AWM Capital LLC Makes New Investment in International Business Machines Corporation $IBM

Key Points

• AWM Capital LLC initiated a position in IBM during the third quarter, purchasing 2,811 shares valued at approximately $618,000. Institutional investors collectively own nearly 59% of IBM’s outstanding stock.
• IBM’s latest quarterly results showed adjusted earnings of $2.93 per share, in line with expectations, while revenue of $17.16 billion fell short of estimates but increased 1.1% year over year.
• IBM maintains a quarterly dividend of $1.69 per share, equivalent to a 2.9% yield, while analysts hold a consensus “Moderate Buy” rating and an average price target of $254.96.

AWM Capital LLC bought a new position in International Business Machines Corporation (NYSE:IBM - Free Report) during the third quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund bought 2,811 shares of the technology company's stock, valued at approximately $618,000.

Other institutional investors have also added to or reduced their stakes in the company. Portus Wealth Advisors LLC bought a new stake in shares of International Business Machines in the 1st quarter valued at approximately $26,000. Harborfront Financial Group LLC purchased a new position in International Business Machines during the second quarter valued at approximately $27,000. Hara Capital LLC bought a new stake in International Business Machines during the second quarter valued at about $28,000. Bare Financial Services Inc boosted its holdings in shares of International Business Machines by 114.6% in the 2nd quarter. Bare Financial Services Inc now owns 103 shares of the technology company's stock valued at $29,000 after buying an additional 55 shares in the last quarter. Finally, Caitlin John LLC purchased a new stake in International Business Machines in the second quarter valued at about $35,000. Hedge funds and other institutional investors own 58.96% of the company's stock.

International Business Machines Stock Performance

Shares of International Business Machines stock opened at $232.58 on Friday. The business has a fifty day simple moving average of $231.99 and a 200-day simple moving average of $243.58. International Business Machines Corporation has a 12 month low of $199.19 and a 12 month high of $332.46. The stock has a market cap of $219.12 billion, a PE ratio of 19.49, a price-to-earnings-growth ratio of 2.23 and a beta of 0.73. The company has a quick ratio of 0.74, a current ratio of 0.79 and a debt-to-equity ratio of 1.63.

International Business Machines (NYSE:IBM - Get Free Report) last issued its earnings results on Wednesday, July 22nd. The technology company reported $2.93 EPS for the quarter, meeting analysts' consensus estimates of $2.93. The business had revenue of $17.16 billion during the quarter, compared to analyst estimates of $17.46 billion. International Business Machines had a return on equity of 35.65% and a net margin of 15.52%. International Business Machines's revenue was up 1.1% on a year-over-year basis. During the same period in the prior year, the company posted $2.80 earnings per share. On average, sell-side analysts anticipate that International Business Machines Corporation will post 12.33 EPS for the current fiscal year.

International Business Machines Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Thursday, September 10th. Stockholders of record on Monday, August 10th were paid a dividend of $1.69 per share. This represents a $6.76 dividend on an annualized basis and a dividend yield of 2.9%. The ex-dividend date was Monday, August 10th. International Business Machines's dividend payout ratio (DPR) is currently 59.98%.

Insider Transactions at International Business Machines

In related news, SVP Robert Thomas sold 25,000 shares of the firm's stock in a transaction on Wednesday, August 26th. The stock was sold at an average price of $230.32, for a total value of $5,758,000.00. Following the transaction, 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 ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. 0.27% of the stock is owned by corporate insiders.

Key Headlines Impacting International Business Machines

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

• Positive Sentiment: Bank of America expects IBM to deliver a modest third-quarter earnings beat while maintaining its 2026 outlook. The bank reiterated its Buy rating and $280 price target, citing higher-margin software, improving profitability and strong free cash flow. IBM poised for modest third-quarter beat, says Bank of America
• Positive Sentiment: Analysts expect software revenue to benefit from AI innovation, strategic partnerships and expanding enterprise-cloud capabilities. Consulting revenue is also projected to show modest growth, supported by technology demand, AI partnerships and cybersecurity-related expansion. IBM software revenue earnings preview
• Positive Sentiment: IBM and Siemens are collaborating on IBM’s nanostack transistor architecture, combining IBM semiconductor research with Siemens’ design-automation and manufacturing software. The initiative reinforces IBM’s long-term investment in advanced chips and computing technology. Siemens joins IBM nanostack research effort
• Neutral Sentiment: IBM reports third-quarter results next week, and options traders are pricing in a potential move of roughly 8% after the release. The elevated implied volatility signals substantial uncertainty rather than a clearly bullish or bearish expectation. IBM options market expects major post-earnings move
• Neutral Sentiment: Morgan Stanley raised its IBM price target to $238 but maintained an Equal Weight rating, implying limited near-term upside at the referenced price. RBC separately reaffirmed its Outperform rating. RBC reaffirms IBM Outperform rating
• Negative Sentiment: Investor concerns remain about IBM’s valuation, rising debt and limited dividend growth. Commentary noted that the company’s long record of annual dividend increases has recently involved only small raises, potentially constraining its appeal to income-focused investors while it funds AI initiatives. IBM dividend and debt concerns

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. Susquehanna boosted their price target on International Business Machines from $225.00 to $235.00 and gave the company a "neutral" rating in a report on Monday, August 31st. Morgan Stanley boosted their price target on shares of International Business Machines from $190.00 to $238.00 and gave the stock an "equal weight" rating in a research note on Thursday. Weiss Ratings raised International Business Machines from a "hold (c+)" rating to a "buy (b-)" rating in a report on Wednesday. Wolfe Research cut International Business Machines to a "peer perform" rating in a research note on Tuesday, June 23rd. Finally, Craig Hallum started coverage on shares of International Business Machines in a research report on Wednesday, August 19th. They issued a "buy" rating for the company. Nineteen investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat.com, International Business Machines has a consensus rating of "Moderate Buy" and an average target price of $254.96.

International Business Machines Profile

International Business Machines Corporation NYSE: IBM, commonly known as IBM, is a global technology company that provides hybrid cloud, artificial intelligence, software, consulting and infrastructure solutions. Its offerings help businesses and government organizations manage data, modernize applications, automate processes and improve cybersecurity.

IBM's portfolio includes the Red Hat hybrid cloud platform, the watsonx suite of artificial intelligence and data tools, consulting services, and enterprise software for areas such as automation, application management, security and asset management.

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