10 Best 52-Week Low Stocks to Buy According to Hedge Funds

8. International Business Machines Corporation (NYSE:IBM)

Number of Hedge Fund Holders: 63

On May 7, BMO Capital analyst Keith Bachman maintained his Hold rating on the International Business Machines Corporation (NYSE:IBM) stock. He also set a price target of $270, representing an upside of 21% from here.

From May 4 to May 7, the company held its IBM Think 2026 event, which was centered around agenctic AI, automation, and revamping businesses with AI. Though this has generated significant investor and analyst activity, no analyst has come out with an upward target price revision. Reacting to the event, Morgan Stanley pointed out that IBM was on course to become a full-stack operator of enterprise AI rather than just an AI enabler. In the long run, this impacts both its revenue mix and margins. Erik Woodring of Morgan Stanley said:

While execution and competitive dynamics bear watching, Think 2026 increases our conviction that IBM is carving out a more defensible role in enterprise AI by leaning into its strengths in hybrid infrastructure, data gravity, and trusted deployment,

The firm has an Equal-weight rating on the stock, with a price target of $225. It also pointed out that the company faces tough competition among AI platforms, though it enjoys a healthy standing against hyperscalers thanks to its offerings like Sovereign Core, which is a platform that enables government organizations and those in highly regulated niches to deploy and operate AI sovereign cloud environments.

International Business Machines Corporation (NYSE:IBM) operates as an integrated solutions and services provider across Asia-Pacific, the Americas, the Middle East, Europe, and Africa. The company operates in the Infrastructure, Software, Financing, and Consulting segments.