International Business Machines Corporation $IBM Shares Acquired by King Luther Capital Management Corp

Key Points

• King Luther Capital Management increased its IBM stake by 34.7% in the fourth quarter, adding 7,864 shares and bringing its total holdings to 30,546 shares worth about $9.0 million.
• IBM’s latest quarterly results topped expectations, with EPS of $1.91 versus $1.81 expected and revenue of $15.92 billion, up 9.5% from a year earlier.
• The company also raised its quarterly dividend to $1.69 per share, while analysts remain broadly positive with a consensus rating of Moderate Buy and an average target price of $294.41.

King Luther Capital Management Corp lifted its position in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 34.7% during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm owned 30,546 shares of the technology company's stock after acquiring an additional 7,864 shares during the quarter. King Luther Capital Management Corp's holdings in International Business Machines were worth $9,048,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds have also made changes to their positions in IBM. Capital World Investors boosted its holdings in International Business Machines by 13.9% during the third quarter. Capital World Investors now owns 17,045,156 shares of the technology company's stock worth $4,809,461,000 after buying an additional 2,077,506 shares in the last quarter. Vanguard Group Inc. grew its position in International Business Machines by 1.5% during the fourth quarter. Vanguard Group Inc. now owns 97,216,131 shares of the technology company's stock worth $28,796,390,000 after buying an additional 1,439,824 shares during the period. First Trust Advisors LP grew its position in International Business Machines by 39.6% during the third quarter. First Trust Advisors LP now owns 3,052,880 shares of the technology company's stock worth $861,401,000 after buying an additional 865,253 shares during the period. Franklin Resources Inc. grew its position in International Business Machines by 64.7% during the third quarter. Franklin Resources Inc. now owns 2,162,741 shares of the technology company's stock worth $610,239,000 after buying an additional 849,500 shares during the period. Finally, Amundi grew its position in International Business Machines by 17.9% during the third quarter. Amundi now owns 4,777,516 shares of the technology company's stock worth $1,382,695,000 after buying an additional 725,191 shares during the period. 58.96% of the stock is currently owned by institutional investors and hedge funds.

International Business Machines Stock Up 1.9%

Shares of NYSE IBM opened at $255.43 on Thursday. International Business Machines Corporation has a 12-month low of $212.34 and a 12-month high of $324.90. The company has a market capitalization of $240.08 billion, a PE ratio of 22.58, a price-to-earnings-growth ratio of 2.60 and a beta of 0.58. The company has a debt-to-equity ratio of 1.75, a current ratio of 0.80 and a quick ratio of 0.76. The firm's 50-day moving average is $239.06 and its two-hundred day moving average is $271.09.

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

International Business Machines Increases Dividend

The firm also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Friday, May 8th will be issued a $1.69 dividend. This represents a $6.76 annualized dividend and a dividend yield of 2.6%. This is a boost from International Business Machines's previous quarterly dividend of $1.68. The ex-dividend date of this dividend is Friday, May 8th. International Business Machines's payout ratio is currently 59.77%.

Analyst Ratings Changes

IBM has been the topic of several recent analyst reports. Stifel Nicolaus set a $290.00 target price on shares of International Business Machines in a research report on Friday, May 22nd. Citigroup initiated coverage on shares of International Business Machines in a research report on Friday, April 10th. They set a "buy" rating and a $285.00 target price on the stock. HSBC upgraded shares of International Business Machines from a "reduce" rating to a "hold" rating and upped their target price for the stock from $218.00 to $231.00 in a research report on Tuesday, April 28th. UBS Group upgraded shares of International Business Machines from a "sell" rating to a "neutral" rating and set a $236.00 target price on the stock in a research report on Wednesday, February 25th. Finally, BMO Capital Markets lowered their target price on shares of International Business Machines from $290.00 to $270.00 and set a "market perform" rating on the stock in a research report on Thursday, April 23rd. One 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. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $294.41.

Trending Headlines about International Business Machines

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

• Positive Sentiment: IBM announced a five-year global technology modernization agreement with Abertis, a new services deal that should support consulting and infrastructure revenue. IBM and Abertis are Driving the Future of Mobility with a Global Technology Modernization Agreement
• Positive Sentiment: IBM is benefiting from renewed enthusiasm around quantum computing after the U.S. Department of Commerce announced approximately $2.0 billion in planned funding for nine quantum companies, with IBM seen as a key beneficiary because of its quantum chip and foundry partnerships. Trump’s $2 Billion Quantum Bet Lifts IBM, D‑Wave, and Rigetti — and Sends Quantum ETF QTUM Toward $5 Billion in Assets
• Positive Sentiment: One analyst reiterated a Buy rating and raised its price target to $280, citing strong first-quarter results, robust free cash flow, and management’s maintained FY2026 guidance for more than 5% revenue growth and about $1 billion in annual free-cash-flow increases. IBM: Why AI Is An Opportunity Not A Threat, Raising My Price Target
• Neutral Sentiment: Several recent articles highlight IBM as a major name in the fast-growing quantum-computing ETF and infrastructure theme, which reinforces investor interest but does not add a new company-specific catalyst on its own. QTUM ETF Crosses $5 Billion Even As IBM, Rigetti, IonQ, D-Wave Cool Off
• Negative Sentiment: The broader quantum trade appears to be cooling after last week’s surge, which could temper near-term momentum in IBM shares even as the longer-term story stays constructive. QTUM ETF Crosses $5 Billion Even As IBM, Rigetti, IonQ, D-Wave Cool Off

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.

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