J.P. Morgan Raises PT On IBM To $176

J.P. Morgan, citing better than expected 1Q results, has raised its price target on IBM IBM from $166 to $176. Says J.P. Morgan, in the report, “We expect shares of Overweight-rated IBM to be under pressure in the near term, but our long-term view is increasingly constructive, especially due to software. IBM delivered better than expected 1Q results across all three segments, helping raise its full-year EPS outlook. The one pothole, however, was services signings. While not always the best predictive value, IBM's signings declined 14% YoY, underperforming Accenture's recent growth of 12% (Feb. quarter). Signings stand to be a source of disappointment for investors, but we see offsets.” J.P. Morgan reiterates its Overweight rating on the stock. IBM closed at $165.40 yesterday.