First National Trust Co Sells 7,424 Shares of International Business Machines Corporation $IBM

Key Points

• First National Trust Co. reduced its IBM stake by 16.6% in the second quarter, selling 7,424 shares and retaining 37,249 shares valued at approximately $10.5 million. Institutional investors collectively own 58.96% of IBM.
• Analyst sentiment remains broadly positive, with a “Moderate Buy” consensus and an average price target of $265.40, although individual targets range from $175 to $270 and Morgan Stanley downgraded the stock to “equal weight.”
• IBM’s latest quarterly revenue of $17.16 billion missed expectations despite in-line EPS of $2.93; the company also declared a quarterly dividend of $1.69 per share, representing a 2.9% yield.

First National Trust Co trimmed its stake in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 16.6% in the 2nd quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 37,249 shares of the technology company's stock after selling 7,424 shares during the period. First National Trust Co's holdings in International Business Machines were worth $10,475,000 as of its most recent filing with the Securities & Exchange Commission.

Other hedge funds and other institutional investors also recently added to or reduced their stakes in the company. Norges Bank purchased a new stake in International Business Machines during the 4th quarter valued at $2,446,429,000. Capital World Investors lifted its holdings in shares of International Business Machines by 29.2% during the 4th 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 period. Ascentis Wealth Management LLC boosted its stake in shares of International Business Machines by 27,169.6% in the 2nd quarter. Ascentis Wealth Management LLC now owns 3,224,635 shares of the technology company's stock worth $906,800,000 after buying an additional 3,212,810 shares during the last quarter. Price T Rowe Associates Inc. MD grew its holdings in shares of International Business Machines by 83.4% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 5,617,117 shares of the technology company's stock worth $1,663,847,000 after acquiring an additional 2,553,552 shares during the period. Finally, Corient Private Wealth LLC grew its holdings in shares of International Business Machines by 359.6% in the fourth quarter. Corient Private Wealth LLC now owns 1,896,675 shares of the technology company's stock worth $561,814,000 after acquiring an additional 1,484,026 shares during the period. Institutional investors own 58.96% of the company's stock.

Analysts Set New Price Targets

Several brokerages have issued reports on IBM. HSBC set a $175.00 target price on International Business Machines and gave the stock a "reduce" rating in a research report on Thursday, July 16th. Weiss Ratings cut shares of International Business Machines from a "buy (b-)" rating to a "hold (c+)" rating in a research note on Wednesday, June 24th. The Goldman Sachs Group set a $270.00 price objective on shares of International Business Machines in a report on Thursday, July 23rd. Morgan Stanley cut their target price on shares of International Business Machines from $293.00 to $190.00 and set an "equal weight" rating for the company in a research report on Thursday, July 23rd. Finally, Royal Bank Of Canada reaffirmed an "outperform" rating and set a $270.00 target price on shares of International Business Machines in a report on Tuesday, July 21st. Sixteen research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, International Business Machines currently has an average rating of "Moderate Buy" and a consensus target price of $265.40.

Insider Buying and Selling

In other International Business Machines news, SVP Robert David Thomas sold 25,000 shares of the firm's stock in a transaction that occurred on Wednesday, August 26th. The shares were sold at an average price of $230.32, for a total transaction of $5,758,000.00. Following the sale, the senior vice president owned 47,800 shares in the company, valued at approximately $11,009,296. This trade represents a 34.34% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Insiders own 0.27% of the company's stock.

More International Business Machines News

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 Stock Performance

NYSE:IBM opened at $235.78 on Friday. The stock has a 50-day simple moving average of $244.57 and a two-hundred day simple moving average of $248.65. International Business Machines Corporation has a 52-week low of $199.19 and a 52-week high of $332.46. 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 firm has a market capitalization of $222.14 billion, a PE ratio of 20.92, a P/E/G ratio of 2.31 and a beta of 0.70.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings results on Wednesday, July 22nd. The technology company reported $2.93 EPS for the quarter, hitting analysts' consensus estimates of $2.93. International Business Machines had a return on equity of 35.65% and a net margin of 15.52%.The business had revenue of $17.16 billion during the quarter, compared to analysts' expectations of $17.46 billion. During the same quarter in the prior year, the business posted $2.80 earnings per share. The business's quarterly revenue was up 1.1% on a year-over-year basis. Analysts forecast that International Business Machines Corporation will post 12.33 EPS for the current year.

International Business Machines Dividend Announcement

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

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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