Houlihan Financial Resource Group Ltd. Acquires 2,122 Shares of International Business Machines Corporation $IBM

Key Points

• Houlihan Financial Resource Group boosted its IBM stake by 166.2% in the fourth quarter, buying 2,122 additional shares and bringing its total to 3,399 shares worth about $1.02 million.
• IBM beat quarterly expectations, reporting EPS of $1.91 versus $1.81 expected and revenue of $15.92 billion, up 9.5% year over year.
• The company raised its quarterly dividend to $1.69 per share, and analysts currently rate IBM a Moderate Buy with an average price target of $294.41.

Houlihan Financial Resource Group Ltd. lifted its holdings in International Business Machines Corporation (NYSE:IBM - Free Report) by 166.2% in the fourth quarter, according to its most recent disclosure with the Securities & Exchange Commission. The fund owned 3,399 shares of the technology company's stock after buying an additional 2,122 shares during the quarter. Houlihan Financial Resource Group Ltd.'s holdings in International Business Machines were worth $1,021,000 at the end of the most recent quarter.

Other institutional investors have also made changes to their positions in the company. Vanguard Group Inc. increased its position in International Business Machines by 1.5% in the fourth quarter. Vanguard Group Inc. now owns 97,216,131 shares of the technology company's stock worth $28,796,390,000 after purchasing an additional 1,439,824 shares during the period. Geode Capital Management LLC increased its position in International Business Machines by 1.5% in the fourth quarter. Geode Capital Management LLC now owns 22,605,083 shares of the technology company's stock worth $6,679,105,000 after purchasing an additional 336,069 shares during the period. Capital World Investors increased its position in International Business Machines by 13.9% in the third quarter. Capital World Investors now owns 17,045,156 shares of the technology company's stock worth $4,809,461,000 after purchasing an additional 2,077,506 shares during the period. Legal & General Group Plc increased its position in International Business Machines by 2.5% in the third quarter. Legal & General Group Plc now owns 7,302,722 shares of the technology company's stock worth $2,060,536,000 after purchasing an additional 176,219 shares during the period. Finally, Amundi increased its position in International Business Machines by 17.9% in the third quarter. Amundi now owns 4,777,516 shares of the technology company's stock worth $1,382,695,000 after purchasing an additional 725,191 shares during the period. 58.96% of the stock is owned by institutional investors.

International Business Machines Price Performance

Shares of IBM opened at $264.25 on Friday. The company has a current ratio of 0.80, a quick ratio of 0.76 and a debt-to-equity ratio of 1.75. International Business Machines Corporation has a 1 year low of $212.34 and a 1 year high of $324.90. The stock has a market cap of $248.36 billion, a P/E ratio of 23.36, a price-to-earnings-growth ratio of 2.64 and a beta of 0.58. The stock's 50-day moving average price is $239.22 and its two-hundred day moving average price is $270.79.

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

International Business Machines Increases Dividend

The business also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Friday, May 8th will be issued a dividend of $1.69 per share. This represents a $6.76 dividend on an annualized basis and a yield of 2.6%. This is an increase from International Business Machines's previous quarterly dividend of $1.68. The ex-dividend date is Friday, May 8th. International Business Machines's dividend payout ratio (DPR) is 59.77%.

Wall Street Analysts Forecast Growth

A number of brokerages recently commented on IBM. Jefferies Financial Group lowered their price objective on 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. DZ Bank upgraded International Business Machines from a "hold" rating to a "buy" rating and set a $295.00 price objective for the company in a research report on Friday, April 24th. Wedbush reiterated an "outperform" rating on shares of International Business Machines in a research report on Thursday, May 21st. BMO Capital Markets lowered their price objective on International Business Machines from $290.00 to $270.00 and set a "market perform" rating for the company in a research report on Thursday, April 23rd. Finally, Morgan Stanley lifted their price objective on International Business Machines from $215.00 to $225.00 and gave the stock an "equal weight" rating in a research report on Thursday, April 23rd. 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. According to data from MarketBeat.com, the company currently has a consensus rating of "Moderate Buy" and an average price target of $294.41.

International Business Machines News Roundup

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

• Positive Sentiment: IBM announced it will invest more than $10 billion in quantum computing over the next five years, aiming to build a large-scale, error-corrected quantum computer by 2029. Investors appear to be betting this could strengthen IBM’s position in a high-growth, strategically important technology area. IBM to invest $10 billion for large-scale quantum computer by 2029
• Positive Sentiment: The company also committed $5 billion to Project Lightwell, a Red Hat-backed initiative to improve open-source software security with AI tools and more than 20,000 engineers. That push could expand IBM’s cybersecurity and enterprise software footprint while creating a new revenue opportunity. IBM commits $5 billion to secure open-source software
• Positive Sentiment: Commentary from analysts and media outlets says the spending plans may help “future-proof” IBM by positioning it more aggressively in AI, quantum computing, and cybersecurity, which has added to bullish sentiment around the stock. IBM shares rise after unveiling $15B cybersecurity and quantum investment plan
• Neutral Sentiment: IBM also reported a legal development involving older former HR workers’ age discrimination claims, but this appears less likely to move the stock materially than the strategic investment announcements. IBM Ditches Laid-Off Older HR Workers’ Age Discrimination Claims

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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