International Business Machines (NYSE:IBM) Trading Down 3.1% – Here’s What Happened

Shares of International Business Machines Corporation (NYSE:IBM) were down 3.1% during mid-day trading on Tuesday . The stock traded as low as $238.00 and last traded at $240.7840. Approximately 4,138,667 shares were traded during mid-day trading, a decline of 31% from the average daily volume of 6,026,137 shares. The stock had previously closed at $248.44.

Key Headlines Impacting International Business Machines

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

• Positive Sentiment: Expanded voice and agentic AI capabilities via an enterprise deal with ElevenLabs, aimed at secure, multilingual TTS/STT for watsonx Orchestrate — strengthens IBM’s AI platform and enterprise differentiation. Enterprise AI Finds its Voice: ElevenLabs and IBM Bring Premium Voice Capabilities to Agentic AI
• Positive Sentiment: IBM broadened security and autonomous threat response through an expanded partnership with CrowdStrike, integrating AI-powered detection/response across IT/security stacks — positive for enterprise security revenue and cross-sell. CrowdStrike And IBM Are Rethinking Cyber Defense
• Positive Sentiment: Quantum computing milestone: IBM’s quantum system simulated real magnetic materials with lab-matching results — a credibility boost for IBM Quantum and long-term differentiation in high-value scientific/enterprise workloads. IBM Quantum Computer Accurately Simulates Real Magnetic Materials, Reproducing National Laboratory Data
• Positive Sentiment: Management signaling on M&A: CEO Arvind Krishna said the regulatory backdrop is friendlier for deals now — supportive for IBM’s inorganic growth strategy and investor appetite for future acquisitions. IBM CEO: Regulatory environment much friendlier for M&A deals now
• Positive Sentiment: Open-source push: IBM and partners contributed the llm-d project to CNCF — underscores IBM’s bet on enterprise-friendly, cloud-native LLM infrastructure which could drive longer-term platform adoption. IBM Pushes Open-Source AI Infrastructure with New llm-d Project
• Neutral Sentiment: Workforce reshaping: Coverage explains IBM is cutting some roles while tripling entry-level hires and reimagining HR to deploy AI-augmented junior talent — this signals a strategic shift toward growth and client reach but creates short-term restructuring risk and messaging complexity. IBM workforce changes 2026 explained: Why is IBM cutting jobs while planning to hire more?
• Negative Sentiment: Minor analyst revision: Erste Group trimmed its FY2027 EPS estimate slightly — a modest downward revision that may dampen near-term sentiment but isn’t a large change to consensus outlook. (No direct link provided)

Analyst Ratings Changes

IBM has been the subject of a number of recent research reports. Argus set a $360.00 price objective on International Business Machines in a research report on Friday, January 30th. Morgan Stanley dropped their target price on International Business Machines from $304.00 to $247.00 and set an “equal weight” rating on the stock in a report on Wednesday, February 25th. Dbs Bank upgraded International Business Machines from a “hold” rating to a “moderate buy” rating in a research note on Monday, January 19th. Bank of America upped their price target 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. Finally, Royal Bank Of Canada set a $361.00 price objective on shares of International Business Machines in a research report on Thursday, January 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have given a Hold rating to the company. According to MarketBeat.com, International Business Machines presently has an average rating of “Moderate Buy” and a consensus price target of $314.60.

International Business Machines Stock Performance

The stock’s 50-day moving average is $267.99 and its 200 day moving average is $284.73. The stock has a market cap of $226.84 billion, a price-to-earnings ratio of 21.69, a P/E/G ratio of 2.41 and a beta of 0.73. The company has a debt-to-equity ratio of 1.67, a current ratio of 0.96 and a quick ratio of 0.92.

International Business Machines (NYSE:IBM) last released its earnings results on Wednesday, January 28th. The technology company reported $4.52 earnings per share (EPS) for the quarter, topping the consensus estimate of $4.33 by $0.19. The company had revenue of $19.69 billion for the quarter, compared to analysts’ expectations of $19.23 billion. International Business Machines had a return on equity of 38.15% and a net margin of 15.69%.The firm’s quarterly revenue was up 12.2% on a year-over-year basis. During the same quarter in the previous year, the firm posted $3.92 EPS. As a group, analysts predict that International Business Machines Corporation will post 10.78 earnings per share for the current fiscal year.

International Business Machines Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 10th. Investors of record on Tuesday, February 10th were issued a dividend of $1.68 per share. This represents a $6.72 dividend on an annualized basis and a yield of 2.8%. The ex-dividend date of this dividend was Tuesday, February 10th. International Business Machines’s dividend payout ratio is currently 60.27%.

Insider Buying and Selling at International Business Machines

In other International Business Machines news, Director Michael Miebach bought 434 shares of International Business Machines stock in a transaction on Wednesday, February 25th. The stock was bought at an average price of $233.33 per share, with a total value of $101,265.22. Following the completion of the acquisition, the director owned 434 shares in the company, valued at $101,265.22. The trade was a ∞ increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, Director David N. Farr bought 1,000 shares of the firm’s stock in a transaction on Friday, January 30th. The shares were bought at an average price of $304.00 per share, for a total transaction of $304,000.00. Following the completion of the transaction, the director directly owned 9,258 shares in the company, valued at approximately $2,814,432. This represents a 12.11% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders acquired 1,484 shares of company stock valued at $417,157 in the last quarter. 0.27% of the stock is currently owned by company insiders.

Institutional Trading of International Business Machines

Institutional investors have recently added to or reduced their stakes in the stock. Brighton Jones LLC boosted its stake in shares of International Business Machines by 12.4% during the 4th quarter. Brighton Jones LLC now owns 21,011 shares of the technology company’s stock worth $4,619,000 after acquiring an additional 2,323 shares in the last quarter. Sivia Capital Partners LLC increased its stake in International Business Machines by 10.6% in the 2nd quarter. Sivia Capital Partners LLC now owns 1,938 shares of the technology company’s stock valued at $571,000 after purchasing an additional 186 shares in the last quarter. Associated Banc Corp raised its holdings in International Business Machines by 1.5% during the second quarter. Associated Banc Corp now owns 16,251 shares of the technology company’s stock worth $4,790,000 after purchasing an additional 244 shares during the last quarter. Richmond Investment Services LLC purchased a new stake in International Business Machines during the second quarter worth $351,000. Finally, Country Trust Bank boosted its position in International Business Machines by 22.2% during the second quarter. Country Trust Bank now owns 3,314 shares of the technology company’s stock worth $977,000 after purchasing an additional 601 shares in the last quarter. Hedge funds and other institutional investors own 58.96% of the company’s stock.

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.