International Business Machines Corporation $IBM Shares Sold by Legal & General Group Plc

Key Points

• Legal & General Group Plc reduced its IBM stake by 2.8% in the fourth quarter, selling 201,227 shares and leaving it with 7.1 million shares valued at about $2.1 billion.
• IBM beat quarterly expectations with earnings of $1.91 per share on revenue of $15.92 billion, both above analyst estimates, while revenue rose 9.5% year over year.
• The company raised its dividend to $1.69 per share for the quarter, or $6.76 annually, for a yield of 2.7%, as analysts maintained a Moderate Buy consensus with a $294.41 average target price.

Legal & General Group Plc lessened its stake in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 2.8% in the 4th quarter, according to the company in its most recent filing with the Securities & Exchange Commission. The fund owned 7,101,495 shares of the technology company's stock after selling 201,227 shares during the period. International Business Machines accounts for approximately 0.5% of Legal & General Group Plc's investment portfolio, making the stock its 28th biggest position. Legal & General Group Plc owned approximately 0.76% of International Business Machines worth $2,103,534,000 at the end of the most recent reporting period.

A number of other hedge funds also recently bought and sold shares of IBM. Brighton Jones LLC raised its holdings in International Business Machines by 12.4% in the 4th quarter. Brighton Jones LLC now owns 21,011 shares of the technology company's stock valued at $4,619,000 after acquiring an additional 2,323 shares during the last quarter. Sivia Capital Partners LLC raised its holdings in International Business Machines by 10.6% in the 2nd quarter. Sivia Capital Partners LLC now owns 1,938 shares of the technology company's stock valued at $571,000 after acquiring an additional 186 shares during the last quarter. Jump Financial LLC acquired a new stake in International Business Machines in the 2nd quarter valued at about $211,000. Ieq Capital LLC raised its holdings in International Business Machines by 2.2% in the 2nd quarter. Ieq Capital LLC now owns 38,617 shares of the technology company's stock valued at $11,383,000 after acquiring an additional 843 shares during the last quarter. Finally, Vivaldi Capital Management LP raised its holdings in International Business Machines by 11.6% in the 2nd quarter. Vivaldi Capital Management LP now owns 1,017 shares of the technology company's stock valued at $300,000 after acquiring an additional 106 shares during the last quarter. Institutional investors and hedge funds own 58.96% of the company's stock.

International Business Machines Stock Up 0.0%

Shares of NYSE IBM opened at $253.88 on Monday. The company has a 50 day simple moving average of $238.70 and a 200-day simple moving average of $272.21. The company has a market capitalization of $238.62 billion, a P/E ratio of 22.45, a P/E/G ratio of 2.63 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. International Business Machines Corporation has a 1 year low of $212.34 and a 1 year high of $324.90.

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, topping analysts' consensus estimates of $1.81 by $0.10. The business had revenue of $15.92 billion during the quarter, compared to the consensus estimate of $15.60 billion. International Business Machines had a net margin of 15.61% and a return on equity of 37.23%. The business's revenue was up 9.5% compared to the same quarter last year. During the same quarter last year, the firm earned $1.60 EPS. On average, equities research analysts predict that International Business Machines Corporation will post 12.4 earnings per share for the current year.

International Business Machines Increases Dividend

The company also recently declared 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 dividend on an annualized basis and a dividend yield of 2.7%. This is an increase from International Business Machines's previous quarterly dividend of $1.68. International Business Machines's payout ratio is 59.77%.

Wall Street Analysts Forecast Growth

IBM has been the subject of a number of recent research reports. BMO Capital Markets cut their price objective on shares of International Business Machines from $290.00 to $270.00 and set a "market perform" rating for the company in a report on Thursday, April 23rd. Oppenheimer cut their price objective on shares of International Business Machines from $380.00 to $320.00 and set an "outperform" rating for the company in a report on Thursday, April 16th. Stifel Nicolaus set a $290.00 price objective on shares of International Business Machines in a report on Friday. JPMorgan Chase & Co. cut their price objective on shares of International Business Machines from $317.00 to $283.00 and set a "neutral" rating for the company in a report on Wednesday, March 18th. Finally, Erste Group Bank cut shares of International Business Machines from a "buy" rating to a "hold" rating in a research note on Wednesday, February 18th. One investment analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and eight have assigned a Hold rating to the company. According to MarketBeat, International Business Machines has a consensus rating of "Moderate Buy" and an average target price of $294.41.

More International Business Machines News

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

• Positive Sentiment: IBM and the U.S. Commerce Department announced a plan to launch America’s first purpose-built quantum foundry, with IBM set to receive the largest share of federal support and contribute matching capital. IBM and U.S. Department of Commerce Announce America's First Purpose-Built Quantum Foundry, Supported by Proposed $1 Billion CHIPS Award
• Positive Sentiment: Analysts and media reports say the quantum funding package is a major new catalyst for IBM, helping drive strong share-price momentum and lifting sentiment around the stock’s long-term growth prospects. IBM shares extend rally as Wedbush calls US quantum investment a "new catalyst"
• Positive Sentiment: IBM’s push into quantum computing and related hot tech segments is being viewed as evidence the company is expanding beyond legacy businesses into higher-growth opportunities. Why IBM Stock Was Rocking it This Week
• Neutral Sentiment: Some coverage highlights that IBM’s valuation, debt load, and execution risk will matter as the company commits capital to the quantum foundry project. IBM’s US$1b Anderon Quantum Foundry Puts Valuation And Debt In Focus

Insider Activity

In related news, Director Michael Miebach acquired 434 shares of the stock in a transaction that occurred on Wednesday, February 25th. The stock was purchased at an average price of $233.33 per share, with a total value of $101,265.22. Following the transaction, the director owned 434 shares of the company's stock, valued at approximately $101,265.22. This trade represents a ∞ increase in their position. The acquisition was disclosed in a filing with the SEC, which is available at the SEC website. 0.27% of the stock is owned by corporate insiders.

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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