International Business Machines (NYSE:IBM) Shares Up 1% – Here’s Why

International Business Machines Corporation (NYSE:IBM) shares shot up 1% during mid-day trading on Friday. The company traded as high as $247.85 and last traded at $247.1990. Approximately 2,531,311 shares changed hands during mid-day trading, a decline of 65% from the average session volume of 7,234,047 shares. The stock had previously closed at $244.67.

Key Stories Impacting International Business Machines

Here are a few of the latest stories about IBM:

• Positive Sentiment: LTM added its AI-powered quantum error-mitigation capability to IBM’s Quantum Functions Catalog, expanding the tools available in IBM’s quantum-computing ecosystem. Article: LTM Adds AI-Powered Quantum Error Mitigation
• Neutral Sentiment: A new IBM index says many organizations struggle to demonstrate control over data and AI systems. The findings could create demand for IBM’s governance and consulting services, but also underscore challenges enterprises face as AI adoption and regulation grow. Article: Why IBM Is Warning Enterprises About AI Sovereignty Gaps
• Negative Sentiment: IBM reportedly plans to end visa and green-card sponsorship for some roles in its largest business unit. The policy could constrain recruiting or retention of specialized talent, although the article does not quantify the impact. Article: IBM to End Visa, Green Card Sponsorship for Roles in Biggest Unit

Analysts Set New Price Targets

A number of analysts have commented on the stock. UBS Group boosted their price target on shares of International Business Machines from $236.00 to $243.00 and gave the stock a “neutral” rating in a research report on Thursday, October 22nd. Argus lowered their price objective on shares of International Business Machines from $360.00 to $280.00 and set a “buy” rating on the stock in a research note on Thursday, July 16th. Barclays raised their price objective on shares of International Business Machines from $262.00 to $277.00 and gave the company an “overweight” rating in a research note on Thursday, October 22nd. Morgan Stanley boosted their target price on International Business Machines from $238.00 to $240.00 and gave the stock an “equal weight” rating in a report on Thursday, October 22nd. Finally, Yorkville Ives started coverage on International Business Machines in a research report on Monday, October 5th. They issued an “outperform” rating and a $275.00 target price for the company. Nineteen investment analysts have rated the stock with a Buy rating, thirteen have given a Hold rating and two have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $266.88.

International Business Machines Stock Performance

The company’s 50-day moving average price is $237.80 and its two-hundred day moving average price is $247.66. The company has a market cap of $233.63 billion, a P/E ratio of 21.07, a price-to-earnings-growth ratio of 2.44 and a beta of 0.78. The company has a current ratio of 0.85, a quick ratio of 0.80 and a debt-to-equity ratio of 1.57.

International Business Machines (NYSE:IBM) last released its earnings results on Wednesday, October 21st. The technology company reported $2.95 EPS for the quarter, topping analysts’ consensus estimates of $2.85 by $0.10. The business had revenue of $17.10 billion for the quarter, compared to the consensus estimate of $16.82 billion. International Business Machines had a net margin of 15.99% and a return on equity of 34.37%. The business’s revenue for the quarter was up 4.7% on a year-over-year basis. During the same period in the previous year, the firm earned $2.65 EPS. As a group, equities analysts forecast that International Business Machines Corporation will post 12.42 earnings per share for the current year.

International Business Machines Dividend Announcement

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

Insider Buying and Selling at International Business Machines

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

Institutional Investors Weigh In On International Business Machines

Institutional investors and hedge funds have recently modified their holdings of the stock. Assetmark Inc. raised its holdings in International Business Machines by 24.8% during the 1st quarter. Assetmark Inc. now owns 64,458 shares of the technology company’s stock worth $15,624,000 after buying an additional 12,791 shares during the period. Flputnam Investment Management Co. acquired a new position in shares of International Business Machines in the second quarter valued at approximately $15,237,000. Beacon Investment Advisory Services Inc. boosted its holdings in shares of International Business Machines by 939.4% in the second quarter. Beacon Investment Advisory Services Inc. now owns 30,495 shares of the technology company’s stock valued at $8,575,000 after buying an additional 27,561 shares during the period. St. Louis Financial Planners Asset Management LLC increased its position in shares of International Business Machines by 34.6% during the second quarter. St. Louis Financial Planners Asset Management LLC now owns 14,234 shares of the technology company’s stock worth $4,121,000 after acquiring an additional 3,659 shares in the last quarter. Finally, Evercore Wealth Management LLC raised its holdings in shares of International Business Machines by 9.0% during the first quarter. Evercore Wealth Management LLC now owns 62,801 shares of the technology company’s stock worth $15,222,000 after acquiring an additional 5,196 shares during the period. 58.96% of the stock is owned by institutional investors and hedge funds.

About International Business Machines

International Business Machines Corporation (IBM) is a global technology company that provides software, consulting, infrastructure and related services to businesses and public-sector organizations. Its offerings include hybrid cloud and artificial intelligence solutions, enterprise software, IT consulting, and systems such as IBM Z mainframes and Power servers. IBM also develops technologies in areas including data management, automation, cybersecurity and quantum computing. Its consulting teams help clients design, build and manage technology systems and business processes.