NEW YORK (TheStreet) -- Shares of IBM (IBM) are slightly higher at $162.97 in pre-market trading after it was reported that the IT company is enjoying a wave of major technology outsourcing deals from European customers in the fourth quarter and the new contract signings are not over yet, Bart Van den Daele, IBM's general manager for strategic outsourcing in European, said in an interview with Reuters.
IBM announced the third in a string of billion dollar plus contracts late yesterday, saying it had won a seven-year, $1.25 billion deal with WPP, the world's top advertising agency, to run their operations in the cloud, Reuters said.
On Monday, IBM disclosed a multibillion-dollar deal to provide computer infrastructure services to Dutch bank ABN Amro. And last month, Deutsche Lufthansa (DLAKY) agreed a $1.25 billion contract for IBM to take over the German airline's information technology operations and staff, Reuters noted.
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TheStreet Ratings team rates INTL BUSINESS MACHINES CORP as a Hold with a ratings score of C+. TheStreet Ratings Team has this to say about their recommendation:
"We rate INTL BUSINESS MACHINES CORP (IBM) a HOLD. The primary factors that have impacted our rating are mixed some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its notable return on equity, good cash flow from operations and expanding profit margins. However, as a counter to these strengths, we also find weaknesses including deteriorating net income, generally higher debt management risk and a generally disappointing performance in the stock itself."