The selloff in $IBM today is very warranted. Unlike many of the SaaS names who have been rerated much lower on the expectation of disruption, $IBM was actually getting forward growth Premium from AI. Todays news only means that they arent living up to the lofty expectations by the market. Many of the other SaaS names have corrected and the worse is already built into their stock price. This is not to say the $IBM is a bad company, but at $300+ there just isnt much meat on the bone to make the investment worth it with AI disruption narrative looming. SaaS is going through, "Asian Parent Syndrome" ... anything but an "A+" means your failing and will end up homeless.
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