Wedbush Issues Optimistic Forecast for IBM Earnings

International Business Machines Co. (NYSE:IBM) – Equities researchers at Wedbush upped their Q2 2025 earnings estimates for shares of International Business Machines in a report issued on Friday, April 25th. Wedbush analyst D. Ives now anticipates that the technology company will post earnings per share of $2.67 for the quarter, up from their previous estimate of $2.61. Wedbush has a “Outperform” rating and a $300.00 price target on the stock. The consensus estimate for International Business Machines’ current full-year earnings is $10.78 per share. Wedbush also issued estimates for International Business Machines’ Q3 2025 earnings at $2.45 EPS, Q4 2025 earnings at $4.16 EPS, FY2025 earnings at $10.90 EPS, Q1 2026 earnings at $1.74 EPS, Q2 2026 earnings at $2.80 EPS, Q3 2026 earnings at $2.79 EPS, Q4 2026 earnings at $4.24 EPS and FY2026 earnings at $11.56 EPS.

Several other equities analysts have also recently weighed in on the company. Morgan Stanley dropped their price objective on International Business Machines from $237.00 to $233.00 and set an “equal weight” rating on the stock in a research note on Thursday, April 24th. The Goldman Sachs Group restated a “buy” rating on shares of International Business Machines in a research note on Wednesday, February 5th. StockNews.com upgraded International Business Machines from a “hold” rating to a “buy” rating in a research note on Thursday, April 24th. Royal Bank of Canada reissued an “outperform” rating and issued a $276.00 price target on shares of International Business Machines in a report on Monday, April 14th. Finally, UBS Group restated a “sell” rating and set a $170.00 price objective (up previously from $160.00) on shares of International Business Machines in a report on Wednesday, April 23rd. Two analysts have rated the stock with a sell rating, eight have assigned a hold rating, eight have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat, International Business Machines presently has a consensus rating of “Hold” and an average target price of $242.41.

International Business Machines Price Performance

Shares of NYSE:IBM opened at $239.30 on Monday. The company has a current ratio of 1.04, a quick ratio of 1.00 and a debt-to-equity ratio of 1.82. The stock’s fifty day simple moving average is $244.27 and its two-hundred day simple moving average is $233.97. International Business Machines has a 1-year low of $162.62 and a 1-year high of $266.45. The stock has a market cap of $221.89 billion, a PE ratio of 37.33, a price-to-earnings-growth ratio of 5.81 and a beta of 0.67.

International Business Machines (NYSE:IBM) last issued its quarterly earnings data on Wednesday, April 23rd. The technology company reported $1.60 earnings per share for the quarter, beating the consensus estimate of $1.42 by $0.18. International Business Machines had a return on equity of 38.99% and a net margin of 9.60%. The business had revenue of $14.54 billion for the quarter, compared to analysts’ expectations of $14.41 billion. During the same period last year, the business earned $1.68 EPS. The business’s revenue was up .5% on a year-over-year basis.

Institutional Trading of International Business Machines

Several institutional investors and hedge funds have recently modified their holdings of IBM. Compass Financial Services Inc bought a new stake in International Business Machines during the fourth quarter valued at approximately $26,000. Vision Financial Markets LLC purchased a new position in International Business Machines in the fourth quarter worth $31,000. Avondale Wealth Management increased its stake in International Business Machines by 56.0% in the fourth quarter. Avondale Wealth Management now owns 156 shares of the technology company’s stock valued at $34,000 after acquiring an additional 56 shares during the last quarter. Valued Wealth Advisors LLC raised its position in International Business Machines by 134.3% during the fourth quarter. Valued Wealth Advisors LLC now owns 157 shares of the technology company’s stock valued at $35,000 after purchasing an additional 90 shares in the last quarter. Finally, Rialto Wealth Management LLC bought a new stake in International Business Machines during the fourth quarter worth about $35,000. Hedge funds and other institutional investors own 58.96% of the company’s stock.

Insider Activity

In related news, SVP Robert David Thomas sold 26,543 shares of the stock in a transaction on Monday, March 3rd. The stock was sold at an average price of $253.01, for a total value of $6,715,644.43. Following the sale, the senior vice president now owns 45,007 shares in the company, valued at approximately $11,387,221.07. This trade represents a 37.10 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through the SEC website. Company insiders own 0.18% of the company’s stock.

International Business Machines Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, June 10th. Shareholders of record on Friday, May 9th will be paid a $1.68 dividend. This represents a $6.72 annualized dividend and a yield of 2.81%. This is an increase from International Business Machines’s previous quarterly dividend of $1.67. International Business Machines’s dividend payout ratio (DPR) is currently 114.97%.

International Business Machines Company Profile

International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services worldwide. The company operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers a hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate.