International Business Machines (NYSE:IBM) Upgraded at Wall Street Zen

Wall Street Zen upgraded shares of International Business Machines (NYSE:IBM) from a sell rating to a hold rating in a research note released on Saturday,Wall Street Zen reports.

Several other research analysts have also recently issued reports on IBM. Citigroup upped their price objective on International Business Machines from $245.00 to $280.00 and gave the stock a “buy” rating in a research report on Thursday. Jefferies Financial Group increased their price objective on International Business Machines from $270.00 to $280.00 and gave the company a “buy” rating in a report on Thursday. Oppenheimer lowered International Business Machines from an “outperform” rating to a “market perform” rating in a research report on Wednesday, July 15th. Sanford C. Bernstein decreased their target price on International Business Machines from $280.00 to $230.00 and set a “market perform” rating for the company in a research note on Thursday, July 23rd. Finally, Yorkville Ives initiated coverage on International Business Machines in a report on Monday, October 5th. They issued an “outperform” rating and a $275.00 price target for the company. Twenty analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, International Business Machines has an average rating of “Moderate Buy” and a consensus target price of $266.12.

International Business Machines Trading Down 0.2%

Shares of NYSE:IBM opened at $253.04 on Friday. International Business Machines has a 52 week low of $199.19 and a 52 week high of $332.46. The company’s 50 day moving average is $233.06 and its two-hundred day moving average is $251.16. The company has a current ratio of 0.85, a quick ratio of 0.80 and a debt-to-equity ratio of 1.57. The company has a market cap of $239.15 billion, a PE ratio of 20.60, a P/E/G ratio of 2.50 and a beta of 0.73.

International Business Machines (NYSE:IBM) last released its quarterly earnings data on Wednesday, October 21st. The technology company reported $2.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.85 by $0.10. The business had revenue of $17.10 billion during the quarter, compared to analysts’ expectations of $16.82 billion. International Business Machines had a net margin of 15.99% and a return on equity of 34.37%. The company’s revenue for the quarter was up 4.7% on a year-over-year basis. During the same period in the previous year, the company earned $2.65 EPS. Equities analysts predict that International Business Machines will post 12.41 earnings per share for the current fiscal year.

International Business Machines Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Investors of record on Tuesday, November 10th will be paid a dividend of $1.69 per share. This represents a $6.76 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date is Tuesday, November 10th. International Business Machines’s dividend payout ratio (DPR) is currently 57.63%.

Insider Activity

In other news, SVP Robert Thomas sold 25,000 shares of the firm’s stock in a transaction that occurred on Wednesday, August 26th. The shares were sold at an average price of $230.32, for a total transaction of $5,758,000.00. Following the transaction, the senior vice president directly owned 47,800 shares in the company, valued at approximately $11,009,296. This trade represents a 34.34% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Company insiders own 0.27% of the company’s stock.

Institutional Trading of International Business Machines

Large investors have recently bought and sold shares of the business. BlackRock Inc. acquired a new stake in shares of International Business Machines during the second quarter worth about $21,586,659,000. State Street Corp increased its position in International Business Machines by 2.7% in the 2nd quarter. State Street Corp now owns 56,045,055 shares of the technology company’s stock valued at $15,760,430,000 after acquiring an additional 1,450,562 shares during the period. Bank of America Corp DE raised its stake in International Business Machines by 7.0% during the 1st quarter. Bank of America Corp DE now owns 16,063,653 shares of the technology company’s stock valued at $3,893,669,000 after acquiring an additional 1,049,602 shares during the last quarter. Bank of New York Mellon Corp purchased a new stake in International Business Machines during the 2nd quarter valued at approximately $2,606,782,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC raised its stake in International Business Machines by 0.7% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 7,621,512 shares of the technology company’s stock valued at $2,143,245,000 after acquiring an additional 53,388 shares during the last quarter. Institutional investors and hedge funds own 58.96% of the company’s stock.

International Business Machines News Summary

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

• Positive Sentiment: IBM’s software segment and hybrid-cloud and enterprise AI consulting businesses remain the company’s main growth engines, supporting the case that its multiyear transformation is generating more durable cash flow. IBM Fixed Its Plumbing; Intel Became Big Tech’s Real Structural Trap
• Positive Sentiment: Quantum computing is being highlighted as a potential long-term catalyst. Progress in the technology could create a significant new growth opportunity beyond IBM’s existing cloud and consulting operations, although commercialization remains ahead. IBM Continues to Plug Along, but Its Quantum Computing Bet Could Be the Real Catalyst
• Positive Sentiment: CEO Arvind Krishna’s view that open-weight AI models deliver performance close to frontier models at substantially lower cost could encourage broader enterprise AI adoption, potentially benefiting IBM’s consulting and implementation services. IBM CEO Says Open AI Models Are 90% as Good as Frontier Models
• Neutral Sentiment: IBM is attracting increased investor attention, while analysts continue to assess its earnings outlook and competitive position relative to Salesforce and other technology companies. IBM Is Attracting Investor Attention
• Negative Sentiment: Valuation is a concern: commentary questions whether IBM is already priced above its fundamentals and whether investors are paying too much relative to rivals. That could limit near-term upside, particularly because quantum computing is a longer-term opportunity rather than an immediate earnings driver. Are You Overpaying For IBM Stock Versus Its Rivals?

International Business Machines Company Profile

International Business Machines Corporation (NYSE:IBM), commonly known as IBM, is a global technology and consulting company that helps organizations modernize their information technology and business operations. Its offerings include hybrid cloud solutions, artificial intelligence software and services, enterprise software, IT infrastructure, cybersecurity, data analytics, and technology consulting.

IBM provides products and services to businesses, governments, and other institutions across industries and regions worldwide.