Applied Finance Capital Management LLC Purchases 2,663 Shares of International Business Machines Corporation $IBM

Key Points

• Applied Finance Capital Management increased its IBM stake by 2.3% in the fourth quarter, buying 2,663 more shares and bringing its total to 117,968 shares worth about $34.9 million.
• IBM reported strong quarterly results, with EPS of $1.91 topping estimates and revenue of $15.92 billion also beating expectations, while revenue rose 9.5% year over year.
• The company also raised its quarterly dividend to $1.69 per share, and analysts currently maintain a Moderate Buy consensus with an average price target of $294.41.

Applied Finance Capital Management LLC increased its stake in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 2.3% during the fourth quarter, according to the company in its most recent filing with the SEC. The fund owned 117,968 shares of the technology company's stock after acquiring an additional 2,663 shares during the period. International Business Machines accounts for about 2.5% of Applied Finance Capital Management LLC's holdings, making the stock its 8th largest position. Applied Finance Capital Management LLC's holdings in International Business Machines were worth $34,943,000 as of its most recent filing with the SEC.

A number of other hedge funds have also made changes to their positions in IBM. Family CFO Inc bought a new stake in International Business Machines during the 4th quarter valued at approximately $25,000. Joseph Group Capital Management bought a new stake in International Business Machines during the 4th quarter valued at approximately $28,000. SWAN Capital LLC bought a new stake in International Business Machines during the 3rd quarter valued at approximately $28,000. DecisionPoint Financial LLC boosted its stake in International Business Machines by 1,666.7% during the 4th quarter. DecisionPoint Financial LLC now owns 106 shares of the technology company's stock valued at $31,000 after purchasing an additional 100 shares during the period. Finally, LFA Lugano Financial Advisors SA bought a new stake in International Business Machines during the 4th quarter valued at approximately $31,000. Institutional investors and hedge funds own 58.96% of the company's stock.

International Business Machines News Summary

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

• Positive Sentiment: IBM introduced new cloud services — Red Hat AI Inference and OpenShift Virtualization — aimed at speeding enterprise AI adoption and secure virtual workload deployment, reinforcing its growth narrative in AI and cloud. IBM’s New AI Units And Services Reshape Enterprise Consulting Story
• Positive Sentiment: IBM is rolling out a new delivery model for consulting that uses senior-led teams and AI agents to turn enterprise strategy into execution faster, which could support services revenue and margins. A New Way to Make AI Actually Work in the Real World
• Positive Sentiment: OnQ said it has integrated IBM AS/400 systems into its Converge platform, a partnership that highlights IBM’s continued relevance in retail infrastructure and real-time inventory applications. OnQ Integrates IBM AS/400 into its Converge Platform, Bringing Real-Time Inventory to In-Store Retail Experiences
• Neutral Sentiment: One article said IBM shareholders may not see immediate upside after the Think 2026 event, even though analyst price targets still imply meaningful longer-term potential. No Upside For International Business Machines (IBM) Shareholders Post IBM Think 2026 Event
• Neutral Sentiment: Several recent writeups are mainly valuation and recovery discussions, noting IBM remains well below prior highs and may be attractive to long-term investors, but they do not point to a clear near-term catalyst. IBM: The Business Improved Faster Than Many Investors Realize
• Negative Sentiment: Some market commentary continues to frame IBM as a stock that has pulled back significantly from recent highs, which can weigh on sentiment despite the company’s operational progress. Catching Falling Knives: Is It Time to Buy These Beaten-Down Stocks?

International Business Machines Trading Up 0.5%

IBM stock opened at $219.56 on Friday. The business has a fifty day moving average price of $240.49 and a 200 day moving average price of $275.05. The stock has a market capitalization of $206.37 billion, a price-to-earnings ratio of 19.41, a P/E/G ratio of 2.26 and a beta of 0.58. International Business Machines Corporation has a fifty-two week low of $212.34 and a fifty-two week high of $324.90. The company has a debt-to-equity ratio of 1.75, a current ratio of 0.80 and a quick ratio of 0.76.

International Business Machines (NYSE:IBM - Get Free Report) last released its earnings results on Wednesday, April 22nd. The technology company reported $1.91 EPS for the quarter, beating the consensus estimate of $1.81 by $0.10. The company had revenue of $15.92 billion during the quarter, compared to analysts' expectations of $15.60 billion. International Business Machines had a return on equity of 37.23% and a net margin of 15.61%.The business's revenue for the quarter was up 9.5% on a year-over-year basis. During the same period last year, the firm earned $1.60 EPS. Analysts expect that International Business Machines Corporation will post 12.4 EPS for the current fiscal year.

International Business Machines Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 10th. Investors of record on Friday, May 8th will be paid a dividend of $1.69 per share. This represents a $6.76 dividend on an annualized basis and a dividend yield of 3.1%. This is a boost from International Business Machines's previous quarterly dividend of $1.68. The ex-dividend date of this dividend is Friday, May 8th. International Business Machines's payout ratio is presently 59.77%.

Wall Street Analysts Forecast Growth

Several analysts recently weighed in on the company. Wedbush restated an "outperform" rating and set a $320.00 target price on shares of International Business Machines in a research note on Wednesday, May 6th. Citigroup began coverage on International Business Machines in a research report on Friday, April 10th. They issued a "buy" rating and a $285.00 price objective for the company. Erste Group Bank downgraded International Business Machines from a "buy" rating to a "hold" rating in a research report on Wednesday, February 18th. Argus set a $360.00 price objective on International Business Machines in a research report on Friday, January 30th. Finally, DZ Bank upgraded International Business Machines from a "hold" rating to a "buy" rating and set a $295.00 price objective for the company in a research report on Friday, April 24th. One investment analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and seven have given a Hold rating to the company's stock. Based on data from MarketBeat.com, International Business Machines has a consensus rating of "Moderate Buy" and an average target price of $294.41.

Insider Activity at International Business Machines

In other International Business Machines news, Director Michael Miebach bought 434 shares of International Business Machines stock in a transaction on Wednesday, February 25th. The shares were purchased at an average cost of $233.33 per share, for a total transaction of $101,265.22. Following the completion of the acquisition, the director owned 434 shares in the company, valued at approximately $101,265.22. The trade was a ∞ increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. 0.27% of the stock is currently owned by company insiders.

International Business Machines 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.

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