International Business Machines (NYSE:IBM) Downgraded to “Hold” Rating by Wall Street Zen

Wall Street Zen lowered shares of International Business Machines (NYSE:IBM) from a buy rating to a hold rating in a research report released on Sunday.

A number of other research analysts have also issued reports on IBM. Bank of America boosted their price target on shares of International Business Machines from $310.00 to $315.00 and gave the stock a “buy” rating in a research note on Thursday, October 23rd. UBS Group restated a “sell” rating on shares of International Business Machines in a research report on Tuesday, December 9th. Morgan Stanley dropped their target price on International Business Machines from $256.00 to $252.00 and set an “equal weight” rating on the stock in a research report on Thursday, October 23rd. Stifel Nicolaus increased their target price on International Business Machines from $295.00 to $325.00 and gave the stock a “buy” rating in a research note on Tuesday, December 9th. Finally, Jefferies Financial Group raised International Business Machines from a “hold” rating to a “buy” rating and raised their price target for the company from $300.00 to $360.00 in a report on Monday, January 5th. One investment analyst has rated the stock with a Strong Buy rating, ten have issued a Buy rating, five have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat.com, International Business Machines has a consensus rating of “Moderate Buy” and an average target price of $301.85.

International Business Machines Trading Up 0.5%

NYSE:IBM opened at $304.36 on Friday. International Business Machines has a 12-month low of $214.50 and a 12-month high of $324.90. The company has a current ratio of 0.93, a quick ratio of 0.89 and a debt-to-equity ratio of 1.97. The stock’s 50 day simple moving average is $303.55 and its 200-day simple moving average is $281.90. The firm has a market cap of $284.49 billion, a P/E ratio of 36.41, a PEG ratio of 2.82 and a beta of 0.70.

International Business Machines (NYSE:IBM) last issued its quarterly earnings results on Wednesday, October 22nd. The technology company reported $2.65 earnings per share for the quarter, topping the consensus estimate of $2.45 by $0.20. The firm had revenue of $16.33 billion during the quarter, compared to the consensus estimate of $16.10 billion. International Business Machines had a return on equity of 37.76% and a net margin of 12.09%.The company’s revenue for the quarter was up 9.1% on a year-over-year basis. During the same period last year, the company earned $2.30 earnings per share. Equities analysts anticipate that International Business Machines will post 10.78 EPS for the current year.

International Business Machines Dividend Announcement

The company also recently disclosed a quarterly dividend, which was paid on Wednesday, December 10th. Investors of record on Monday, November 10th were paid a $1.68 dividend. This represents a $6.72 annualized dividend and a yield of 2.2%. The ex-dividend date of this dividend was Monday, November 10th. International Business Machines’s dividend payout ratio (DPR) is presently 80.38%.

Institutional Trading of International Business Machines

Large investors have recently bought and sold shares of the company. First Heartland Consultants Inc. boosted its position in shares of International Business Machines by 2.7% in the 4th quarter. First Heartland Consultants Inc. now owns 2,472 shares of the technology company’s stock worth $732,000 after buying an additional 66 shares in the last quarter. Sunflower Bank N.A. raised its position in International Business Machines by 21.2% during the fourth quarter. Sunflower Bank N.A. now owns 1,045 shares of the technology company’s stock worth $310,000 after acquiring an additional 183 shares during the last quarter. Capital Asset Advisory Services LLC lifted its holdings in shares of International Business Machines by 4.8% in the fourth quarter. Capital Asset Advisory Services LLC now owns 7,729 shares of the technology company’s stock valued at $2,338,000 after purchasing an additional 351 shares in the last quarter. Clear Trail Advisors LLC purchased a new stake in shares of International Business Machines in the fourth quarter valued at about $4,028,000. Finally, Cambridge Financial Group LLC grew its position in shares of International Business Machines by 2.1% in the fourth quarter. Cambridge Financial Group LLC now owns 2,021 shares of the technology company’s stock valued at $599,000 after purchasing an additional 41 shares during the last quarter. Institutional investors and hedge funds own 58.96% of the company’s stock.

Key International Business Machines News

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

• Positive Sentiment: IBM finalized its acquisition of Confluent and hit a quantum milestone, reinforcing its data-streaming and advanced-computing strategy — a clear strategic catalyst for revenue and tech leadership. IBM’s Strategic Expansion: Confluent Acquisition Finalized and Quantum Milestone Reached
• Positive Sentiment: Analysts and research note that the Confluent deal should boost EBITDA and free cash flow through margin and scale improvements, supporting valuation upside and cash-return capacity. IBM’s (IBM) Confluent Deal Expected to Boost EBITDA and Free Cash Flow
• Positive Sentiment: Several analysts issued buy/upbeat commentary citing software acceleration and stronger growth prospects for 2026, which lifts investor confidence in forward earnings momentum. IBM Earns Buy Rating as Analysts See Software Acceleration Ahead in 2026
• Neutral Sentiment: Preview pieces outline expectations for IBM’s next earnings report (consensus looking for continued top-line and margin progress); results that beat/confirm guidance could reinforce the current rally. Here’s What to Expect From International Business Machines’ Next Earnings Report
• Neutral Sentiment: IBM research (with the National Retail Federation) finds AI influences shoppers before store visits, supporting demand for IBM’s AI/analytics offerings in retail — a positive narrative but not an immediate revenue shock. AI Is Influencing Shoppers Before They Enter Stores, IBM Study Says
• Neutral Sentiment: Market commentary asks whether it’s too late to buy IBM after a strong multi-year run — discussion focuses on valuation metrics (higher P/E) versus continued growth potential. Is It Too Late To Consider Buying IBM (IBM) After Its Strong Five Year Run?
• Neutral Sentiment: Feature pieces projecting a stronger 2026 point to upside if IBM sustains software/AI momentum, but they are forward-looking and contingent on execution. IBM Stock Had a Good 2025. It Could Have an Even Better 2026.
• Neutral Sentiment: Coverage of Datavault AI’s expanded collaboration with IBM highlights partner-led adoption of IBM edge/AI tech; Datavault’s own stock volatility is not a material event for IBM but signals ecosystem demand. What’s Going On With Datavault AI Stock Thursday?
• Neutral Sentiment: Reporting that Datavault shares fell after a major shareholder sale notes short-term partner-stock noise; this is relevant to the partnership narrative but not materially negative for IBM. Datavault AI (DVLT) Stock Falls Friday After Major Shareholder Dumps 14.7M Shares

International Business Machines Company Profile

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.