IBM's Strong Q4 Earnings and Revenue Growth Driven by AI

IBM's stock surged 11.5% after reporting a 4% revenue increase driven by demand for AI products and hybrid cloud services, with earnings per share beating Wall Street estimates. The company expects free cash flow to improve this year and foresees mid-single-digit revenue growth, particularly in its consulting and software businesses. IBM's CFO highlighted the increasing demand for generative AI offerings, which are being used to enhance various business operations, and emphasized the long-term value potential of AI, with stock reaching a nearly 10-year high.