UPDATE: Topeka Capital Markets Initiates International Business Machines at Buy on 2013 Outlook

Topeka Capital Markets initiated coverage on International Business Machines IBM with a Buy rating and a $245 price target. Topeka Capital Markets noted, "Although we expect relatively modest IT spending growth in 2013, we believe IBM's portfolio plays into the key secular IT trends such cloud computing, Big Data and the broader trend toward analytics with broader portfolio of solutions. Also, challenges at competitors such as Hewlett-Packard (HPQ-$14.43: Sell) may open up incremental opportunities for IBM next year. Given our view of the secular trends and changes in the IT world, we view IBM as a core holding for investors in the technology sector going into 2013." International Business Machines closed at $194.77 on Thursday.