International Business Machines Corporation (NYSE:IBM) Given Average Rating of “Moderate Buy” by Brokerages

Shares of International Business Machines Corporation (NYSE:IBM) have received an average rating of “Moderate Buy” from the twenty-eight analysts that are covering the company, MarketBeat reports. One investment analyst has rated the stock with a sell recommendation, ten have given a hold recommendation and seventeen have given a buy recommendation to the company. The average 12-month target price among analysts that have covered the stock in the last year is $265.1579.

A number of equities research analysts have commented on the company. Robert W. Baird started coverage on International Business Machines in a research report on Tuesday, July 21st. They set a “neutral” rating and a $230.00 price objective for the company. Jefferies Financial Group reduced their price target on shares of International Business Machines from $320.00 to $260.00 and set a “buy” rating for the company in a research report on Tuesday, July 21st. Susquehanna raised their price target on shares of International Business Machines from $225.00 to $235.00 and gave the stock a “neutral” rating in a report on Monday, August 31st. Needham & Company LLC began coverage on shares of International Business Machines in a research report on Wednesday, June 3rd. They set a “buy” rating on the stock. Finally, JPMorgan Chase & Co. dropped their price objective on shares of International Business Machines from $291.00 to $250.00 and set an “overweight” rating on the stock in a research note on Friday, July 17th.

International Business Machines Stock Performance

NYSE:IBM opened at $238.27 on Friday. International Business Machines has a twelve month low of $199.19 and a twelve month high of $332.46. The company has a current ratio of 0.79, a quick ratio of 0.74 and a debt-to-equity ratio of 1.63. The company has a 50-day moving average of $232.30 and a 200-day moving average of $246.70. The firm has a market cap of $224.48 billion, a price-to-earnings ratio of 21.14, a price-to-earnings-growth ratio of 2.26 and a beta of 0.71.

International Business Machines (NYSE:IBM) last announced its earnings results on Wednesday, July 22nd. The technology company reported $2.93 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $2.93. International Business Machines had a return on equity of 35.65% and a net margin of 15.52%.The company had revenue of $17.16 billion for the quarter, compared to analyst estimates of $17.46 billion. During the same period in the previous year, the firm earned $2.80 earnings per share. International Business Machines’s revenue for the quarter was up 1.1% compared to the same quarter last year. Analysts forecast that International Business Machines will post 12.33 earnings per share for the current fiscal year.

International Business Machines Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Thursday, September 10th. Shareholders of record on Monday, August 10th were paid a $1.69 dividend. The ex-dividend date was Monday, August 10th. This represents a $6.76 dividend on an annualized basis and a yield of 2.8%. International Business Machines’s payout ratio is 59.98%.

Insiders Place Their Bets

In other news, SVP Robert Thomas sold 25,000 shares of the firm’s stock in a transaction dated 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 document filed with the Securities & Exchange Commission, which is available at this hyperlink. 0.27% of the stock is currently owned by insiders.

Institutional Trading of International Business Machines

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Basepoint Wealth LLC bought a new position in shares of International Business Machines during the fourth quarter worth approximately $25,000. Portus Wealth Advisors LLC bought a new stake in International Business Machines in the 1st quarter valued at $26,000. Harborfront Financial Group LLC acquired a new position in International Business Machines in the 2nd quarter valued at $27,000. Cornerstone Financial Management LLC acquired a new position in International Business Machines in the 4th quarter valued at $28,000. Finally, Hara Capital LLC bought a new position in International Business Machines during the 2nd quarter worth $28,000. 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 subsidiary Anderon finalized a $1 billion CHIPS and Science Act award from the U.S. Department of Commerce to support research, development and early production at a 300-millimeter quantum wafer foundry in Albany, New York. IBM is expected to match the award with its own investment. The deal strengthens IBM’s position in quantum-computing infrastructure, although the funding is intended largely for development rather than an immediate revenue increase. Anderon CHIPS award announcement
• Positive Sentiment: Investors view the Anderon facility as a potential long-term growth opportunity because IBM could build quantum manufacturing capacity and provide infrastructure to outside customers. Reports of initial quantum-wafer production and fresh industry breakthroughs have also lifted sentiment toward IBM and quantum peers. IBM quantum infrastructure report
• Positive Sentiment: IBM announced collaborations with CUBE and Dun & Bradstreet that add regulatory intelligence and verified business data to watsonx.governance and watsonx Orchestrate. The agreements support IBM’s effort to turn AI pilots into production-grade, compliant enterprise workflows, though financial terms were not disclosed. CUBE and IBM collaboration
• Neutral Sentiment: Analysts cited in recent coverage set an average price target of approximately $265.90, implying potential upside from recent trading levels, but the target is not a guarantee and IBM remains below its 200-day moving average.
• Negative Sentiment: IBM recently experienced a sharper decline than the broader market, with coverage pointing to profit-taking, technical weakness and general market pressure despite the quantum award. The company must also commit substantial capital alongside federal funding, which could limit the near-term earnings benefit. IBM recent market decline

About International Business Machines

International Business Machines Corporation (IBM) is a global technology and consulting company that provides enterprise-focused hardware, software and services. Its offerings include hybrid cloud solutions, artificial intelligence, data and automation software, cybersecurity tools, IT infrastructure and technology consulting.

IBM develops and supports enterprise systems such as IBM Z mainframes, Power servers and storage products. Its software portfolio includes Red Hat hybrid cloud technologies, the watsonx platform for artificial intelligence and data management, application integration tools and cybersecurity solutions.