Many news articles have suggested hybrid cloud boom is now on. IBM's outperformance result in Q4 2021 and throughout entire 2021 was a indicator that this market is profitable and continually growing. There are many more articles but I did picked a few that generally summarised the current financial performance of IBM's hybrid cloud business / cloud infrastructure offering and the future outlook of the sector is pretty positive.
Nexion on the other hand do also have the early adopter advantage to capture as much market share as they can. Current valuation definitely does not translate to their future potential business operation outlooks. Myself as an inpatient investor did sold out / re-purchased back in several time on this stock but I do gain more confident after reviewing IBM's performance and the future business outlook is pretty bright.
1. Source:
https://searchdatacenter.techtarget.com/news/252512437/IBM-hybrid-cloud-strategy-driving-revenue-growthIBM's hybrid cloud focus is paying off, with the company reporting fourth-quarter revenue up 6.5% to $16.7 billion compared with the same quarter last year, driven largely by increased adoption of its hybrid cloud offerings.Hybrid cloud revenue in the fourth quarter was $6.2 billion, up 16%, and for the full year totaled $20.2 billion, up 20% over the year-ago quarter's number.
In general, the hybrid cloud market is expected to grow in the year ahead as organizations look to balance public cloud and on-premises deployments, which, for many IT departments, means modernizing on-premises data centers in a cloud-like way. In the "2022 Technology Spending Intentions Survey" by Enterprise Strategy Group, 52% of respondents said they planned to increase spending on hybrid and private cloud infrastructure software.
2. Source:
https://www.beckershospitalreview.com/healthcare-information-technology/cloud-computing-ai-fuel-ibm-revenue-growth.htmlIBM Corp. has found its recipe for success — cloud computing and artificial intelligence. The company reported higher earnings and revenue due to its new technology strategies, The Wall Street Journal reported Jan. 26.On Jan. 24, IBM reported its fourth quarter revenue earnings, including a 16 percent increase in hybrid cloud revenue and an 8.2 percent increase in software revenue, which included its AI and data tools.IBM shifted its information technology focus during the COVID-19 pandemic, capitalizing on accelerated hybrid cloud computing, as remote work and e-commerce picked up and IT workloads changed.IBM's offerings — which help companies get advanced capabilities up and running while gathering insights from business and transaction data — also accelerated the company's growth and need within the industry. Bob Parkers, senior vice president at International Data Corp., told The Wall Street Journal that 70 percent of IBM's revenue is coming from its software services. The hybrid cloud computing and AI markets continue to expand, putting IBM in a good position, according to the report.
3. Source:
https://finance.yahoo.com/news/international-business-machines-corporation-moodys-010008501.htmlInternational Business Machines Corporation -- Moody's says good demand for hybrid cloud offerings and pending asset sale better position IBM to meet guidance for 2022
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