Pallas Capital Advisors LLC Makes New $3.06 Million Investment in International Business Machines Corporation $IBM

Key Points

• Pallas Capital Advisors purchased 10,865 IBM shares worth approximately $3.06 million in the second quarter, while institutional investors collectively own 58.96% of the company.
• Analyst sentiment remains cautiously positive, with a consensus “Moderate Buy” rating and a $265.90 price target, despite individual targets ranging from $175 to $330.
• IBM reported quarterly earnings in line with expectations at $2.93 per share, revenue of $17.16 billion, and announced a quarterly dividend of $1.69 per share, representing a 2.9% yield; an insider separately sold 25,000 shares.

Pallas Capital Advisors LLC bought a new position in shares of International Business Machines Corporation (NYSE:IBM - Free Report) in the second quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The firm bought 10,865 shares of the technology company's stock, valued at approximately $3,055,000.

Other hedge funds and other institutional investors have also modified their holdings of the company. Paragon Financial Partners Inc. acquired a new position in International Business Machines in the 2nd quarter valued at about $346,000. Performance Wealth Partners LLC acquired a new stake in International Business Machines during the second quarter worth approximately $2,874,000. Deutsche Bank AG acquired a new stake in International Business Machines during the second quarter worth approximately $960,839,000. Perigon Wealth Management LLC bought a new stake in shares of International Business Machines during the second quarter worth approximately $7,221,000. Finally, Commerzbank Aktiengesellschaft FI acquired a new position in shares of International Business Machines in the second quarter valued at approximately $197,451,000. Institutional investors own 58.96% of the company's stock.

Insider Buying and Selling

In other news, SVP Robert David Thomas sold 25,000 shares of the business'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 transaction, 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 sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.27% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

Several research firms recently issued reports on IBM. Morgan Stanley reduced their price target on International Business Machines from $293.00 to $190.00 and set an "equal weight" rating for the company in a research note on Thursday, July 23rd. Bank of America lifted their target price on International Business Machines from $315.00 to $330.00 and gave the stock a "buy" rating in a report on Monday, July 6th. Piper Sandler raised shares of International Business Machines to an "overweight" rating in a research report on Tuesday, June 23rd. Robert W. Baird started coverage on shares of International Business Machines in a research note on Tuesday, July 21st. They issued a "neutral" rating and a $230.00 price target on the stock. Finally, HSBC set a $175.00 price target on shares of International Business Machines and gave the stock a "reduce" rating in a research report on Thursday, July 16th. Sixteen equities research analysts have rated the stock with a Buy rating, eleven have issued a Hold rating and one has given a Sell rating to the company's stock. According to MarketBeat, the stock has a consensus rating of "Moderate Buy" and a consensus price target of $265.90.

International Business Machines Trading Up 0.0%

Shares of NYSE:IBM opened at $231.43 on Thursday. The business's 50 day simple moving average is $242.89 and its 200 day simple moving average is $247.41. International Business Machines Corporation has a 1 year low of $199.19 and a 1 year high of $332.46. 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 company has a market capitalization of $218.04 billion, a P/E ratio of 20.54, a P/E/G ratio of 2.21 and a beta of 0.71.

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

International Business Machines Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Monday, August 10th will be issued a $1.69 dividend. This represents a $6.76 annualized dividend and a yield of 2.9%. The ex-dividend date of this dividend is Monday, August 10th. International Business Machines's dividend payout ratio (DPR) is currently 59.98%.

More International Business Machines News

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

• Positive Sentiment: IBM Ventures expands quantum-computing exposure: IBM Ventures invested in BQP, a physics-acceleration company whose bookings have reportedly increased eightfold. The investment supports IBM’s positioning in quantum and advanced-computing infrastructure, although the deal is unlikely to materially affect near-term earnings. IBM Ventures backs BQP
• Positive Sentiment: AI and quantum themes continue to support the investment case: Analysts highlighted IBM among large technology companies that could benefit from quantum-computing adoption through cloud, software and infrastructure offerings. Retail-investor coverage also identified IBM as a favored long-term AI stock, particularly because of its enterprise focus and hybrid-cloud capabilities. Quantum boom investment ideas
• Neutral Sentiment: Dividend remains a key attraction: IBM is highlighted as a major technology dividend payer, with a quarterly distribution of $1.69 per share. The income profile may appeal to defensive investors, though dividend comparisons alone do not resolve concerns about valuation or growth. Cisco versus IBM dividend comparison
• Neutral Sentiment: IBM is promoting responsible AI adoption: A new study found that AI adoption in U.S. K-12 schools is outpacing institutional readiness, prompting IBM to launch a fellowship for education leaders. The initiative may strengthen IBM’s brand and future relationships but has limited immediate financial impact. IBM K-12 AI study
• Negative Sentiment: Securities-fraud investigation adds headline risk: Bleichmar Fonti & Auld said it is investigating whether IBM made potentially misleading statements about the pace of business deals. The announcement is an allegation, not a finding of wrongdoing, but it could increase legal uncertainty and investor caution. IBM securities investigation
• Negative Sentiment: Broader concerns remain over IBM’s growth outlook: Recent analysis cited AI-driven disruption to legacy services, pricing pressure and reduced estimates as reasons for IBM’s year-to-date weakness, despite support from hybrid cloud and watsonx. Technical coverage also identified resistance near $239, suggesting limited upside until momentum improves. IBM stock outlook

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.

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