Calamos Advisors LLC Trims Holdings in International Business Machines Corporation $IBM

Key Points

• Calamos Advisors reduced its IBM position by 8.4% in the second quarter, selling 10,342 shares and retaining 113,224 shares valued at approximately $31.84 million.
• Institutional investors own 58.96% of IBM, while SVP Robert David Thomas sold 25,000 shares for about $5.76 million, reducing his stake by 34.34%.
• IBM matched quarterly earnings expectations at $2.93 per share, but revenue of $17.16 billion fell short of estimates. The company declared a $1.69 quarterly dividend, equivalent to a 2.9% yield, and analysts maintain a “Moderate Buy” consensus with a $265.40 average price target.

Calamos Advisors LLC lessened its holdings in International Business Machines Corporation (NYSE:IBM - Free Report) by 8.4% in the second quarter, according to its most recent filing with the SEC. The institutional investor owned 113,224 shares of the technology company's stock after selling 10,342 shares during the period. Calamos Advisors LLC's holdings in International Business Machines were worth $31,840,000 as of its most recent SEC filing.

Other institutional investors and hedge funds have also bought and sold shares of the company. State Street Corp lifted its holdings in International Business Machines by 1.0% in the 4th quarter. State Street Corp now owns 54,996,293 shares of the technology company's stock worth $16,290,452,000 after purchasing an additional 518,321 shares in the last quarter. Geode Capital Management LLC grew its holdings in International Business Machines by 1.5% during the 4th quarter. Geode Capital Management LLC now owns 22,605,083 shares of the technology company's stock valued at $6,679,105,000 after buying an additional 336,069 shares in the last quarter. Capital World Investors raised its position in shares of International Business Machines by 29.2% during the fourth quarter. Capital World Investors now owns 22,021,912 shares of the technology company's stock valued at $6,523,720,000 after buying an additional 4,976,756 shares during the last quarter. Bank of America Corp DE lifted its holdings in shares of International Business Machines by 7.0% in the first quarter. Bank of America Corp DE now owns 16,063,653 shares of the technology company's stock worth $3,893,669,000 after buying an additional 1,049,602 shares in the last quarter. Finally, Norges Bank purchased a new position in shares of International Business Machines in the fourth quarter worth $2,446,429,000. 58.96% of the stock is owned by institutional investors.

Insider Transactions at International Business Machines

In related news, SVP Robert David Thomas sold 25,000 shares of the company'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 directly owned 47,800 shares of the company's stock, valued at $11,009,296. This represents a 34.34% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Insiders own 0.27% of the company's stock.

International Business Machines Stock Up 0.1%

Shares of NYSE IBM opened at $235.78 on Monday. The company has a debt-to-equity ratio of 1.63, a quick ratio of 0.74 and a current ratio of 0.79. The stock has a 50 day moving average price of $244.57 and a 200 day moving average price of $248.32. The firm has a market capitalization of $222.14 billion, a price-to-earnings ratio of 20.92, a PEG ratio of 2.31 and a beta of 0.70. 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 issued its quarterly earnings data on Wednesday, July 22nd. The technology company reported $2.93 EPS for the quarter, hitting analysts' consensus estimates of $2.93. The company had revenue of $17.16 billion during 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%. International Business Machines's revenue for the quarter was up 1.1% compared to the same quarter last year. During the same quarter in the previous year, the firm posted $2.80 earnings per share. Sell-side analysts expect that International Business Machines Corporation will post 12.33 earnings per share for the current year.

International Business Machines Dividend Announcement

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

Wall Street Analysts Forecast Growth

Several brokerages have commented on IBM. Wolfe Research cut shares of International Business Machines to a "peer perform" rating in a research note on Tuesday, June 23rd. Roth Capital reissued a "buy" rating on shares of International Business Machines in a research note on Wednesday, June 3rd. Susquehanna cut their price target on International Business Machines from $303.00 to $225.00 and set a "neutral" rating for the company in a report on Friday, July 24th. Citigroup reduced their price objective on International Business Machines from $255.00 to $245.00 and set a "buy" rating on the stock in a research note on Friday, July 24th. Finally, Weiss Ratings cut International Business Machines from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday, June 24th. Sixteen research analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. According to MarketBeat, the company has an average rating of "Moderate Buy" and an average price target of $265.40.

International Business Machines News Roundup

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

• Positive Sentiment: IBM’s reported dual-architecture 2-nanometer mainframe processor, designed to run IBM and Arm workloads on the same core, strengthens its infrastructure strategy and could broaden demand among enterprise customers. The company also advanced modular cryogenic quantum systems and applied AI experiences, reinforcing its effort to connect mainframe, AI and quantum technologies. Is IBM’s Dual-Architecture 2nm Mainframe Reshaping The Investment Case for IBM?
• Positive Sentiment: Quantum computing’s potential to undermine current encryption is expected to drive post-quantum cybersecurity spending through 2030. IBM is identified as one of the companies positioned to benefit from that long-term demand. Quantum Computing Is Raising the Stakes for Cybersecurity: 5 Stocks to Watch
• Positive Sentiment: Recent commentary remains constructive on IBM’s valuation and income profile, suggesting investors may be willing to hold the stock while waiting for stronger growth from AI and infrastructure investments. IBM: Get Paid To Wait For Growth
• Neutral Sentiment: IBM’s US Open fan activations and sports-focused AI research increase visibility for its AI and cloud capabilities, but the marketing initiatives are unlikely to materially change near-term financial results. IBM Brings AI-Powered US Open Fan Experience Back to Madison Square Park
• Negative Sentiment: A securities law firm announced an investigation into whether IBM may have misled investors following a significant stock decline. The notice is an investor solicitation and provides no established finding of misconduct, but it adds legal and reputational uncertainty. Investor Notice: IBM Investigated for Potentially Misleading Investors
• Negative Sentiment: IBM’s latest quarterly revenue came in below analysts’ expectations, tempering enthusiasm around its growth outlook even though earnings per share matched consensus. This keeps execution and monetization of its AI initiatives as key investor concerns.

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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