‘AI Has Replaced a Couple Hundred HR Roles,' Says IBM CEO
IBM has started using artificial intelligence to automate parts of its human resources department, which has replaced 'a couple hundred' HR roles, according to CEO Arvind Krishna, as reported by The Wall Street Journal. Instead of cutting back overall, IBM used the money saved to hire more programmers and salespeople. Interestingly, many companies are now exploring AI agents (tools that can do things like analyze spreadsheets, write emails, and do research) to improve workplace efficiency.
Protect Your Portfolio Against Market Uncertainty
Krishna explained that even though IBM automated some tasks like employment verification and internal job transfers, the company's total number of employees actually increased. That's because automation allowed IBM to invest more in areas that help the business grow. The goal, he said, is to let AI handle repetitive tasks so HR teams can focus on more strategic work that adds greater value.
While IBM is expanding in some roles, other companies in the tech industry are being more cautious. Indeed, AI has led some firms to slow down hiring as they evaluate how it might change the way they work. So far, large-scale job cuts from AI haven't happened, but it is affecting how companies plan for the future. At IBM's Think conference in Boston, Krishna noted that despite ongoing economic uncertainty, businesses are still increasing their AI investments to boost productivity, cut costs, and grow revenue.
What Is the Target Price for IBM?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on IBM stock based on eight Buys, five Holds, and two Sells assigned in the past three months, as indicated by the graphic below. Furthermore, the average IBM price target of $259.92 per share implies 0.5% upside potential.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
6 hours ago
- Yahoo
International Business Machines (NYSE:IBM) Launches Watsonx AI Labs In New York City
International Business Machines recently announced the launch of Watsonx AI Labs, a significant business expansion aiming to enhance AI capabilities and collaboration in New York City. During the past month, IBM's stock price moved by 7%, a figure that substantially exceeds the market's 2% climb in the past week. While IBM's innovations in AI, such as the partnership with Deutsche Bank and the Deca Technologies collaboration, align with the market's positive sentiment, these developments would have added weight to the broader upward trend observed in the stock price. Every company has risks, and we've spotted 5 risks for International Business Machines you should know about. The end of cancer? These 23 emerging AI stocks are developing tech that will allow early identification of life changing diseases like cancer and Alzheimer's. The launch of Watsonx AI Labs is a pivotal development for IBM, potentially influencing its future prospects significantly. This initiative aligns with IBM's focus on AI and cloud services, two sectors that have been earmarked for potential growth. Over the past five years, IBM's total return, including share price appreciation and dividends, has been 154.16%. This performance provides a broader context beyond the recent 7% stock price increase driven by Watsonx's announcement. IBM's shares have outperformed the US IT industry and the broader market over the last year, with its return far exceeding both benchmarks. While the industry saw less than half of IBM's gain, this underscores investor confidence in IBM's innovations, including the AI labs and collaborations like those with Deutsche Bank. However, the current share price of US$253.37, which exceeds consensus analyst fair value estimates, raises questions about future growth sustainability if market conditions change. The price target reflects a 4% discount to its recent market valuation. The Watsonx AI Labs could further enhance revenue and earnings forecasts by boosting IBM's AI and consulting offerings. Yet, IBM's reliance on economic stability and cloud adoption highlights potential vulnerabilities, as indicated by the range in analyst price targets. The integration of AI and hybrid cloud services aims to mitigate these risks. Still, the consensus fair value of US$252.27 suggests that market expectations may already encompass some of these anticipated benefits. As IBM presses forward with its strategic initiatives, ongoing evaluations of these factors will be crucial for potential investors. According our valuation report, there's an indication that International Business Machines' share price might be on the expensive side. This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned. Companies discussed in this article include NYSE:IBM. This article was originally published by Simply Wall St. Have feedback on this article? Concerned about the content? with us directly. Alternatively, email editorial-team@
Yahoo
7 hours ago
- Yahoo
Fox News hilariously defends Trump over ‘TACO' insult: ‘He's the bravest man in the world!'
The code that Wall Street traders are now using to describe Donald Trump's tactic of backing out of his trade policy threats whenever they cause the stock market to tumble has not only rattled the president, but has his most loyal sycophants at Fox News scrambling to defend him against the insulting nickname. With investors now engaging in 'TACO' trades, which is shorthand for 'Trump Always Chickens Out' when it comes to actually imposing his massive tariffs, Democratic lawmakers have now taken to social media to mock the president by filming themselves munching down on tacos. Amid the widespread mockery of the president by Democrats and liberal media figures, not to mention the president's own complaints about the 'nasty' term, a number of hosts and commentators at Fox News – which essentially serves as the White House's unofficial communications arm – have circled the wagons to blast the 'cringey' insult. And one way they have done that is to insist that there's no way that Trump can be seen as cowardly because there is nobody alive who has more courage than the president. 'The word chicken – one of the problems that the Democrats have had with Donald Trump is the fact that after 'fight, fight, fight,' everyone knows he is the bravest man in the world,' Fox & Friends co-host Rachel Campos-Duffy, referencing last year's assasination attempt on Trump, breathlessly declared on Tuesday. Campos-Duffy, whose husband serves as the president's transportation secretary, claimed this was all 'propaganda' to make the American people forget that Trump was 'shot in the head' at a Pennsylvania campaign rally. At the same time, though, she insisted the nickname won't stick because the public knows how courageous and unafraid the president is. 'Every man that saw that knows he is brave,' she continued. 'Bravest man in the world. They are thinking using 'taco' and the word 'chicken' on Trump somehow is going to damage or put a dent in that teflon image he has as the very brave person. Frankly, he is brave to take on tariffs!' The former Real World star was far from the only Fox News personality to fume over the acronym that Democrats and anti-Trump influencers have gleefully embraced. Specifically, the network's conservative stars have recently taken issue with Rep. Eric Swalwell (D-CA), who posted a video on his TikTok account of a staffer asking him: 'Hey, Congressman, what the f*ck is up with Trump always chickening out on tariffs?' The California lawmaker, who has long been a vocal critic of the president, merely responded by biting into a Taco Bell crunchy taco. 'The Democrats have become so lame,' Fox & Friends co-host Lawrence Jones groused in response to the video, while Campos-Duffy called out Swalwell for his 'cringey response' to Trump. Their colleague Brian Kilmeade, meanwhile, blamed the whole 'TACO' acronym on Fox's corporate cousin The Wall Street Journal, which is also owned by Rupert Murdoch. 'The Wall Street Journal was at war with the president when it comes to tariffs,' he claimed. While the Journal did eventually report on the ''TACO Trade' that has Trump fuming,' the paper wasn't the first to cover the cheeky term, which traders had been using for weeks and was initially coined by a Financial Times columnist. Elsewhere on the president's favorite morning show, former Speaker of the House and current Fox News contributor Newt Gingrich also rejected the nickname because, in his view, Trump never loses. 'This whole recent thing about 'TACO,' you know, Trump always caves. That's nuts,' Gingrich huffed. 'Here's a guy with the courage to endure the CIA and the FBI with the Russia hoax. He endures two impeachment attempts, a rigged election, two assassination attempts, four efforts to put him in jail, and his critics think that he always caves. My experience is, he almost always wins.' (Separately, it is notable that Gingrich outright called the 2020 presidential election 'rigged,' considering that Fox News paid Dominion Voting Systems $787.5 million in 2023 to settle a defamation lawsuit that alleged the network parroted Trump's baseless election fraud conspiracies.) The conservative cable giant's top opinion hosts, meanwhile, seemingly took turns the night before to find different ways to sneer at Swalwell's video while insisting that the derisive epithet is not gaining any traction. 'I want to point out that we like tacos. That's why this doesn't work. We like tacos,' Fox News resident 'comedian' Greg Gutfeld exclaimed on The Five before referencing Swalwell's alleged ties to a Chinese spy. 'Eric Swalwell should have been doing Chinese food — his chopstick was found in a wonton,' Gutfeld snarked. The FBI never accused the lawmaker of any wrongdoing, and a House Ethics probe concluded without taking any further action against the congressman. Gutfeld wasn't the only pro-Trump Fox host to invoke the Chinese spy allegations while blasting Swalwell's video. 'I wonder if Fang Fang likes the burrito bowl,' Laura Ingraham chuckled on Monday night. 'The left's weird moment goes to Fang Fang Swalwell, who posted this video on TikTok on Trump's tariffs,' Trump confidant and 'shadow White House chief of staff' Sean Hannity proclaimed before airing the clip. 'Maybe somebody needs to tell Mr. Fang Fang that the Atlanta Fed is predicting 4.6 percent growth in the second quarter.' Still, while Fox's top Trump loyalists were going out of their way to talk about how much they 'like tacos' and therefore the sobriquet won't actually hurt the president, other voices on the channel pointed out that this is something that could break through with the public. 'It's totally fair game,' National Review editor Rich Lowry said on the Sunday broadcast of MediaBuzz. 'And apparently Trump was irritated in part because he hadn't heard it, and afterwards was irked with his aides not telling him about this.' Lowry added: ''TACO,' it's catchy, kind of funny, and gets to a real phenomenon with the tariffs, which he's backed off them.'
Business Insider
7 hours ago
- Business Insider
Billionaire venture capitalist Marc Andreessen's Bay Area mansion just got a price cut to $29.5 million — take a look inside
Veteran venture capitalist Marc Andreessen and his wife, Laura, are selling their Bay Area mansion. The home hit the market last year for over $33 million but now has a listing price of $29.5 million. Take a look inside. After more than a year on the market, Marc Andreessen's Atherton mansion has gotten a price cut. Marc Andreessen, the founder of the storied venture capital firm Andreessen Horowitz, and his wife Laura Arrillaga-Andreessen, listed their 12,185-square-foot home in Atherton, California, for $33,375,000 last spring. The mansion is now listed at $29.5 million. The home's listing agents did not immediately respond to a request for comment. It's unclear where the Andreessens are headed next. The family declined a previous request for comment. Over the past several years, they've accumulated more than $250 million in property in Malibu, California, according to The Wall Street Journal. Here's a closer look inside the Andreessen's home for sale: The home was built in 1995. It sits on a 1.55-acre lot that's "barely discernible" from the street, according to Compass, the realty firm listing the property. It's also located across from the Menlo Circus Club, a private recreational club that first opened in the 1920s. The home features a neutral color palette with American cherry and light oak floors. Aside from the main home, there's also a one-bedroom guest house and a detached office and studio. The rooms have "extensive" custom built-ins designed to display art. There are five bedrooms, four bathrooms, and three half-bathrooms on the property. The interior is light and airy. There is ample space for entertaining, relaxing, or pondering the state of the startup ecosystem. There are also seven fireplaces on the property, The Wall Street Journal reported. The home features two kitchens. The home has several concealed and visible screens. "A hallmark of this residence is a commitment to media needs," the listing notes. There's also ample space to host and entertain guests. A "defining signature of this property is its capability to host significant personal, professional, & philanthropic events," the listing says. Andreessen and Laura Arrillaga-Andreessen — an educator, author, and philanthropist who founded the Laura Arrillaga-Andreessen Foundation — may have used their home often for hosting. The home also has a nice gym. It's equipped with mirrors, free weights, and stationary bikes. And the grounds themselves are picturesque.
