International Business Machines Corporation $IBM Stock Holdings Lessened by State of Alaska Department of Revenue

Key Points

• State of Alaska Department of Revenue reduced its IBM stake by 2% in the third quarter, selling 2,386 shares and retaining 116,546 shares valued at approximately $25.6 million. Institutional investors collectively own 58.96% of IBM.
• Analysts maintain a generally positive outlook, with 19 Buy, 12 Hold and two Sell ratings, producing a “Moderate Buy” consensus and an average price target of $254.96.
• IBM shares recently traded near $233, while the company reported quarterly EPS in line with estimates at $2.93, revenue of $17.16 billion, and a quarterly dividend of $1.69 per share.

State of Alaska Department of Revenue trimmed its holdings in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 2.0% in the third quarter, according to its most recent filing with the SEC. The firm owned 116,546 shares of the technology company's stock after selling 2,386 shares during the period. State of Alaska Department of Revenue's holdings in International Business Machines were worth $25,631,000 as of its most recent filing with the SEC.

A number of other hedge funds and other institutional investors also recently made changes to their positions in IBM. BlackRock Inc. acquired a new stake in International Business Machines during the second quarter valued at approximately $21,586,659,000. Bank of America Corp DE bought a new stake in shares of International Business Machines in the 2nd quarter valued at approximately $4,214,868,000. Bank of New York Mellon Corp bought a new stake in shares of International Business Machines in the 2nd quarter valued at approximately $2,606,782,000. Legal & General Group Plc acquired a new position in shares of International Business Machines in the 2nd quarter worth approximately $1,874,733,000. Finally, Wellington Management Group LLP lifted its position in shares of International Business Machines by 2,362.2% during the 2nd quarter. Wellington Management Group LLP now owns 6,549,393 shares of the technology company's stock worth $1,841,755,000 after buying an additional 6,283,395 shares during the period. 58.96% of the stock is owned by institutional investors.

Analyst Upgrades and Downgrades

A number of brokerages have weighed in on IBM. Jefferies Financial Group lowered their price target on International Business Machines from $320.00 to $260.00 and set a "buy" rating on the stock in a research report on Tuesday, July 21st. The Goldman Sachs Group set a $270.00 price objective on International Business Machines and gave the company a "buy" rating in a report on Thursday, July 23rd. Wolfe Research cut shares of International Business Machines to a "peer perform" rating in a research report on Tuesday, June 23rd. Barclays cut their price target on shares of International Business Machines from $288.00 to $262.00 and set an "overweight" rating for the company in a report on Thursday, July 23rd. Finally, JPMorgan Chase & Co. decreased their price objective on shares of International Business Machines from $291.00 to $250.00 and set an "overweight" rating on the stock in a research note on Friday, July 17th. Nineteen investment analysts have rated the stock with a Buy rating, twelve have issued a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $254.96.

International Business Machines Price Performance

Shares of NYSE:IBM traded up $5.16 during midday trading on Thursday, reaching $233.04. The company's stock had a trading volume of 2,301,443 shares, compared to its average volume of 7,457,555. International Business Machines Corporation has a fifty-two week low of $199.19 and a fifty-two week high of $332.46. The company has a market capitalization of $219.55 billion, a P/E ratio of 20.68, a P/E/G ratio of 2.20 and a beta of 0.73. The company has a debt-to-equity ratio of 1.63, a current ratio of 0.79 and a quick ratio of 0.74. The business's fifty day simple moving average is $232.07 and its 200-day simple moving average is $243.68.

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

International Business Machines Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Thursday, September 10th. Stockholders of record on Monday, August 10th were paid a dividend of $1.69 per share. This represents a $6.76 annualized dividend and a dividend yield of 2.9%. The ex-dividend date of this dividend was Monday, August 10th. International Business Machines's dividend payout ratio is 59.98%.

More International Business Machines News

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

• Positive Sentiment: Morgan Stanley raised its IBM price target from $190 to $238 and moved to an “equal weight” rating. The higher target reflects improved valuation support, although the limited implied upside suggests the analyst sees relatively balanced risk and reward. Morgan Stanley raises IBM price target
• Positive Sentiment: IBM and Siemens are collaborating to advance IBM’s nanostack transistor architecture. Siemens will contribute electronic design automation, process simulation, lithography optimization and manufacturing expertise, potentially strengthening IBM’s long-term semiconductor innovation and commercialization prospects. IBM and Siemens nanostack collaboration
• Positive Sentiment: Royal Bank of Canada reaffirmed an “outperform” rating on IBM, providing additional support for the bullish view among analysts. RBC reaffirms IBM outperform rating
• Neutral Sentiment: IBM is approaching a closely watched quarterly earnings release. Investors will assess whether AI and hybrid-cloud growth can offset competition, margin pressure and the company’s premium valuation. IBM ahead of Q3 earnings
• Negative Sentiment: Analysis of IBM’s first-half operating cash flow found that most of the year-over-year improvement came from changes in financing receivables rather than underlying operating growth. That raises questions about the sustainability and quality of the cash-flow improvement. IBM customer financing and cash flow analysis
• Negative Sentiment: IBM’s research also highlighted growing AI governance risks: many EMEA enterprises have escalated AI incidents to senior leadership, while relatively few have governance frameworks ready for increasingly autonomous AI agents. The findings could increase compliance and implementation concerns for enterprise customers. IBM AI governance study

Insider Activity at International Business Machines

In related news, SVP Robert 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 value of $5,758,000.00. Following the completion of the sale, the senior vice president owned 47,800 shares of the company's stock, valued at $11,009,296. This trade represents a 34.34% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available at the SEC website. 0.27% of the stock is owned by company insiders.

International Business Machines Profile

International Business Machines Corporation NYSE: IBM, commonly known as IBM, is a global technology company that provides hybrid cloud, artificial intelligence, software, consulting and infrastructure solutions. Its offerings help businesses and government organizations manage data, modernize applications, automate processes and improve cybersecurity.

IBM's portfolio includes the Red Hat hybrid cloud platform, the watsonx suite of artificial intelligence and data tools, consulting services, and enterprise software for areas such as automation, application management, security and asset management.

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