Birmingham Capital Management Co. Inc. AL Invests $5.21 Million in International Business Machines Corporation $IBM

Key Points

• Birmingham Capital Management acquired 18,525 IBM shares worth approximately $5.21 million, making IBM about 2% of its portfolio and its 13th-largest holding.
• Institutional investors own 58.96% of IBM’s stock, while Senior Vice President Robert Thomas sold 25,000 shares for roughly $5.8 million, reducing his ownership by 34.34%.
• IBM’s latest quarterly results matched analysts’ $2.93 EPS estimate, while revenue rose 1.1% year over year to $17.16 billion. The company declared a $1.69 quarterly dividend, equivalent to a 2.8% annual yield, and analysts maintain a consensus “Moderate Buy” rating with a $265.90 price target.

Birmingham Capital Management Co. Inc. AL purchased a new stake in International Business Machines Corporation (NYSE:IBM - Free Report) in the second quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The fund purchased 18,525 shares of the technology company's stock, valued at approximately $5,209,000. International Business Machines makes up about 2.0% of Birmingham Capital Management Co. Inc. AL's investment portfolio, making the stock its 13th biggest holding.

Several other institutional investors and hedge funds have also bought and sold shares of the company. BlackRock Inc. bought a new position in International Business Machines in the 2nd quarter valued at about $21,586,659,000. Bank of New York Mellon Corp bought a new stake in International Business Machines during the second quarter worth $2,606,782,000. Norges Bank acquired a new stake in shares of International Business Machines in the 4th quarter valued at $2,446,429,000. Legal & General Group Plc acquired a new stake in shares of International Business Machines in the 2nd quarter valued at $1,874,733,000. Finally, Capital World Investors raised its holdings in shares of International Business Machines by 29.2% during the 4th quarter. Capital World Investors now owns 22,021,912 shares of the technology company's stock worth $6,523,720,000 after buying an additional 4,976,756 shares in the last quarter. Institutional investors own 58.96% of the company's stock.

Insider Activity

In other news, SVP Robert Thomas sold 25,000 shares of the stock in a transaction on Wednesday, August 26th. The shares were sold at an average price of $230.32, for a total transaction of $5,758,000.00. Following the completion of the sale, the senior vice president directly owned 47,800 shares in the company, valued at $11,009,296. This represents a 34.34% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. Company insiders own 0.27% of the company's stock.

International Business Machines Stock Up 3.5%

Shares of IBM opened at $240.12 on Thursday. The stock's 50-day moving average price is $238.89 and its two-hundred day moving average price is $246.54. International Business Machines Corporation has a 12 month low of $199.19 and a 12 month high of $332.46. The company has a market capitalization of $226.22 billion, a PE ratio of 21.31, a PEG ratio of 2.21 and a beta of 0.71. The company has a current ratio of 0.79, a quick ratio of 0.74 and a debt-to-equity ratio of 1.63.

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

International Business Machines Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Monday, August 10th will be given a $1.69 dividend. The ex-dividend date is Monday, August 10th. This represents a $6.76 dividend on an annualized basis and a dividend yield of 2.8%. International Business Machines's payout ratio is 59.98%.

Trending Headlines about International Business Machines

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

• Positive Sentiment: Quantum-computing milestone: IBM, Cleveland Clinic and RIKEN advanced to the finals of the 2026 ACM Gordon Bell Prize after using quantum-centric supercomputing to model a 12,635-atom protein. The recognition supports IBM’s long-term positioning in quantum computing and life-sciences applications. Cleveland Clinic, RIKEN and IBM Team Advance to Finals for 2026 ACM Gordon Bell Prize
• Positive Sentiment: AI and open-source collaboration: LTM is working with IBM and Red Hat on Lightwell, an initiative focused on AI-driven remediation of open-source software. The partnership reinforces IBM’s hybrid-cloud, Red Hat and enterprise-AI ecosystem. LTM Collaborates with IBM and Red Hat on Lightwell
• Positive Sentiment: Institutional demand and contracts: Quiver reported that 1,936 institutional investors increased IBM positions in the latest quarter, versus 1,592 that reduced holdings. JPMorgan, Sixth Street Partners and Wellington made sizable additions. The data also showed approximately $1.1 billion in government award payments over the past year, providing support for IBM’s public-sector business. IBM Stock Data and Institutional Activity
• Neutral Sentiment: Analyst comparison: Zacks said Arista Networks currently has an edge over IBM because of stronger performance, rising estimates and AI-cloud growth, although IBM offers exposure to cloud and AI at a potentially more moderate valuation. Arista vs. IBM
• Negative Sentiment: Insider selling: IBM Senior Vice President Robert David Thomas sold 25,000 shares for an estimated $5.8 million. Quiver also reported that congressional IBM trading included more sales than purchases, though the signal is not directly tied to operating performance. IBM Insider and Congressional Trading Data

Analysts Set New Price Targets

IBM has been the topic of a number of recent analyst reports. Argus decreased their target price on International Business Machines from $360.00 to $280.00 and set a "buy" rating on the stock in a research report on Thursday, July 16th. Roth Capital reissued a "buy" rating on shares of International Business Machines in a report on Wednesday, June 3rd. Citigroup decreased their price target on shares of International Business Machines from $255.00 to $245.00 and set a "buy" rating on the stock in a report on Friday, July 24th. HSBC set a $175.00 price target on International Business Machines and gave the company a "reduce" rating in a research note on Thursday, July 16th. Finally, JPMorgan Chase & Co. lowered their target price on International Business Machines from $291.00 to $250.00 and set an "overweight" rating for the company in a report on Friday, July 17th. Sixteen analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, International Business Machines presently has an average rating of "Moderate Buy" and a consensus target price of $265.90.

International Business Machines Profile

International Business Machines Corporation (IBM) is a global technology and consulting company that provides enterprise-focused hardware, software and services. Its offerings include hybrid cloud solutions, artificial intelligence, data and automation software, cybersecurity tools, IT infrastructure and technology consulting.

IBM develops and supports enterprise systems such as IBM Z mainframes, Power servers and storage products. Its software portfolio includes Red Hat hybrid cloud technologies, the watsonx platform for artificial intelligence and data management, application integration tools and cybersecurity solutions.

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