Zacks Research Issues Positive Forecast for IBM Earnings

International Business Machines Co. (NYSE:IBM) – Research analysts at Zacks Research upped their Q2 2025 earnings per share (EPS) estimates for shares of International Business Machines in a report issued on Wednesday, May 14th. Zacks Research analyst R. Department now expects that the technology company will post earnings of $2.64 per share for the quarter, up from their previous estimate of $2.63. The consensus estimate for International Business Machines’ current full-year earnings is $10.78 per share. Zacks Research also issued estimates for International Business Machines’ FY2025 earnings at $10.82 EPS.

International Business Machines (NYSE:IBM) last posted its earnings results on Wednesday, April 23rd. The technology company reported $1.60 EPS for the quarter, topping the consensus estimate of $1.42 by $0.18. International Business Machines had a net margin of 9.60% and a return on equity of 38.99%. The company had revenue of $14.54 billion during the quarter, compared to the consensus estimate of $14.41 billion. During the same period in the previous year, the firm posted $1.68 earnings per share. The company’s revenue for the quarter was up .5% compared to the same quarter last year.

Several other analysts also recently issued reports on the stock. Oppenheimer started coverage on shares of International Business Machines in a report on Tuesday, February 11th. They set an “outperform” rating and a $320.00 price objective for the company. StockNews.com upgraded shares of International Business Machines from a “hold” rating to a “buy” rating in a report on Tuesday. BMO Capital Markets reaffirmed a “market perform” rating on shares of International Business Machines in a research report on Wednesday, April 23rd. Wedbush reissued an “outperform” rating and set a $300.00 price objective on shares of International Business Machines in a research report on Wednesday, May 7th. Finally, Jefferies Financial Group reaffirmed a “hold” rating on shares of International Business Machines in a report on Wednesday, April 23rd. One investment analyst has rated the stock with a sell rating, eight have assigned a hold rating, nine have assigned a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $248.50.

International Business Machines Stock Down 0.2%

Shares of IBM stock opened at $258.19 on Thursday. The company has a market capitalization of $239.96 billion, a price-to-earnings ratio of 40.28, a PEG ratio of 5.81 and a beta of 0.64. The company has a debt-to-equity ratio of 1.82, a quick ratio of 1.00 and a current ratio of 1.04. The stock’s 50 day simple moving average is $243.19 and its 200 day simple moving average is $235.51. International Business Machines has a twelve month low of $163.53 and a twelve month high of $266.45.

Institutional Investors Weigh In On International Business Machines

Large investors have recently modified their holdings of the stock. Treasurer of the State of North Carolina lifted its holdings in shares of International Business Machines by 0.8% during the fourth quarter. Treasurer of the State of North Carolina now owns 495,574 shares of the technology company’s stock valued at $108,942,000 after acquiring an additional 4,131 shares during the period. Blue Zone Wealth Advisors LLC acquired a new stake in shares of International Business Machines during the 4th quarter worth about $242,000. Brady Martz Wealth Solutions LLC bought a new position in International Business Machines during the 4th quarter valued at about $1,940,000. Tranquilli Financial Advisor LLC acquired a new position in International Business Machines in the fourth quarter valued at about $373,000. Finally, Truist Financial Corp boosted its position in International Business Machines by 6.5% in the fourth quarter. Truist Financial Corp now owns 811,062 shares of the technology company’s stock valued at $178,296,000 after buying an additional 49,591 shares in the last quarter. 58.96% of the stock is currently owned by institutional investors.

Insider Buying and Selling

In other International Business Machines news, SVP Robert David Thomas sold 26,543 shares of the firm’s stock in a transaction dated Monday, March 3rd. The shares were sold at an average price of $253.01, for a total transaction of $6,715,644.43. Following the completion of the transaction, the senior vice president now owns 45,007 shares in the company, valued at $11,387,221.07. This trade represents a 37.10% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. 0.18% of the stock is owned by company insiders.

International Business Machines Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Tuesday, June 10th. Investors of record on Friday, May 9th will be paid a $1.68 dividend. This represents a $6.72 dividend on an annualized basis and a dividend yield of 2.60%. This is a positive change from International Business Machines’s previous quarterly dividend of $1.67. International Business Machines’s dividend payout ratio is presently 115.66%.

About International Business Machines

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.