Connective Portfolio Management LLC Takes $3.28 Million Position in International Business Machines Corporation $IBM

Key Points

• Connective Portfolio Management LLC has acquired a $3.28 million stake in IBM, amounting to 11,170 shares, representing 7.0% of their investment portfolio and making it the firm's third-largest holding.
• IBM reported a quarterly EPS of $2.80, exceeding analysts' expectations of $2.65, alongside a revenue increase of 7.7% year-over-year, amounting to $16.98 billion.
• The company recently declared a quarterly dividend of $1.68 per share, resulting in an annualized yield of 2.6%, despite a high payout ratio of 109.09%.

Connective Portfolio Management LLC purchased a new stake in International Business Machines Corporation (NYSE:IBM - Free Report) during the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The firm purchased 11,170 shares of the technology company's stock, valued at approximately $3,278,000. International Business Machines comprises 7.0% of Connective Portfolio Management LLC's investment portfolio, making the stock its 3rd biggest holding.

A number of other institutional investors have also added to or reduced their stakes in the company. Westmount Partners LLC grew its position in International Business Machines by 0.4% during the second quarter. Westmount Partners LLC now owns 19,190 shares of the technology company's stock worth $5,657,000 after buying an additional 68 shares in the last quarter. Reyes Financial Architecture Inc. grew its position in International Business Machines by 3.5% during the second quarter. Reyes Financial Architecture Inc. now owns 3,118 shares of the technology company's stock worth $919,000 after buying an additional 104 shares in the last quarter. Czech National Bank grew its position in International Business Machines by 7.0% during the second quarter. Czech National Bank now owns 227,177 shares of the technology company's stock worth $66,967,000 after buying an additional 14,801 shares in the last quarter. MassMutual Private Wealth & Trust FSB grew its position in International Business Machines by 2.9% during the second quarter. MassMutual Private Wealth & Trust FSB now owns 9,053 shares of the technology company's stock worth $2,669,000 after buying an additional 258 shares in the last quarter. Finally, Strategic Advocates LLC grew its position in International Business Machines by 6.9% during the second quarter. Strategic Advocates LLC now owns 1,976 shares of the technology company's stock worth $582,000 after buying an additional 127 shares in the last quarter. 58.96% of the stock is owned by institutional investors and hedge funds.

International Business Machines Stock Performance

IBM stock opened at $256.29 on Tuesday. The company has a 50 day moving average price of $256.87 and a 200 day moving average price of $256.99. The company has a debt-to-equity ratio of 2.00, a current ratio of 0.91 and a quick ratio of 0.87. International Business Machines Corporation has a fifty-two week low of $203.51 and a fifty-two week high of $296.16. The stock has a market capitalization of $238.20 billion, a PE ratio of 41.61, a price-to-earnings-growth ratio of 3.90 and a beta of 0.71.

International Business Machines (NYSE:IBM - Get Free Report) last released its earnings results on Wednesday, July 23rd. The technology company reported $2.80 EPS for the quarter, topping analysts' consensus estimates of $2.65 by $0.15. International Business Machines had a net margin of 9.11% and a return on equity of 37.62%. The firm had revenue of $16.98 billion during the quarter, compared to analyst estimates of $16.58 billion. During the same quarter in the previous year, the business earned $2.43 EPS. The business's quarterly revenue was up 7.7% compared to the same quarter last year. International Business Machines has set its FY 2025 guidance at EPS. Analysts forecast that International Business Machines Corporation will post 10.78 EPS for the current year.

International Business Machines Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, September 10th. Shareholders of record on Friday, August 8th were issued a dividend of $1.68 per share. This represents a $6.72 dividend on an annualized basis and a yield of 2.6%. The ex-dividend date of this dividend was Friday, August 8th. International Business Machines's payout ratio is currently 109.09%.

Analysts Set New Price Targets

IBM has been the subject 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 Thursday, August 14th. Sanford C. Bernstein initiated coverage on shares of International Business Machines in a research note on Monday. They set a "market perform" rating for the company. BMO Capital Markets raised their price target on shares of International Business Machines from $260.00 to $300.00 and gave the stock a "market perform" rating in a research note on Friday, July 18th. Wall Street Zen upgraded shares of International Business Machines from a "hold" rating to a "buy" rating in a research note on Saturday, July 26th. Finally, The Goldman Sachs Group raised their price target on shares of International Business Machines from $270.00 to $310.00 and gave the stock a "buy" rating in a research note on Wednesday, July 2nd. One investment analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of "Hold" and a consensus target price of $270.67.

About International Business Machines

International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services worldwide. The company operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers a hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate.

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