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17 handpicked stocks

Legacy Tech's AI Transformation

IBM's strong quarterly results, driven by its growing AI business, highlight a significant trend of legacy technology systems being revitalized by artificial intelligence. This shift creates a compelling investment case for companies specializing in enterprise-level AI integration, data management, and hybrid cloud solutions.

Author avatar

Han Tan | Market Analyst

Published on July 24

Your Basket's Financial Footprint

Concise interpretation of the basket's market capitalisation and investor implications.

Key Takeaways for Investors:
  • Large-cap dominance generally implies lower volatility and more predictable returns versus smaller-cap, high-growth baskets.
  • Generally suited as a core portfolio holding for broad exposure, not as a speculative, short-term trade.
  • Likely steady, long-term value growth rather than explosive short-term gains; returns may be moderate but more reliable.
Total Market Cap
  • IBM: $262.74B

  • CRM: $250.77B

  • SNOW: $83.86B

  • Other

About This Group of Stocks

1

Our Expert Thinking

Legacy technology companies are experiencing a renaissance through AI integration. IBM's recent strong quarterly results, driven by over $7.5 billion in AI business, demonstrate how established enterprises can successfully pivot to high-growth AI areas. This creates opportunities for companies that facilitate enterprise-level AI adoption across data management, hybrid cloud infrastructure, and consulting services.

2

What You Need to Know

This group focuses on the enterprise AI transformation cycle, where large organizations are upgrading their existing systems with artificial intelligence. These stocks represent companies positioned across the value chain - from data platforms to cloud infrastructure to AI-powered services. The theme captures businesses that enable rather than compete with the AI transformation happening in corporate America.

3

Why These Stocks

These companies were handpicked as critical enablers of the enterprise AI shift. Each business provides specialized solutions that large organizations need when integrating AI into their existing systems. Professional analysts selected these stocks based on their strategic positioning to benefit from the widespread technological upgrade cycle happening across industries.

Why You'll Want to Watch These Stocks

🚀

Enterprise AI Gold Rush

IBM's $7.5 billion AI business proves that legacy tech transformation is real and profitable. Companies enabling this shift are positioned to capture massive enterprise spending on AI integration.

🔄

Transformation Cycle Just Starting

Most large organizations are still in early stages of AI adoption. This creates a multi-year opportunity for companies providing the infrastructure and services needed for enterprise AI transformation.

💎

Hidden Value in Enablers

While everyone focuses on AI creators, the real winners might be the companies that help existing businesses integrate AI into their operations. These picks target that overlooked opportunity.

Get the full story on this Basket. Read our detailed article on its risks and potential.

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