International Business Machines (NYSE:IBM) Issues Earnings Results

International Business Machines (NYSE:IBM) released its earnings results on Wednesday. The technology company reported $4.52 earnings per share (EPS) for the quarter, beating the consensus estimate of $4.33 by $0.19, FiscalAI reports. The company had revenue of $19.69 billion during the quarter, compared to analyst estimates of $19.23 billion. International Business Machines had a return on equity of 37.76% and a net margin of 12.09%.

International Business Machines Stock Performance

Shares of NYSE IBM traded up $0.61 during midday trading on Wednesday, hitting $294.47. 5,095,534 shares of the stock traded hands, compared to its average volume of 4,181,228. The company has a debt-to-equity ratio of 1.97, a quick ratio of 0.89 and a current ratio of 0.93. The firm has a market capitalization of $275.25 billion, a P/E ratio of 35.22, a PEG ratio of 2.87 and a beta of 0.70. The firm has a 50-day moving average of $302.19 and a two-hundred day moving average of $282.72. International Business Machines has a one year low of $214.50 and a one year high of $324.90.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the company. SWAN Capital LLC bought a new position in International Business Machines in the 3rd quarter worth approximately $28,000. Darwin Wealth Management LLC bought a new position in shares of International Business Machines in the 2nd quarter valued at about $127,000. Binnacle Investments Inc lifted its position in International Business Machines by 10.1% in the second quarter. Binnacle Investments Inc now owns 468 shares of the technology company’s stock worth $138,000 after buying an additional 43 shares during the last quarter. Truefg LLC purchased a new stake in International Business Machines in the 2nd quarter worth about $203,000. Finally, Jump Financial LLC purchased a new position in International Business Machines during the 2nd quarter valued at $211,000. Hedge funds and other institutional investors own 58.96% of the company’s stock.

Wall Street Analysts Forecast Growth

Several research analysts recently commented on IBM shares. Morgan Stanley cut their price objective on shares of International Business Machines from $256.00 to $252.00 and set an “equal weight” rating for the company in a report on Thursday, October 23rd. Bank of America upped their target price on International Business Machines from $315.00 to $335.00 and gave the stock a “buy” rating in a research note on Tuesday, January 13th. Dbs Bank raised shares of International Business Machines from a “hold” rating to a “moderate buy” rating in a report on Monday, January 19th. Jefferies Financial Group upgraded International Business Machines from a “hold” rating to a “buy” rating and boosted their target price for the stock from $300.00 to $360.00 in a research report on Monday, January 5th. Finally, Evercore ISI upped their price target on shares of International Business Machines from $315.00 to $330.00 and gave the company an “outperform” rating in a research report on Tuesday, January 20th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating, five have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average price target of $306.86.

Key Stories Impacting International Business Machines

Here are the key news stories impacting International Business Machines this week:

• Positive Sentiment: IBM highlighted expansion of AI education initiatives and patents, reinforcing its enterprise AI positioning and supporting revenue upside expectations from corporate customers. IBM Expands AI Education And Patents As Enterprise Use Cases Grow
• Positive Sentiment: Stifel reiterated a Buy rating and called IBM a “safe compounder” in AI, citing software-led growth and margin expansion potential — a bullish analyst voice that can support the stock into earnings. Why Stifel Sees IBM as a “Safe Compounder” in AI
• Positive Sentiment: Commentary from Jim Cramer arguing the market misunderstands IBM’s value adds retail investor support and can amplify positive moves if earnings surprise to the upside. Jim Cramer Says Traders Don’t Understand International Business Machines’ Value
• Neutral Sentiment: Barron’s notes that software performance will be the key watch-item in the earnings print — good software results could reinforce the recent rally, but mixed outcomes may limit upside. IBM Earnings Are Coming. Watch the Software Business.
• Neutral Sentiment: Benzinga reports that several of the most accurate analysts have revised forecasts ahead of earnings — revisions matter, but direction and magnitude vary across firms. IBM Earnings Are Imminent; These Most Accurate Analysts Revise Forecasts Ahead Of Earnings Call
• Neutral Sentiment: Pre-earnings primers (TipRanks, Globe & Mail) discuss mixed analyst views and consensus expectations; useful background but unlikely to move the stock without a surprise in results. Is IBM a Good Stock to Buy before Earnings? Analysts Offer Insights on Technology Companies
• Negative Sentiment: Evercore ISI reiterated an Underperform rating ahead of earnings and expects results largely in line with consensus — a cautious view that can cap upside if others don’t deliver upside surprises. Evercore ISI Reiterates Underperform on IBM Ahead of Earnings, Sees Results In Line

About International Business Machines

International Business Machines Corporation (IBM) is a global technology and consulting company headquartered in Armonk, New York. Founded in 1911 as the Computing-Tabulating-Recording Company (CTR) and renamed IBM in 1924, the company has evolved from early electromechanical machines to a diversified technology provider serving enterprises and governments worldwide. IBM is publicly traded on the New York Stock Exchange under the ticker symbol IBM.

IBM’s principal businesses encompass cloud computing and software, infrastructure and systems, consulting and technology services, and research and development.