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Ignore the Big Tech Valuation Premium—This Under-the-Radar AI Leader Is a Cash-Rich Sanctuary for Retirees
Key takeaways
- Arvind Krishna guided IBM toward $15.7 billion in 2026 FCF against a $6.3 billion dividend obligation, leaving substantial room for continued increases.
- IBM carries $61.3 billion in debt at 2.8x EBITDA, but 6.3x interest coverage keeps dividend service from becoming a threat.
- Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and IBM didn't make the cut.
Ignore the Big Tech Valuation Premium—This Under-the-Radar AI Leader Is a Cash-Rich Sanctuary for Retirees Alex Sirois Mon, June 29, 2026 at 9:13 PM GMT+7 3 min read IBM NVDA Quick Read IBM has raised its dividend for 31 straight years, with a 54% FCF payout ratio signaling the $6.76 annual payment is well-protected.
Arvind Krishna guided IBM toward $15.7 billion in 2026 FCF against a $6.3 billion dividend obligation, leaving substantial room for continued increases.
IBM carries $61.3 billion in debt at 2.8x EBITDA, but 6.3x interest coverage keeps dividend service from becoming a threat.
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