Chief Data Officers - The role of CDOs is shifting from data custodians to business strategists, with a focus on proving data's value [4][8]. - 92% of CDOs believe they must focus on business outcomes to succeed, yet only one-third can clearly convey how data facilitates business results [8]. - Deploying data for competitive advantage is now the top priority for CDOs, surpassing governance and security responsibilities [8]. Group 3: Investment and Talent Challenges - 81% of CDOs prioritize investments that accelerate AI capabilities, while 78% see leveraging proprietary data as a key strategic objective [7][8]. - Nearly half of the respondents identify advanced data skills as a top challenge, an increase from 32% in 2023 [7][8]. - 77% of leaders struggle to fill key data roles, and only 53% believe their recruitment efforts yield the necessary skills and experience, down from 75% in 2024 [8]. Group 4: Data-Driven Culture and Democratization - 82% of CDOs assert that data is wasted if not accessible to people, and 80% believe data democratization accelerates organizational speed [8]. - 74% of respondents promote a culture of data stewardship, yet fostering a data-driven culture remains a significant challenge [8]. - 83% of respondents believe the benefits of deploying AI agents outweigh the risks, with 77% comfortable relying on AI outcomes [8].

Core Insights - IBM has advanced to Stage B of the Quantum Benchmarking Initiative (QBI) led by DARPA, which aims to validate approaches for building a large-scale fault-tolerant quantum computer [1][4][8] - The QBI was launched in 2024 to assess the feasibility of creating a cost-effective quantum computer with significant computational value [2][3] - IBM's progression is seen as a validation of its comprehensive plan to scale quantum computers towards fault-tolerance, with ongoing collaboration with DARPA for unbiased reviews [4][8] Summary by Sections IBM's Involvement - IBM has been selected for Stage B of the QBI, which requires a detailed research and development plan for a fault-tolerant quantum computer [1][8] - The initiative supports ongoing research through third-party verification and validation of strategies [4][5] DARPA's Role - DARPA's QBI focuses on identifying and supporting high-reward technologies for national security, with the goal of developing a fault-tolerant quantum computer by 2033 [2][3] - Stage A required an initial technical concept, while Stage B demands a comprehensive plan addressing risks and mitigation strategies [8] Future Directions - IBM is exploring novel approaches to scaling control systems for quantum computers in collaboration with SEEQC [5] - Stage C will involve independent verification and validation of the hardware developed by the companies participating in the initiative [8]

Core Insights - The campaign "Let's create smarter business" emphasizes the challenges business leaders face in transitioning from AI pilots to real-world applications that deliver organizational value [1][4] - IBM's collaboration with Ogilvy aims to highlight the transformative potential of AI, hybrid cloud, and quantum technologies in enhancing business operations [2][4] Campaign Details - The campaign includes three new broadcast ads featuring Lewis Hamilton, showcasing IBM's partnership with Scuderia Ferrari HP and the redesigned mobile app that integrates data and AI for an improved fan experience [3][4] - The campaign is a strategic evolution of the previous "Let's create" initiative launched in 2022, reintroducing iconic IBM branding elements and set to run through 2025 across various media platforms [4] Company Overview - IBM is a leading provider of hybrid cloud and AI solutions, serving clients in over 175 countries and focusing on data insights, business process optimization, and cost reduction [5] - The company supports critical infrastructure sectors such as financial services, telecommunications, and healthcare with its hybrid cloud platform and consulting services [5]