22,227 Shares of International Business Machines Corporation $IBM Purchased by Alpha Wealth Funds LLC

Key Points

• Alpha Wealth Funds LLC opened a position in IBM, buying 22,227 shares worth about $4.9 million in the third quarter. IBM represents roughly 2.9% of the fund’s portfolio and is its third-largest holding.
• IBM’s latest reported quarter beat expectations: earnings were $2.95 per share versus $2.85 forecast, while revenue of $17.1 billion exceeded estimates and rose 4.7% year over year. The company declared a quarterly dividend of $1.69 per share, equivalent to a 2.7% annualized yield.
• Analyst coverage is broadly positive, with MarketBeat reporting a “Moderate Buy” consensus and an average price target of $266.88; 19 analysts rated the stock Buy, 13 Hold, and two Sell.

Alpha Wealth Funds LLC acquired a new stake in International Business Machines Corporation (NYSE:IBM - Free Report) in the third quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The firm acquired 22,227 shares of the technology company's stock, valued at approximately $4,888,000. International Business Machines accounts for about 2.9% of Alpha Wealth Funds LLC's investment portfolio, making the stock its 3rd largest holding.

A number of other hedge funds have also recently added to or reduced their stakes in IBM. BlackRock Inc. purchased a new stake in International Business Machines during the second quarter worth about $21,586,659,000. State Street Corp increased its holdings in International Business Machines by 2.7% in the second quarter. State Street Corp now owns 56,045,055 shares of the technology company's stock valued at $15,760,430,000 after buying an additional 1,450,562 shares in the last quarter. Bank of America Corp DE increased its holdings in International Business Machines by 7.0% in the first quarter. Bank of America Corp DE now owns 16,063,653 shares of the technology company's stock valued at $3,893,669,000 after buying an additional 1,049,602 shares in the last quarter. Bank of New York Mellon Corp acquired a new stake in shares of International Business Machines during the 2nd quarter valued at approximately $2,606,782,000. Finally, UBS AM a distinct business unit of UBS ASSET MANAGEMENT AMERICAS LLC lifted 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 and hedge funds own 58.96% of the company's stock.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on IBM shares. Susquehanna set a $275.00 target price on shares of International Business Machines in a research report on Friday, November 6th. Robert W. Baird increased their target price on International Business Machines from $230.00 to $260.00 and gave the stock a "neutral" rating in a research report on Thursday, October 22nd. Weiss Ratings cut International Business Machines from a "buy (b-)" rating to a "hold (c+)" rating in a report on Thursday, October 29th. Citigroup upped their target price on International Business Machines from $245.00 to $280.00 and gave the stock a "buy" rating in a research report on Thursday, October 22nd. Finally, Morgan Stanley lifted their price target on shares of International Business Machines from $238.00 to $240.00 and gave the stock an "equal weight" rating in a research note on Thursday, October 22nd. Nineteen equities research analysts have rated the stock with a Buy rating, thirteen have assigned a Hold rating and two have issued a Sell rating to the company's stock. According to data from MarketBeat, International Business Machines currently has a consensus rating of "Moderate Buy" and an average price target of $266.88.

Insider Activity

In related news, SVP Robert Thomas sold 25,000 shares of the company's stock in a transaction that occurred 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 represents a 34.34% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.27% of the stock is owned by corporate insiders.

International Business Machines Price Performance

NYSE IBM opened at $248.27 on Thursday. 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 50-day moving average price of $237.53 and a two-hundred day moving average price of $247.92. The stock has a market cap of $234.64 billion, a price-to-earnings ratio of 19.86, a price-to-earnings-growth ratio of 2.41 and a beta of 0.78. International Business Machines Corporation has a 52 week low of $199.19 and a 52 week high of $332.46.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings results on Wednesday, October 21st. The technology company reported $2.95 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.85 by $0.10. International Business Machines had a return on equity of 34.37% and a net margin of 15.99%. The firm had revenue of $17.10 billion during the quarter, compared to analyst estimates of $16.82 billion. During the same period last year, the company posted $2.65 EPS. The firm's quarterly revenue was up 4.7% on a year-over-year basis. Analysts forecast that International Business Machines Corporation will post 12.42 EPS for the current year.

International Business Machines Announces Dividend

The business also recently announced 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 2.7%. International Business Machines's payout ratio is 57.63%.

Trending Headlines about International Business Machines

These are some of the IBM headlines that stood out recently:

• Positive Sentiment: IBM announced its next-generation Nighthawk quantum processor, designed for 520 qubits and 10,000 quantum operations, with a roadmap to exceed 1,000 qubits in 2027. IBM says users of the current generation have reported speedups of up to 19x versus earlier IBM processors. The announcement supports IBM’s positioning in quantum computing, though broad commercial utility is still developing. IBM quantum announcement
• Neutral Sentiment: IBM’s Digital Sovereignty Index highlights customer demand for help managing AI and data-control risks: 94% of surveyed enterprises encountered a sovereignty challenge, and AI-related issues were the most common. The findings may support demand for IBM’s services, but also underscore significant implementation and compliance challenges for businesses. IBM Digital Sovereignty Index
• Negative Sentiment: Reports say IBM will end H-1B and green-card sponsorship for most roles in its largest unit, IBM Consulting. Requiring some employees to relocate or leave could create retention and hiring challenges, although the financial impact is unclear. Bloomberg report on IBM immigration sponsorship

International Business Machines 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.

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