International Business Machines Corporation (NYSE:IBM) Stock Has Consensus Price Target of $266.12

International Business Machines Corporation (NYSE:IBM) has earned a consensus rating of “Moderate Buy” from the thirty-four analysts that are covering the firm, MarketBeat Ratings reports. Two equities research analysts have rated the stock with a sell recommendation, thirteen have given a hold recommendation and nineteen have given a buy recommendation to the company. The average 12 month price target among analysts that have updated their coverage on the stock in the last year is $266.88.

A number of equities research analysts have issued reports on IBM shares. Daiwa Securities Group cut their target price on International Business Machines from $247.00 to $217.00 and set a “neutral” rating on the stock in a research note on Wednesday, July 29th. JPMorgan Chase & Co. increased their price target on International Business Machines from $250.00 to $269.00 and gave the company an “overweight” rating in a research note on Thursday, October 22nd. Sanford C. Bernstein lowered their price objective on shares of International Business Machines from $280.00 to $230.00 and set a “market perform” rating on the stock in a research note on Thursday, July 23rd. Citic Securities increased their price objective on shares of International Business Machines from $294.00 to $297.00 and gave the company a “buy” rating in a research note on Wednesday, July 29th. Finally, Jefferies Financial Group upped their price target on International Business Machines from $270.00 to $280.00 and gave the stock a “buy” rating in a report on Thursday, October 22nd.

International Business Machines News Roundup

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

• Positive Sentiment: Evercore’s sum-of-the-parts analysis values IBM at $290 a share, above its $275 price target, suggesting the firm sees potential value in IBM’s businesses, including quantum computing. IBM Stock Could Be More Than a ‘Safe Haven.’ Quantum Computing Is a Big Reason
• Positive Sentiment: IBM’s Quantum System Two is now operational at the University of Chicago, expanding its quantum-computing presence and partnerships in Illinois. The installation strengthens IBM’s research and commercialization ecosystem, though financial returns are likely longer term. IBM Unveils Its Most Advanced Quantum Computer in Chicago
• Positive Sentiment: IBM, AMD and Oak Ridge National Laboratory launched a platform combining quantum and high-performance computing to advance quantum error correction, supporting IBM’s technology roadmap. The initiative targets progress toward a scientifically relevant quantum computer by 2028. Oak Ridge National Laboratory, IBM, and AMD Launch New Co-Design Platform for Quantum Error Correction
• Neutral Sentiment: A recent valuation commentary questions whether IBM’s cash-flow outlook supports the stock’s longer-term share-price gains. The excerpt does not provide a firm valuation conclusion, but it highlights investor scrutiny of the company’s price relative to future cash generation. IBM Stock Could Trade At A Discount After Quantum Computing News

International Business Machines Stock Performance

Shares of NYSE:IBM opened at $244.71 on Friday. International Business Machines has a 12 month low of $199.19 and a 12 month high of $332.46. The company has a 50-day moving average price of $236.76 and a 200-day moving average price of $248.64. The company has a current ratio of 0.85, a quick ratio of 0.80 and a debt-to-equity ratio of 1.57. The company has a market cap of $231.28 billion, a price-to-earnings ratio of 20.51, a price-to-earnings-growth ratio of 2.49 and a beta of 0.78.

International Business Machines (NYSE:IBM) last issued its earnings results on Wednesday, October 21st. The technology company reported $2.95 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.85 by $0.10. The company had revenue of $17.10 billion for the quarter, compared to analysts’ expectations of $16.82 billion. International Business Machines had a net margin of 15.99% and a return on equity of 34.37%. The firm’s quarterly revenue was up 4.7% on a year-over-year basis. During the same period in the prior year, the business earned $2.65 EPS. As a group, equities analysts anticipate that International Business Machines will post 12.41 EPS for the current year.

International Business Machines Dividend Announcement

The firm also recently declared a quarterly dividend, which will be paid on Thursday, December 10th. Stockholders of record on Tuesday, November 10th will be given a dividend of $1.69 per share. The ex-dividend date of this dividend is Tuesday, November 10th. This represents a $6.76 dividend on an annualized basis and a dividend yield of 2.8%. International Business Machines’s dividend payout ratio is presently 57.63%.

Insider Transactions at International Business Machines

In other news, SVP Robert Thomas sold 25,000 shares of the firm’s stock in a transaction on Wednesday, August 26th. The shares were sold at an average price of $230.32, for a total value of $5,758,000.00. Following the completion of the sale, the senior vice president owned 47,800 shares in the company, valued at approximately $11,009,296. This trade represents a 34.34% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Company insiders own 0.27% of the company’s stock.

Institutional Investors Weigh In On International Business Machines

Several large investors have recently made changes to their positions in the company. BlackRock Inc. acquired a new stake in shares of International Business Machines in the 2nd quarter valued at $21,586,659,000. State Street Corp increased its position in International Business Machines by 2.7% during the 2nd quarter. State Street Corp now owns 56,045,055 shares of the technology company’s stock valued at $15,760,430,000 after purchasing an additional 1,450,562 shares during the period. Bank of America Corp DE bought a new position in shares of International Business Machines during the 2nd quarter worth about $4,214,868,000. Bank of New York Mellon Corp purchased a new stake in International Business Machines in the 2nd quarter valued at $2,606,782,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC grew its position in shares of International Business Machines by 0.7% during the 2nd quarter. UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC now owns 7,621,512 shares of the technology company’s stock valued at $2,143,245,000 after acquiring an additional 53,388 shares during the period. Institutional investors own 58.96% of the company’s stock.

International Business Machines Company Profile

International Business Machines Corporation (IBM) is a global technology company that provides software, consulting, infrastructure and related services to businesses and public-sector organizations. Its offerings include hybrid cloud and artificial intelligence solutions, enterprise software, IT consulting, and systems such as IBM Z mainframes and Power servers.

IBM also develops technologies in areas including data management, automation, cybersecurity and quantum computing. Its consulting teams help clients design, build and manage technology systems and business processes.

The company traces its roots to the Computing-Tabulating-Recording Company, formed in 1911, and adopted the name International Business Machines in 1924.