Citigroup initiated coverage of IBM with a Buy rating.
The bank established a price target of $285 for the stock.
Analysts identify IBM as a defensive investment within a tightening enterprise software market.
The company’s established hardware and software presence provides a buffer against artificial intelligence risks.
Citi reports that current valuations underappreciate IBM’s exposure to the next phase of enterprise AI systems. This positioning creates a compelling risk-to-reward scenario for investors.