Ethic Inc. Boosts Holdings in International Business Machines Corporation $IBM

Key Points

• Ethic Inc. increased its IBM stake by 3.6% in the fourth quarter, buying 4,385 additional shares and bringing its total to 126,162 shares valued at about $37.4 million.
• IBM beat quarterly expectations, reporting $1.91 in EPS on $15.92 billion in revenue, with sales up 9.5% year over year; the company also signaled a continued focus on AI and quantum computing growth.
• IBM raised its quarterly dividend to $1.69 per share, which works out to an annualized yield of about 2.9%, even as analysts remain cautiously optimistic with a consensus rating of Moderate Buy.

Ethic Inc. raised its holdings in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 3.6% during the fourth quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 126,162 shares of the technology company's stock after purchasing an additional 4,385 shares during the period. International Business Machines accounts for approximately 0.6% of Ethic Inc.'s investment portfolio, making the stock its 17th biggest holding. Ethic Inc.'s holdings in International Business Machines were worth $37,370,000 at the end of the most recent quarter.

Several other hedge funds and other institutional investors have also recently made changes to their positions in the business. Waverton Investment Management Ltd grew its stake in International Business Machines by 3.3% during the 3rd quarter. Waverton Investment Management Ltd now owns 993,743 shares of the technology company's stock valued at $280,439,000 after purchasing an additional 32,072 shares during the last quarter. Newbridge Financial Services Group Inc. raised its stake in shares of International Business Machines by 30.0% in the fourth quarter. Newbridge Financial Services Group Inc. now owns 13,122 shares of the technology company's stock worth $3,887,000 after purchasing an additional 3,029 shares during the last quarter. NEOS Investment Management LLC lifted its holdings in shares of International Business Machines by 51.7% during the third quarter. NEOS Investment Management LLC now owns 114,395 shares of the technology company's stock worth $32,278,000 after purchasing an additional 38,973 shares during the period. Advisors Capital Management LLC boosted its position in International Business Machines by 3.8% in the third quarter. Advisors Capital Management LLC now owns 347,155 shares of the technology company's stock valued at $97,953,000 after buying an additional 12,623 shares during the last quarter. Finally, Handelsbanken Fonder AB increased its holdings in International Business Machines by 1.9% in the 3rd quarter. Handelsbanken Fonder AB now owns 330,814 shares of the technology company's stock worth $93,342,000 after buying an additional 6,235 shares during the period. Hedge funds and other institutional investors own 58.96% of the company's stock.

International Business Machines Trading Down 0.8%

IBM stock opened at $229.39 on Friday. International Business Machines Corporation has a 52-week low of $220.72 and a 52-week high of $324.90. The company has a quick ratio of 0.76, a current ratio of 0.80 and a debt-to-equity ratio of 1.75. The firm has a market cap of $215.60 billion, a P/E ratio of 20.28, a PEG ratio of 2.40 and a beta of 0.58. The company's 50-day simple moving average is $243.05 and its 200-day simple moving average is $277.83.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings results on Wednesday, April 22nd. The technology company reported $1.91 EPS for the quarter, topping the consensus estimate of $1.81 by $0.10. The company had revenue of $15.92 billion during the quarter, compared to analyst estimates of $15.60 billion. International Business Machines had a net margin of 15.61% and a return on equity of 37.23%. The firm's revenue was up 9.5% compared to the same quarter last year. During the same quarter in the previous year, the firm earned $1.60 EPS. As a group, equities analysts forecast that International Business Machines Corporation will post 12.4 EPS 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 issued a dividend of $1.69 per share. The ex-dividend date is Friday, May 8th. This represents a $6.76 annualized dividend and a dividend yield of 2.9%. This is an increase from International Business Machines's previous quarterly dividend of $1.68. International Business Machines's payout ratio is presently 59.42%.

Key Headlines Impacting International Business Machines

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

• Positive Sentiment: IBM used its Think 2026 conference to highlight progress in artificial intelligence and quantum computing, including productivity gains from AI and signs that quantum advantage may be approaching sooner than expected. That reinforces the company’s long-term growth narrative. IBM touts AI productivity gains and quantum milestones at Think conference
• Positive Sentiment: A new report on IBM’s quantum push said the company demonstrated a major accuracy breakthrough, helping show that its quantum efforts are moving beyond theory and toward commercial relevance. IBM’s Quantum Push Gets Real with 210x Accuracy Breakthrough
• Positive Sentiment: IBM was also mentioned in broader commentary about the AI build-out and in sector coverage of AI infrastructure, which keeps the company in the conversation as investors look for “pick-and-shovel” beneficiaries of AI spending. 8 Stocks on Jim Cramer’s Mad Money Recap: IBM, Corning, and AI Rally Strength
• Neutral Sentiment: Several articles note that IBM is attracting investor and analyst attention, suggesting traders are reassessing the stock’s prospects, but these items do not add a clear new catalyst on their own. International Business Machines Corporation (IBM) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Analyst commentary remains cautiously optimistic, with Wall Street still viewing IBM as a potential long-term winner even though the stock has lagged the broader market over the past year. Are Wall Street Analysts Predicting International Business Machines Stock Will Climb or Sink?
• Negative Sentiment: Recent coverage also highlighted IBM’s sharp six-month decline and concerns that AI advances could threaten parts of its legacy business, which may be weighing on sentiment. IBM Plummets 27% in 6 Months: Should You Reassess the Stock?

Insiders Place Their Bets

In related news, Director Michael Miebach acquired 434 shares of the stock in a transaction on Wednesday, February 25th. The shares were bought at an average price of $233.33 per share, with a total value of $101,265.22. Following the completion of the purchase, the director owned 434 shares of the company's stock, valued at approximately $101,265.22. This represents a ∞ increase in their position. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. Company insiders own 0.27% of the company's stock.

Wall Street Analyst Weigh In

IBM has been the subject of a number of recent research reports. UBS Group raised shares of International Business Machines from a "sell" rating to a "neutral" rating and set a $236.00 price target for the company in a research report on Wednesday, February 25th. Bank of America increased their price objective on shares of International Business Machines from $315.00 to $335.00 and gave the stock a "buy" rating in a research note on Tuesday, January 13th. Jefferies Financial Group decreased their target price on shares of International Business Machines from $370.00 to $320.00 and set a "buy" rating for the company in a research report on Monday, April 20th. Citigroup initiated coverage on International Business Machines in a research report on Friday, April 10th. They set a "buy" rating and a $285.00 price target on the stock. Finally, Royal Bank Of Canada reduced their price objective on International Business Machines from $330.00 to $300.00 and set an "outperform" rating for the company in a research note on Wednesday. One investment analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and seven have assigned a Hold rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $294.41.

International Business Machines Company 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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