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What changed: Market sentiment is stabilizing as analysts defend IBM's core business moat against AI disruption, leading to a recovery in the stock price.

StocksHigh ImpactUpdated•Originally published 24 February 2026•Updated 24 February 2026•

1 min read

IBM Stock Rebounds as Analysts Defend Mainframe Resilience Against AI Threats

Key Facts

1IBM shares fell 13.2%, marking the biggest one-day drop since October 18, 2000.

2AI startup Anthropic sparked investor anxiety after announcing its Claude Code tool, which speeds up the modernization of COBOL systems.

3The stock recovered slightly by 1.18% in after-hours trading despite the massive losses.

IBM's stock price has begun to bounce back following its sharpest daily decline in a quarter-century, where it previously plunged 13.2%. This recovery comes as financial analysts express renewed confidence in the resilience of IBM's core mainframe business. Experts argue that IBM's deeply entrenched infrastructure and expertise in COBOL systems will not be easily dismantled by new AI tools like Anthropic’s Claude Code. Analysts highlighted that while AI disruption is a factor, IBM's established market moat provides a significant buffer against immediate displacement. This shift in perspective has helped stabilize investor sentiment, leading to a reversal of the initial panic-driven sell-off. The market is now shifting its focus toward how IBM might integrate these AI advancements to strengthen its existing service offerings.

Sources:

invezz.com

marketwatch.com