IBM expands in analytics

Article Excerpt

IBM $136.30 (New York symbol IBM; Shares outstanding: 970.1 million; Market cap: $130.4 billion; TSINetwork Rating: Above Average; Dividend yield: 3.8%; www.ibm.com) will buy Truven Health Analytics, a private firm that provides hospitals and pharmaceutical companies with analytic data services. Truven will become part of IBM’s Watson Health business. It uses advanced artificialintelligence technology to process and analyze large volumes of data, including patient records, drug information and insurance claims. That helps hospitals and clinics reduce errors and cut their costs. IBM will pay $2.6 billion for Truven when it completes the purchase later this year. Purchases like this enhance the company’s cloud computing and analytics software expertise. Demand for both of these is growing. That will cut IBM’s reliance on mainframe computers and consulting services. IBM is a buy. buy…