International Business Machines (NYSE:IBM) Shares Up 1.9% – Here’s Why

International Business Machines Corporation (NYSE:IBM)’s share price traded up 1.9% during trading on Wednesday . The company traded as high as $257.62 and last traded at $255.4340. 8,502,600 shares changed hands during trading, an increase of 34% from the average session volume of 6,360,019 shares. The stock had previously closed at $250.69.

Trending Headlines about International Business Machines

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

• Positive Sentiment: IBM announced a five-year global modernization agreement with Abertis to upgrade technology across multiple subsidiaries, a deal that could bolster consulting demand and recurring services revenue. IBM and Abertis are Driving the Future of Mobility with a Global Technology Modernization Agreement
• Positive Sentiment: Wedbush reiterated an Outperform rating on IBM and highlighted the company’s role in the U.S. quantum chip foundry effort after federal support for quantum computing companies, reinforcing IBM’s position as a beneficiary of the sector’s growth. Wedbush Highlights IBM’s Role in Quantum Chip Foundry Partnership
• Positive Sentiment: Analyst commentary raised IBM’s price target to $280, citing strong Q1 revenue growth, higher EPS, and record free cash flow margins, while management kept its 2026 outlook intact. IBM: Why AI Is An Opportunity Not A Threat, Raising My Price Target
• Positive Sentiment: IBM has also been included in coverage around the U.S. government’s $2 billion quantum funding push, which has boosted sentiment across the quantum-computing group and could increase investor confidence in IBM’s long-term quantum ambitions. Trump’s $2 Billion Quantum Bet Lifts IBM, D‑Wave, and Rigetti
• Neutral Sentiment: Additional market coverage noted IBM’s move alongside other quantum stocks and ETF flows, but this appears more like sector momentum than a company-specific catalyst. QTUM ETF Crosses $5 Billion Even As IBM, Rigetti, IonQ, D-Wave Cool Off

Analysts Set New Price Targets

A number of equities analysts have commented on the company. BMO Capital Markets reduced their target price on International Business Machines from $290.00 to $270.00 and set a “market perform” rating for the company in a report on Thursday, April 23rd. Erste Group Bank cut International Business Machines from a “buy” rating to a “hold” rating in a report on Wednesday, February 18th. Wedbush reissued an “outperform” rating on shares of International Business Machines in a report on Thursday, May 21st. Jefferies Financial Group dropped their price target on International Business Machines from $370.00 to $320.00 and set a “buy” rating for the company in a research report on Monday, April 20th. Finally, Morgan Stanley upped their price target on International Business Machines from $215.00 to $225.00 and gave the company an “equal weight” rating in a research report on Thursday, April 23rd. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have assigned a Hold rating to the company. According to data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average target price of $294.41.

International Business Machines Stock Up 1.9%

The company has a quick ratio of 0.76, a current ratio of 0.80 and a debt-to-equity ratio of 1.75. The firm has a 50-day moving average of $238.94 and a two-hundred day moving average of $271.49. The company has a market capitalization of $240.08 billion, a PE ratio of 22.58, a price-to-earnings-growth ratio of 2.63 and a beta of 0.58.

International Business Machines (NYSE:IBM) last announced its quarterly earnings data on Wednesday, April 22nd. The technology company reported $1.91 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.81 by $0.10. International Business Machines had a return on equity of 37.23% and a net margin of 15.61%.The business had revenue of $15.92 billion for the quarter, compared to analysts’ expectations of $15.60 billion. During the same period last year, the firm earned $1.60 earnings per share. The company’s revenue for the quarter was up 9.5% compared to the same quarter last year. Equities research analysts predict that International Business Machines Corporation will post 12.4 earnings per share for the current fiscal year.

International Business Machines Increases Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Friday, May 8th will be issued a dividend of $1.69 per share. The ex-dividend date of this dividend is Friday, May 8th. This is a positive change from International Business Machines’s previous quarterly dividend of $1.68. This represents a $6.76 annualized dividend and a dividend yield of 2.6%. International Business Machines’s dividend payout ratio is 59.77%.

Hedge Funds Weigh In On International Business Machines

A number of hedge funds and other institutional investors have recently made changes to their positions in IBM. Family CFO Inc purchased a new position in shares of International Business Machines during the fourth quarter worth about $25,000. Basepoint Wealth LLC purchased a new position in shares of International Business Machines during the fourth quarter worth about $25,000. Portus Wealth Advisors LLC purchased a new position in shares of International Business Machines during the first quarter worth about $26,000. Joseph Group Capital Management purchased a new position in shares of International Business Machines during the fourth quarter worth about $28,000. Finally, Cornerstone Financial Management LLC purchased a new position in shares of International Business Machines during the fourth quarter worth about $28,000. Hedge funds and other institutional investors own 58.96% of the company’s stock.

About International Business Machines

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.