Bank of New York Mellon Corp Acquires Shares of 9,269,877 International Business Machines Corporation $IBM

Key Points

• Bank of New York Mellon acquired 9.27 million IBM shares worth approximately $2.61 billion, giving it about a 0.98% stake. Institutional investors collectively own 58.96% of IBM.
• IBM’s latest quarter met earnings expectations with EPS of $2.93, but revenue of $17.16 billion missed estimates of $17.46 billion. The company also declared a quarterly dividend of $1.69, representing a 2.9% annualized yield.
• Analyst sentiment remains mixed: IBM has a “Moderate Buy” consensus rating and a $265.90 average price target, while several firms recently lowered targets or downgraded the stock amid concerns about AI disruption, services pressure and weaker revenue growth.

Bank of New York Mellon Corp acquired a new position in shares of International Business Machines Corporation (NYSE:IBM - Free Report) during the second quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The fund acquired 9,269,877 shares of the technology company's stock, valued at approximately $2,606,782,000. Bank of New York Mellon Corp owned approximately 0.98% of International Business Machines at the end of the most recent reporting period.

Several other institutional investors and hedge funds also recently modified their holdings of IBM. Sandro Wealth Management LLC acquired a new position in shares of International Business Machines during the second quarter worth $379,000. Leeward Financial Partners LLC acquired a new stake in International Business Machines during the 2nd quarter valued at $226,000. Centric Wealth Management acquired a new stake in International Business Machines during the 2nd quarter valued at $513,000. Focus Partners Advisor Solutions LLC purchased a new stake in International Business Machines during the 2nd quarter worth $9,749,000. Finally, ABN AMRO Bank N.V. acquired a new position in International Business Machines in the 2nd quarter worth $932,000. Hedge funds and other institutional investors 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’s acquisition of HRL Laboratories adds silicon-spin qubit, materials and manufacturing expertise that could improve its ability to develop scalable quantum-computing systems. Analysts cited upcoming quantum catalysts, and Susquehanna raised its price target to $235, although it maintained a cautious view. Can IBM’s HRL Acquisition Boost Its Quantum Computing Capabilities?
• Positive Sentiment: A technical analysis article said IBM remains in a longer-term uptrend and could resume advancing if shares clear resistance near $239. A breakout would signal improved buying momentum, though this is a technical rather than fundamental catalyst. Stock of the Day: Will IBM Break Out and Head Higher?
• Neutral Sentiment: New market reports identify IBM as a participant in expanding enterprise blockchain, UNIX, business service management, computer-based sensing, biological computing and high-throughput computing markets. These reports point to broad industry growth but provide limited evidence of immediate revenue or earnings impact for IBM. IBM Emerges as a Leading Enterprise Blockchain Provider
• Negative Sentiment: IBM’s reported year-to-date decline reflects concerns about AI-driven disruption to legacy services, pricing pressure and downward earnings estimates. Hybrid cloud and watsonx remain potential offsets, but investors are questioning whether growth in those businesses can compensate for weakness elsewhere. IBM Slumps 21% YTD: Time to Reassess the Stock?
• Negative Sentiment: Coverage also highlighted IBM’s revenue miss, which contributed to a sharp selloff, and noted that the stock has underperformed the S&P 500. A pending securities-fraud investigation and a senior executive’s multimillion-dollar stock sale add further overhang, although neither necessarily changes IBM’s underlying business outlook. IBM Securities Fraud Investigation

Analyst Ratings Changes

IBM has been the topic of several research analyst reports. Susquehanna increased their price target on shares of International Business Machines from $225.00 to $235.00 and gave the stock a "neutral" rating in a research report on Monday. Oppenheimer downgraded International Business Machines from an "outperform" rating to a "market perform" rating in a report on Wednesday, July 15th. Stifel Nicolaus reduced their price objective on International Business Machines from $290.00 to $235.00 and set a "buy" rating for the company in a research report on Monday, July 20th. Wedbush set a $350.00 target price on International Business Machines in a research report on Tuesday, June 2nd. Finally, Morgan Stanley reduced their price target on shares of International Business Machines from $293.00 to $190.00 and set an "equal weight" rating for the company in a report on Thursday, July 23rd. Sixteen investment analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and a consensus price target of $265.90.

International Business Machines Stock Performance

Shares of NYSE IBM opened at $231.12 on Wednesday. The stock's fifty day simple moving average is $243.51 and its 200 day simple moving average is $247.61. The stock has a market capitalization of $217.75 billion, a price-to-earnings ratio of 20.51, a PEG ratio of 2.30 and a beta of 0.70. 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 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 announced its earnings results on Wednesday, July 22nd. The technology company reported $2.93 earnings per share (EPS) for the quarter, meeting the consensus estimate of $2.93. The company had revenue of $17.16 billion for the quarter, compared to the consensus estimate of $17.46 billion. International Business Machines had a net margin of 15.52% and a return on equity of 35.65%. The company's revenue was up 1.1% on a year-over-year basis. During the same period in the previous year, the business earned $2.80 EPS. As a group, sell-side analysts forecast that International Business Machines Corporation will post 12.33 earnings per share for the current fiscal year.

International Business Machines Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be issued a $1.69 dividend. The ex-dividend date is Monday, August 10th. This represents a $6.76 dividend on an annualized basis and a yield of 2.9%. International Business Machines's dividend payout ratio is currently 59.98%.

Insider Transactions at International Business Machines

In other news, SVP Robert David Thomas sold 25,000 shares of the 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 transaction, the senior vice president owned 47,800 shares of the company's stock, 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 SEC, which is accessible through this link. Corporate insiders own 0.27% of the company's stock.

International Business Machines Company 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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