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Strategies & Market Trends : Technical analysis for shorts & longs -- Ignore unavailable to you. Want to Upgrade?

To: Johnny Canuck who wrote (40215)	9/8/2003 1:49:07 PM
From: Johnny Canuck	Read Replies (1) \| Respond to of 69902

IT Spending Set to Lift IBM: Analyst By Meredith Derby Staff Reporter 09/08/2003 09:19 AM EDT Click here for more stories by Meredith Derby Credit Suisse First Boston upgraded IBM (IBM:NYSE - commentary - research) and raised its estimates on the company Monday, saying the hardware and software maker has stabilized and will benefit from an upcoming increase in information technology spending. IBM is "the ideal late-cycle tech spending recovery play," said analyst Kevin McCarthy. The analyst believes IBM's customers are about to gradually increase their tech spending. As a result, the analyst now sees IBM earning $5.10 a share in 2004, up from his previous expectation of $4.80 a share, on 8% revenue growth. He raised IBM's investment rating to outperform from neutral and also lifted his price target to $102 from $87. In addition, most of the company's business segments are either stable or improving, McCarthy said. "IBM continues to gain share across most hardware product categories and commands the largest overall sever share." McCarthy thinks the software sector will rebound in the second half of 2003. Shares of IBM were up $1.85, or 2.1%, at $88.80 in premarket trading on Instinet.