1409 ET - IBM's steep plunge on Tuesday likely doesn't represent a floor for the stock, Morgan Stanley analysts write in a note. The company's software and infrastructure businesses were hit by customers reprioritizing spending toward hardware and memory - and given that businesses see the memory shortage as a multi-year headwind, those trends may continue through to 2027, analysts write. "We wouldn't be surprised to see shares remain weak near-term given (1) the persistence of the memory headwind, and (2) the broad-based impact this spending shift could have on IBM spend if longer-lasting," the analysts write. IBM is down 1.4% to $213.90. (elias.schisgall@wsj.com)

(END) Dow Jones Newswires

July 15, 2026 14:09 ET (18:09 GMT)

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