Brandywine Global Investment Management LLC Cuts Stake in International Business Machines Corporation $IBM

Key Points

• Brandywine Global Investment Management cut its IBM stake by 5.5% in the fourth quarter, selling 21,167 shares and leaving it with 364,334 shares worth about $107.9 million.
• IBM is drawing bullish analyst attention thanks to stronger AI momentum, its Google Cloud partnership, and continued investment in quantum computing. Recent price targets have been raised sharply, including Citi’s move to $375.
• The company also reported solid quarterly results, with EPS of $1.91 on revenue of $15.92 billion, and it raised its quarterly dividend to $1.69 per share.

Brandywine Global Investment Management LLC trimmed its position in International Business Machines Corporation (NYSE:IBM - Free Report) by 5.5% during the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission. The fund owned 364,334 shares of the technology company's stock after selling 21,167 shares during the period. International Business Machines comprises about 0.7% of Brandywine Global Investment Management LLC's portfolio, making the stock its 29th largest holding. Brandywine Global Investment Management LLC's holdings in International Business Machines were worth $107,919,000 at the end of the most recent reporting period.

A number of other hedge funds have also made changes to their positions in the company. Brighton Jones LLC lifted its stake in International Business Machines by 12.4% in the 4th quarter. Brighton Jones LLC now owns 21,011 shares of the technology company's stock worth $4,619,000 after purchasing an additional 2,323 shares in the last quarter. Sivia Capital Partners LLC grew its position in shares of International Business Machines by 10.6% in the second quarter. Sivia Capital Partners LLC now owns 1,938 shares of the technology company's stock valued at $571,000 after purchasing an additional 186 shares in the last quarter. Jump Financial LLC acquired a new stake in shares of International Business Machines in the second quarter valued at approximately $211,000. Ieq Capital LLC lifted its position in International Business Machines by 2.2% during the second quarter. Ieq Capital LLC now owns 38,617 shares of the technology company's stock worth $11,383,000 after buying an additional 843 shares in the last quarter. Finally, Vivaldi Capital Management LP lifted its position in International Business Machines by 11.6% during the second quarter. Vivaldi Capital Management LP now owns 1,017 shares of the technology company's stock worth $300,000 after buying an additional 106 shares in the last quarter. Institutional investors and hedge funds own 58.96% of the company's stock.

Key International Business Machines News

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

• Positive Sentiment: Wedbush reportedly reset its IBM price target, citing stronger AI momentum and continued demand for IBM’s enterprise software and consulting offerings.
• Positive Sentiment: IBM’s new strategic partnership with Google Cloud to scale enterprise AI adoption is being seen as a meaningful growth driver, with the deal aimed at helping customers modernize systems and bring AI into production faster. IBM and Google Cloud Announce Strategic Partnership to Scale AI with Human Expertise and AI‑Powered Delivery
• Positive Sentiment: Several market commentary pieces highlighted IBM’s large quantum-computing investment as a long-term catalyst, with some analysts saying the company is strengthening its position in an emerging high-growth market. IBM Stock’s $10 Billion Quantum Catalyst Is Here
• Positive Sentiment: Citi also pointed to IBM’s growing role in quantum computing, reinforcing the view that the company’s heavy spending could secure a leadership position in a market with major future upside.
• Neutral Sentiment: IBM shares were included in broader market coverage of stocks making big moves, reflecting elevated trading interest but not adding a clearly new company-specific catalyst.
• Negative Sentiment: A former IBM cybersecurity executive accused the company of covering up multiple foreign-government data breaches over the past decade, raising potential reputational and legal risks. Former cyber executive turned whistleblower accuses IBM of covering up several data breaches
• Negative Sentiment: Another report repeated allegations that IBM and AT&T concealed foreign hacks, which could weigh on investor sentiment if the claims gain traction.

Wall Street Analysts Forecast Growth

Several analysts have issued reports on the company. UBS Group upgraded International Business Machines from a "sell" rating to a "neutral" rating and set a $236.00 target price for the company in a report on Wednesday, February 25th. Royal Bank Of Canada reissued an "outperform" rating on shares of International Business Machines in a research report on Thursday, May 28th. Citigroup upped their price objective on shares of International Business Machines from $285.00 to $375.00 and gave the company a "buy" rating in a report on Tuesday, June 2nd. Oppenheimer cut their price objective on shares of International Business Machines from $380.00 to $320.00 and set an "outperform" rating for the company in a research report on Thursday, April 16th. Finally, DZ Bank raised shares of International Business Machines from a "hold" rating to a "buy" rating and set a $295.00 target price on the stock in a research note on Friday, April 24th. One equities research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and eight have given a Hold rating to the company's stock. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average target price of $304.17.

International Business Machines Stock Up 0.1%

NYSE:IBM opened at $285.06 on Monday. International Business Machines Corporation has a 52 week low of $212.34 and a 52 week high of $332.46. The stock's fifty day moving average is $246.48 and its two-hundred day moving average is $270.76. The stock has a market capitalization of $267.93 billion, a price-to-earnings ratio of 25.20, a price-to-earnings-growth ratio of 2.95 and a beta of 0.67. The company has a quick ratio of 0.76, a current ratio of 0.80 and a debt-to-equity ratio of 1.75.

International Business Machines (NYSE:IBM - Get Free Report) last posted its quarterly earnings data on Wednesday, April 22nd. The technology company reported $1.91 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.81 by $0.10. International Business Machines had a return on equity of 37.23% and a net margin of 15.61%.The firm had revenue of $15.92 billion for the quarter, compared to the consensus estimate of $15.60 billion. During the same quarter in the previous year, the business earned $1.60 EPS. The company's quarterly revenue was up 9.5% compared to the same quarter last year. Research analysts anticipate that International Business Machines Corporation will post 12.4 EPS for the current year.

International Business Machines Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Friday, May 8th will be given a dividend of $1.69 per share. This is a boost from International Business Machines's previous quarterly dividend of $1.68. This represents a $6.76 annualized dividend and a dividend yield of 2.4%. The ex-dividend date of this dividend is Friday, May 8th. International Business Machines's dividend payout ratio is currently 59.77%.

About International Business Machines

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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