By Timothy Green
Publication Date: 2026-01-17 14:25:00
AI, quantum computing, and a reliable dividend should be enticing to long-term investors.
IBM (IBM +2.63%) stock was a big winner in 2025. Shares of the tech giant soared 35%, handily beating the S&P 500. IBM spent much of the past decade stuck in a slow, inconsistent turnaround effort after arriving late to the cloud computing party. Over the past few years, however, the company has emerged from this malaise. A focus on hybrid cloud computing and enterprise AI has kick-started IBM’s growth and set up the company for long-term success.
While IBM stock is close to an all-time high, there are still multiple reasons for long-term investors to jump in now.
Image source: Getty Images.
1. Enterprise AI momentum
Predicting anything about where the AI industry is heading is next to impossible. The technology is evolving quickly, and the amount of capital being thrown into AI data centers is unprecedented. Meanwhile, AI companies like OpenAI are burning through cash at a staggering…
