IBM - Change Won't Happen Overnight, But Will In Due Time
Henry Le • Today, 9:30 AM
- Data, cloud, and engagement are all connected. When IBM works with a client, they’re providing solutions for all three areas to some extent.
- People aren’t patient so they expect IBM to perform miracles overnight. That isn’t going to happen when you’re a $100 billion company.
- Given IBM’s global sales force, they can acquire much smaller companies at a premium valuation and quickly scale up the newly acquired company.
- IBM produces a lot of free cash flow. They generated well over $137 billion in free cash flow since 2004.
- If you have $20 EPS and a multiple of 15 then you’ll have a stock price of $300.00! Today, IBM’s stock price is around $165.00.