International Business Machines Corporation $IBM Stock Position Raised by Apella Capital LLC

Key Points

• Apella Capital LLC boosted its IBM stake by 70.7% in the first quarter, ending with 14,985 shares valued at about $3.8 million.
• IBM reported stronger-than-expected quarterly results, with EPS of $1.91 versus $1.81 expected and revenue of $15.92 billion, up 9.5% year over year.
• The company also raised its quarterly dividend to $1.69 per share, supporting an annualized yield of about 2.6%.

Apella Capital LLC increased its holdings in shares of International Business Machines Corporation (NYSE:IBM - Free Report) by 70.7% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The firm owned 14,985 shares of the technology company's stock after acquiring an additional 6,207 shares during the quarter. Apella Capital LLC's holdings in International Business Machines were worth $3,798,000 at the end of the most recent quarter.

A number of other large investors have also recently bought and sold shares of the business. Norges Bank bought a new position in shares of International Business Machines during the fourth quarter valued at approximately $2,446,429,000. Capital World Investors lifted its holdings in shares of International Business Machines by 29.2% in the 4th quarter. Capital World Investors now owns 22,021,912 shares of the technology company's stock worth $6,523,720,000 after purchasing an additional 4,976,756 shares during the last quarter. Price T Rowe Associates Inc. MD boosted its position in International Business Machines by 83.4% during the 4th quarter. Price T Rowe Associates Inc. MD now owns 5,617,117 shares of the technology company's stock valued at $1,663,847,000 after purchasing an additional 2,553,552 shares during the period. Corient Private Wealth LLC grew its stake in International Business Machines by 359.6% during the 4th quarter. Corient Private Wealth LLC now owns 1,896,675 shares of the technology company's stock worth $561,814,000 after buying an additional 1,484,026 shares during the last quarter. Finally, Vanguard Group Inc. grew its stake in International Business Machines by 1.5% during the 4th 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 last quarter. Institutional investors own 58.96% of the company's stock.

International Business Machines Stock Down 1.8%

NYSE IBM opened at $258.36 on Friday. 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 company's 50 day simple moving average is $253.31 and its 200 day simple moving average is $267.23. International Business Machines Corporation has a 12 month low of $212.34 and a 12 month high of $332.46. The company has a market capitalization of $242.83 billion, a P/E ratio of 22.84, a PEG ratio of 2.72 and a beta of 0.67.

International Business Machines (NYSE:IBM - Get Free Report) last announced 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 company had revenue of $15.92 billion for the quarter, compared to analyst estimates of $15.60 billion. During the same period in the previous year, the firm earned $1.60 earnings per share. International Business Machines's revenue for the quarter was up 9.5% compared to the same quarter last year. Equities research analysts expect that International Business Machines Corporation will post 12.39 earnings per share for the current fiscal year.

International Business Machines Increases Dividend

The company also recently announced a quarterly dividend, which was paid on Wednesday, June 10th. Shareholders of record on Friday, May 8th were issued a $1.69 dividend. The ex-dividend date was Friday, May 8th. This is a positive change from International Business Machines's previous quarterly dividend of $1.68. This represents a $6.76 annualized dividend and a dividend yield of 2.6%. International Business Machines's dividend payout ratio is 59.77%.

Analyst Ratings Changes

A number of equities research analysts have issued reports on IBM shares. Barclays initiated coverage on International Business Machines in a research note on Monday, June 1st. They issued an "overweight" rating and a $350.00 target price on the stock. Needham & Company LLC began coverage on shares of International Business Machines in a research report on Wednesday, June 3rd. They set a "buy" rating for the company. Weiss Ratings cut shares of International Business Machines from a "buy (b-)" rating to a "hold (c+)" rating in a report on Wednesday. Royal Bank Of Canada reiterated an "outperform" rating on shares of International Business Machines in a research report on Tuesday. Finally, Roth Mkm restated a "buy" rating on shares of International Business Machines in a research report on Wednesday, June 3rd. One research analyst has rated the stock with a Strong Buy rating, seventeen have assigned a Buy rating and nine have issued a Hold rating to the company. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $306.94.

International Business Machines News Roundup

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

• Positive Sentiment: IBM unveiled what it says is the world’s first sub-1 nanometer chip technology, a potential industry milestone that could make AI chips smaller, faster, and more energy efficient. Investors are viewing the announcement as evidence that IBM remains an innovation leader in AI infrastructure and advanced computing. Article: Reuters
• Positive Sentiment: Several reports highlighted IBM’s new 0.7nm “nanostack” chip architecture, with claims of materially better performance and energy efficiency. That kind of technical progress can improve IBM’s long-term growth narrative, especially around AI and high-performance computing. Article: PR Newswire
• Positive Sentiment: JPMorgan reportedly upgraded IBM, citing stronger software growth prospects. Analyst upgrades can support the stock by reinforcing expectations for better earnings quality and recurring revenue growth. Article: Insider Monkey
• Positive Sentiment: IBM also drew attention after its OpenAI cybersecurity partnership, which investors may see as a catalyst for growth in enterprise AI and security services. Article: Barchart
• Neutral Sentiment: Some coverage noted that the new chip technology is still several years from commercial production, which may temper near-term enthusiasm even if the long-term story is stronger.

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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