Karras Company Inc. Acquires Shares of 8,425 International Business Machines Corporation $IBM

Key Points

• Karras Company Inc. opened a new position in IBM during the fourth quarter, buying 8,425 shares valued at about $2.5 million. IBM now makes up roughly 2.4% of Karras’s portfolio and is its 12th-largest holding.
• Several other institutional investors also boosted their IBM stakes, and hedge funds and other institutions now own 58.96% of the company. That suggests continued institutional interest in the stock.
• 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.

Karras Company Inc. purchased a new position in International Business Machines Corporation (NYSE:IBM - Free Report) in the 4th quarter, according to the company in its most recent disclosure with the Securities and Exchange Commission. The institutional investor purchased 8,425 shares of the technology company's stock, valued at approximately $2,496,000. International Business Machines accounts for approximately 2.4% of Karras Company Inc.'s investment portfolio, making the stock its 12th largest holding.

Several other hedge funds have also recently modified their holdings of IBM. VIRGINIA RETIREMENT SYSTEMS ET Al lifted its position in International Business Machines by 424.6% during the fourth quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 260,740 shares of the technology company's stock valued at $77,234,000 after acquiring an additional 211,040 shares during the last quarter. GLOBALT Investments LLC GA lifted its position in International Business Machines by 19.1% during the fourth quarter. GLOBALT Investments LLC GA now owns 18,288 shares of the technology company's stock valued at $5,417,000 after acquiring an additional 2,930 shares during the last quarter. Waverton Investment Management Ltd lifted its position in International Business Machines by 3.3% during the third quarter. Waverton Investment Management Ltd now owns 993,743 shares of the technology company's stock valued at $280,439,000 after acquiring an additional 32,072 shares during the last quarter. Newbridge Financial Services Group Inc. lifted its position in International Business Machines by 30.0% during the fourth quarter. Newbridge Financial Services Group Inc. now owns 13,122 shares of the technology company's stock valued at $3,887,000 after acquiring an additional 3,029 shares during the last quarter. Finally, NEOS Investment Management LLC lifted its position in International Business Machines by 51.7% during the third quarter. NEOS Investment Management LLC now owns 114,395 shares of the technology company's stock valued at $32,278,000 after acquiring an additional 38,973 shares during the last quarter. Hedge funds and other institutional investors own 58.96% of the company's stock.

Wall Street Analysts Forecast Growth

IBM has been the subject of a number of analyst reports. Jefferies Financial Group decreased their target price on shares of International Business Machines from $370.00 to $320.00 and set a "buy" rating for the company in a research report on Monday, April 20th. JPMorgan Chase & Co. decreased their target price on shares of International Business Machines from $317.00 to $283.00 and set a "neutral" rating for the company in a research report on Wednesday, March 18th. Argus set a $360.00 target price on shares of International Business Machines in a research report on Friday, January 30th. Wedbush reissued an "outperform" rating on shares of International Business Machines in a research report on Thursday. Finally, Erste Group Bank lowered shares of International Business Machines from a "buy" rating to a "hold" rating in a research note on Wednesday, February 18th. One analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and eight have assigned a Hold rating to the company's stock. According to MarketBeat.com, the stock presently has an average rating of "Moderate Buy" and a consensus target price of $294.41.

Key Headlines Impacting International Business Machines

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 Transactions at International Business Machines

In related news, Director Michael Miebach purchased 434 shares of the business's stock in a transaction on Wednesday, February 25th. The shares were acquired at an average price of $233.33 per share, for a total transaction of $101,265.22. Following the purchase, the director owned 434 shares of the company's stock, valued at $101,265.22. This trade represents a ∞ increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.27% of the company's stock.

International Business Machines Trading Up 0.4%

Shares of International Business Machines stock opened at $253.88 on Friday. The company has a current ratio of 0.80, a quick ratio of 0.76 and a debt-to-equity ratio of 1.75. International Business Machines Corporation has a 12-month low of $212.34 and a 12-month high of $324.90. The firm has a market capitalization of $238.62 billion, a price-to-earnings ratio of 22.45, a PEG ratio of 2.62 and a beta of 0.58. The firm's 50 day simple moving average is $238.70 and its two-hundred day simple moving average is $272.44.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings results on Wednesday, April 22nd. The technology company reported $1.91 earnings per share (EPS) for the quarter, beating analysts' consensus estimates 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 business had revenue of $15.92 billion for the quarter, compared to analyst estimates of $15.60 billion. During the same quarter in the prior year, the business posted $1.60 EPS. International Business Machines's revenue for the quarter was up 9.5% compared to the same quarter last year. Analysts predict that International Business Machines Corporation will post 12.4 EPS for the current year.

International Business Machines Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Shareholders of record on Friday, May 8th will be paid a dividend of $1.69 per share. This represents a $6.76 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date is Friday, May 8th. This is a positive change from International Business Machines's previous quarterly dividend of $1.68. International Business Machines's dividend payout ratio (DPR) is currently 59.77%.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.