Churchill Financial Advisors LLC Buys New Stake in International Business Machines Corporation $IBM

Key Points

• Churchill Financial Advisors disclosed a new fourth-quarter stake in IBM, buying 25,309 shares valued at about $7.5 million. The position makes IBM its 8th largest holding and about 2.3% of the portfolio.
• IBM is drawing attention for its quantum computing push, including a planned U.S. quantum foundry backed by proposed federal CHIPS funding. News of the project has been viewed as a major catalyst for the stock and a signal of IBM’s move into higher-growth technology areas.
• The company recently beat quarterly expectations, reporting $1.91 EPS on $15.92 billion in revenue, and it also raised its quarterly dividend to $1.69 per share. Analysts currently rate the stock a consensus Moderate Buy with a target price around $294.41.

Churchill Financial Advisors LLC bought a new stake in International Business Machines Corporation (NYSE:IBM - Free Report) during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The fund bought 25,309 shares of the technology company's stock, valued at approximately $7,497,000. International Business Machines accounts for about 2.3% of Churchill Financial Advisors LLC's portfolio, making the stock its 8th biggest position.

A number of other institutional investors and hedge funds have also added to or reduced their stakes in IBM. Family CFO Inc bought a new stake in International Business Machines in the fourth quarter valued at about $25,000. Joseph Group Capital Management bought a new stake in International Business Machines in the fourth quarter valued at about $28,000. SWAN Capital LLC bought a new stake in International Business Machines in the third quarter valued at about $28,000. DecisionPoint Financial LLC increased its stake in International Business Machines by 1,666.7% in the fourth quarter. DecisionPoint Financial LLC now owns 106 shares of the technology company's stock valued at $31,000 after acquiring an additional 100 shares during the period. Finally, LFA Lugano Financial Advisors SA bought a new stake in International Business Machines in the fourth quarter valued at about $31,000. Institutional investors own 58.96% of the company's stock.

Insider Activity

In related news, Director Michael Miebach bought 434 shares of International Business Machines stock in a transaction dated Wednesday, February 25th. The shares were bought at an average cost of $233.33 per share, for a total transaction of $101,265.22. Following the completion of the transaction, the director owned 434 shares of the company's stock, valued at approximately $101,265.22. This trade represents a ∞ increase in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through the SEC website. Insiders own 0.27% of the company's stock.

International Business Machines News Roundup

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

• Positive Sentiment: IBM and the U.S. Commerce Department announced a plan to launch America’s first purpose-built quantum foundry, with IBM set to receive the largest share of federal support and contribute matching capital. IBM and U.S. Department of Commerce Announce America's First Purpose-Built Quantum Foundry, Supported by Proposed $1 Billion CHIPS Award
• Positive Sentiment: Analysts and media reports say the quantum funding package is a major new catalyst for IBM, helping drive strong share-price momentum and lifting sentiment around the stock’s long-term growth prospects. IBM shares extend rally as Wedbush calls US quantum investment a "new catalyst"
• Positive Sentiment: IBM’s push into quantum computing and related hot tech segments is being viewed as evidence the company is expanding beyond legacy businesses into higher-growth opportunities. Why IBM Stock Was Rocking it This Week
• Neutral Sentiment: Some coverage highlights that IBM’s valuation, debt load, and execution risk will matter as the company commits capital to the quantum foundry project. IBM’s US$1b Anderon Quantum Foundry Puts Valuation And Debt In Focus

Analyst Ratings Changes

IBM has been the topic of a number of analyst reports. Erste Group Bank cut shares of International Business Machines from a "buy" rating to a "hold" rating in a research note on Wednesday, February 18th. Morgan Stanley upped their target price on shares of International Business Machines from $215.00 to $225.00 and gave the company an "equal weight" rating in a research note on Thursday, April 23rd. Citigroup initiated coverage on shares of International Business Machines in a research note on Friday, April 10th. They set a "buy" rating and a $285.00 price objective on the stock. Oppenheimer decreased their price objective on shares of International Business Machines from $380.00 to $320.00 and set an "outperform" rating on the stock in a research note 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 price objective on the stock in a research note on Friday, April 24th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have given a Hold rating to the company's stock. According to MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus target price of $294.41.

International Business Machines Price Performance

Shares of International Business Machines stock opened at $253.88 on Monday. The company has a current ratio of 0.80, a quick ratio of 0.76 and a debt-to-equity ratio of 1.75. The stock has a market capitalization of $238.62 billion, a price-to-earnings ratio of 22.45, a P/E/G ratio of 2.63 and a beta of 0.58. International Business Machines Corporation has a 1-year low of $212.34 and a 1-year high of $324.90. The firm's 50-day moving average price is $238.70 and its two-hundred day moving average price is $272.21.

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

International Business Machines Increases Dividend

The business also recently announced 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. The ex-dividend date is Friday, May 8th. This is a positive change from International Business Machines's previous quarterly dividend of $1.68. This represents a $6.76 dividend on an annualized basis and a dividend yield of 2.7%. International Business Machines's dividend payout ratio (DPR) is currently 59.77%.

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.

Want to see what other hedge funds are holding IBM? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for International Business Machines Corporation (NYSE:IBM - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.