With PC sales in secular decline and IBM (NYSE:IBM) largely missing the mark in terms of capitalizing on the exploding smartphone and tablet mobile market, some investors have become worried that the mature chipmaker has its best days behind it.
However, in this special April Fools' day edition of Stock of the Day, Motley Fool analyst Blake Bos tells host and vocal talent extraordinaire Mark Reeth about the biggest reason that he just bought shares of IBM and why he still considers it a core holding in his portfolio. He sees a number of major trends that will be catalysts for IBM over the next several years, including the cloud computing trend and the advent of Big Data. As a leader in IT today, he thinks IBM has an excellent chance of continuing to grow with some of these megatrends.
In addition, Blake discusses the direct stock purchase plan that he used to buy IBM, which allowed him not only to buy without a brokerage account but also to avoid the fees one would normally pay to make a trade.