International Business Machines Corporation $IBM Shares Purchased by MBL Wealth LLC

Key Points

• MBL Wealth increased its IBM stake by 29.6% in the third quarter to 9,927 shares valued at approximately $2.18 million. Institutional investors collectively own about 58.96% of IBM’s outstanding stock.
• IBM reported quarterly earnings of $2.95 per share on $17.1 billion in revenue, beating analyst expectations and marking 4.7% year-over-year revenue growth. The company also declared a quarterly dividend of $1.69 per share, representing a 2.7% yield.
• Analysts maintain a “Moderate Buy” consensus with an average price target of $266.12, although insider Robert Thomas sold 25,000 shares and some analysts remain cautious about IBM’s valuation and growth outlook.

MBL Wealth LLC boosted its stake in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 29.6% during the third quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 9,927 shares of the technology company's stock after purchasing an additional 2,265 shares during the period. MBL Wealth LLC's holdings in International Business Machines were worth $2,183,000 at the end of the most recent reporting period.

Other institutional investors also recently made changes to their positions in the company. OLD Second National Bank of Aurora increased its position in shares of International Business Machines by 55.5% in the third quarter. OLD Second National Bank of Aurora now owns 1,477 shares of the technology company's stock worth $325,000 after acquiring an additional 527 shares in the last quarter. Insight Advisors LLC PA lifted its holdings in International Business Machines by 24.7% in the 3rd quarter. Insight Advisors LLC PA now owns 2,771 shares of the technology company's stock worth $609,000 after buying an additional 549 shares in the last quarter. Compass Wealth Management LLC lifted its holdings in International Business Machines by 35.3% in the 3rd quarter. Compass Wealth Management LLC now owns 1,130 shares of the technology company's stock worth $249,000 after buying an additional 295 shares in the last quarter. Robinson Smith Wealth Advisors LLC boosted its position in International Business Machines by 23.9% in the 3rd quarter. Robinson Smith Wealth Advisors LLC now owns 1,294 shares of the technology company's stock valued at $285,000 after buying an additional 250 shares during the last quarter. Finally, Royal Fund Management LLC boosted its position in International Business Machines by 6.5% in the 3rd quarter. Royal Fund Management LLC now owns 47,407 shares of the technology company's stock valued at $10,426,000 after buying an additional 2,897 shares during the last quarter. 58.96% of the stock is owned by hedge funds and other institutional investors.

Insider Buying and Selling

In other International Business Machines news, SVP Robert Thomas sold 25,000 shares of the business's stock in a transaction dated 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 directly owned 47,800 shares in the company, valued at approximately $11,009,296. The trade was a 34.34% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders own 0.27% of the company's stock.

International Business Machines Stock Performance

Shares of NYSE IBM opened at $252.42 on Friday. The company has a current ratio of 0.79, a quick ratio of 0.74 and a debt-to-equity ratio of 1.63. The stock has a 50 day simple moving average of $232.68 and a 200-day simple moving average of $243.63. The company has a market cap of $237.81 billion, a PE ratio of 22.40, a P/E/G ratio of 2.42 and a beta of 0.73. International Business Machines Corporation has a 12-month low of $199.19 and a 12-month high of $332.46.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings results on Wednesday, October 21st. The technology company reported $2.95 EPS for the quarter, beating analysts' consensus estimates of $2.85 by $0.10. The company had revenue of $17.10 billion for the quarter, compared to analyst estimates of $16.82 billion. International Business Machines had a return on equity of 35.08% and a net margin of 15.99%. The company's quarterly revenue was up 4.7% compared to the same quarter last year. During the same period last year, the company earned $2.65 earnings per share. On average, equities research analysts forecast that International Business Machines Corporation will post 12.34 EPS for the current year.

International Business Machines Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, December 10th. Shareholders of record on Tuesday, November 10th will be paid a dividend of $1.69 per share. The ex-dividend date of this dividend is Tuesday, November 10th. This represents a $6.76 annualized dividend and a yield of 2.7%. International Business Machines's dividend payout ratio (DPR) is presently 59.98%.

Wall Street Analysts Forecast Growth

IBM has been the subject of several recent analyst reports. Susquehanna raised their target price on International Business Machines from $235.00 to $256.00 and gave the company a "neutral" rating in a research note on Wednesday. Craig Hallum initiated coverage on International Business Machines in a report on Wednesday, August 19th. They issued a "buy" rating for the company. Morgan Stanley raised their price objective on International Business Machines from $238.00 to $240.00 and gave the company an "equal weight" rating in a research note on Thursday. JPMorgan Chase & Co. upped their target price on International Business Machines from $250.00 to $269.00 and gave the company an "overweight" rating in a research report on Thursday. Finally, Sanford C. Bernstein decreased their price objective on shares of International Business Machines from $280.00 to $230.00 and set a "market perform" rating for the company in a report on Thursday, July 23rd. Twenty investment analysts have rated the stock with a Buy rating, twelve have given a Hold rating and two have assigned a Sell rating to the company's stock. According to MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and an average target price of $266.12.

Key International Business Machines News

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

• Positive Sentiment: IBM delivered a strong third quarter. Revenue increased 4.7% year over year to $17.1 billion, while adjusted earnings of $2.95 per share exceeded expectations near $2.85. Software revenue rose 8% to $7.8 billion, Infrastructure revenue increased 4%, and delayed contracts returned. Reuters IBM earnings article
• Positive Sentiment: Cash generation and margins improved. IBM reported approximately $3.0 billion in free cash flow for the quarter and raised its full-year free-cash-flow outlook, expecting growth of more than $1 billion from the prior year. The board also declared a quarterly dividend of $1.69 per share. IBM Q3 revenue and cash flow article
• Positive Sentiment: Analysts raised targets after the report. JPMorgan lifted its target to $269, Stifel raised its target to $260 and RBC set a $270 target while reaffirming an outperform rating, signaling confidence that software, Red Hat and infrastructure demand can support further gains.
• Neutral Sentiment: Investors are looking for proof that the rebound can continue. Management said second-quarter softness reflected timing rather than weak demand, but the market remains focused on whether software growth—partly helped by the Confluent acquisition—and Red Hat momentum will persist in the fourth quarter. Fool IBM earnings analysis
• Negative Sentiment: Guidance and AI commentary weighed on sentiment. IBM maintained its full-year revenue-growth outlook rather than raising it, and CEO Arvind Krishna said lower-cost open AI models can deliver much of the performance of frontier models. Investors interpreted that view as a potential constraint on premium AI spending and IBM’s longer-term growth opportunity. Reuters IBM stock reaction article
• Negative Sentiment: Valuation remains a concern. Commentary from Seeking Alpha and Zacks characterized IBM as a high-margin company with comparatively modest growth, consulting challenges, meaningful debt and a premium valuation. That combination limits the margin for execution mistakes and helps explain why the stock has not sustained its post-earnings advance. Seeking Alpha IBM valuation article

International Business Machines Profile

International Business Machines Corporation NYSE: IBM, commonly known as IBM, is a global technology and consulting company that helps organizations modernize their information technology and business operations. Its offerings include hybrid cloud solutions, artificial intelligence software and services, enterprise software, IT infrastructure, cybersecurity, data analytics, and technology consulting.

IBM provides products and services to businesses, governments, and other institutions across industries and regions worldwide.

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