IBM Stock Jumps, Leads S&P 500 Gainers, on Results, Open-Source AI Strategy

 

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IBM David Ramos / Getty Images 25 Highest Paid Occupations in the US Close KEY TAKEAWAYS IBM shares jumped 13% to lead S&P 500 gainers Thursday, a day after the company posted fourth-quarter results that topped analysts' estimates as its artificial intelligence (AI)-enabled business surged. IBM reported fourth-quarter adjusted EPS of $3.92, ahead of Visible Alpha consensus of $3.79. Revenue of $17.55 billion was a tick higher than expectations. CEO Arvind Krishna said IBM's "generative AI book of business now stands at more than $5 billion inception-to-date, up nearly $2 billion quarter over quarter." IBM (IBM) shares jumped 13% to lead S&P 500 gainers Thursday, a day after the company posted fourth-quarter results that topped analysts' estimates as its artificial intelligence (AI)-enabled business surged. 1 IBM reported adjusted earnings per share (EPS) of $3.92, above the consensus estimate of $3.79 of analysts polled by Visible Alpha. Revenue of $17.55 billion was a tick higher than expectation. Generative AI Business Soared By Almost $2B From Q3 "Our generative AI book of business now stands at more than $5 billion inception-to-date, up nearly $2 billion quarter over quarter," IBM CEO Arvind Krishna said. According to a transcript of the earnings call provided by AlphaSense, Krishna added that IBM's AI products "provide clients with a consistent and scalable AI foundation built on open source technology." Earlier this week, Chinese startup DeepSeek shook markets with its release of an AI model at a fraction of the cost of rivals like OpenAI that is open source—which means it is readily accessible and can be modified or enhanced by anyone.