IBM Surges 30% in a Week on Quantum Bet and Viral Trump Video

Benzinga reported Tuesday that IBM shares have gained nearly 30% over five trading sessions, powered by a massive IBM quantum computing commitment and an unexpected social-media moment involving a resurfaced video of President Donald Trump.

A $10 Billion Bet on the Quantum Era

IBM announced it will pour more than $10 billion into quantum computing across the next five years. The company’s stated goal is to deliver the world’s first large-scale, fault-tolerant quantum computer by 2029. Chairman and CEO Arvind Krishna told investors the quantum era is no longer a future prospect. IBM also unveiled Anderon, described as the world’s first pure-play quantum wafer foundry, supported by a $1 billion cash contribution. The announcement gave investors a concrete roadmap at a moment when AI-driven hardware spending is accelerating broadly across the sector.

Also Read: Nvidia’s AI Chip Dominance Faces New Scrutiny as Rivals Close Gap

Background: IBM’s Long Road Back to Relevance

IBM spent much of the past decade shedding legacy businesses and repositioning around hybrid cloud and AI services following its acquisition of Red Hat. That strategic pivot has taken time to translate into consistent revenue growth. Wedbush analyst coverage of the company has turned more constructive as fears of a broader SaaS slowdown ease. Wedbush raised its price target on IBM to $350 from $320 on Tuesday, maintaining an Outperform rating. The firm cited growing conviction that IBM can sustain profitable growth, while record retail inflows into U.S. software ETFs added further momentum to the move.

Also Read: Wedbush Raises IBM Target as SaaS Fears Fade

A Viral Clip Added Fuel to the Fire

A secondary catalyst emerged over the weekend when a post on X spread a clip of Trump praising Krishna and implied the president was endorsing IBM shares near $297. The video accumulated roughly 3.7 million views before fact-checkers flagged it as footage recorded approximately six months earlier. The clip had no bearing on current policy, yet it demonstrably accelerated retail buying interest heading into the week. IBM shares traded near $326 on Tuesday, adding more than 1.5% on the session alone.

Market-based gauges suggest investors retain some skepticism about the ambitious timeline. A prediction market contract tracking the arrival of a practically useful quantum computer before 2030 trades at roughly 36 cents on the dollar. A separate contract on whether the broader AI investment cycle enters a correction before year-end sits near 25%. IBM’s 30% weekly rally leaves the stock pricing in considerable execution.

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