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Barchart
Barchart
Mark R. Hake, CFA

IBM Upped Its FCF Outlook - Could Be Worth +13% More at $294 Per Share

International Business Machines Corp. (IBM) produced strong free cash flow guidance in its July 23 Q2 earnings release. Management said it now expects over $13.5 billion in FCF this year. That's 8.8% higher than 2024 and implies IBM stock could be worth 13% more at $294 per share. This article will show why.

IBM closed at $260.51 on Thursday, July 24, down -7.6% for the day after its earnings release. IBM stock is well down from its recent peak of $294.78 on June 30.

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