Pincus Capital Management LP Buys New Shares in International Business Machines Corporation $IBM

Key Points

• Pincus Capital Management LP disclosed a new stake in IBM during the fourth quarter, buying 4,160 shares valued at about $1.23 million. IBM now ranks as the firm’s 25th-largest holding.
• IBM continues to attract major institutional interest, with large funds like Norges Bank, Vanguard, and Capital World Investors also increasing or initiating positions. Institutional investors now own 58.96% of IBM shares.
• The company reported stronger-than-expected quarterly results, with EPS of $1.91 versus estimates of $1.81 and revenue of $15.92 billion, while also raising its quarterly dividend to $1.69 per share.

Pincus Capital Management LP bought a new stake in International Business Machines Corporation (NYSE:IBM - Free Report) in the 4th quarter, according to the company in its most recent filing with the Securities and Exchange Commission (SEC). The firm bought 4,160 shares of the technology company's stock, valued at approximately $1,232,000. International Business Machines accounts for approximately 0.8% of Pincus Capital Management LP's holdings, making the stock its 25th largest position.

Several other hedge funds have also made changes to their positions in IBM. Norges Bank bought a new stake in shares of International Business Machines in the fourth quarter valued at about $2,446,429,000. Capital World Investors lifted its stake in shares of International Business Machines by 13.9% in the third quarter. Capital World Investors now owns 17,045,156 shares of the technology company's stock valued at $4,809,461,000 after buying an additional 2,077,506 shares during the period. Vanguard Group Inc. lifted its stake in shares of International Business Machines by 1.5% in the fourth quarter. Vanguard Group Inc. now owns 97,216,131 shares of the technology company's stock valued at $28,796,390,000 after buying an additional 1,439,824 shares during the period. First Trust Advisors LP raised its position in International Business Machines by 39.6% in the third quarter. First Trust Advisors LP now owns 3,052,880 shares of the technology company's stock worth $861,401,000 after purchasing an additional 865,253 shares in the last quarter. Finally, Valpey Financial Services LLC raised its position in International Business Machines by 27,670.9% in the fourth quarter. Valpey Financial Services LLC now owns 867,007 shares of the technology company's stock worth $256,816,000 after purchasing an additional 863,885 shares in the last quarter. Institutional investors own 58.96% of the company's stock.

International Business Machines Stock Performance

NYSE IBM opened at $319.67 on Tuesday. The firm has a market cap of $300.45 billion, a price-to-earnings ratio of 28.26, a PEG ratio of 3.08 and a beta of 0.58. The company has a 50 day moving average of $241.55 and a 200-day moving average of $270.75. 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 1-year low of $212.34 and a 1-year high of $327.98.

International Business Machines (NYSE:IBM - Get Free Report) last posted its quarterly earnings data on Wednesday, April 22nd. The technology company reported $1.91 earnings per share for the quarter, topping the consensus estimate 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 company had revenue of $15.92 billion during the quarter, compared to analyst estimates of $15.60 billion. During the same quarter last year, the business posted $1.60 earnings per share. The company's revenue was up 9.5% on a year-over-year basis. On average, equities analysts forecast that International Business Machines Corporation will post 12.4 earnings per share for the current fiscal year.

International Business Machines Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Friday, May 8th will be paid a dividend of $1.69 per share. This represents a $6.76 annualized dividend and a dividend yield of 2.1%. This is an increase from International Business Machines's previous quarterly dividend of $1.68. The ex-dividend date of this dividend is Friday, May 8th. International Business Machines's payout ratio is currently 59.77%.

International Business Machines News Summary

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

• Positive Sentiment: Barclays initiated coverage on IBM with an Overweight rating and a $350 price target, saying the company’s enterprise software business has sticky revenue and still has room to run. IBM Stock Surges After Analyst "Overweight" Rating
• Positive Sentiment: IBM is benefiting from a broader software rebound after Nvidia’s Jensen Huang eased fears that AI will replace software companies, helping lift IBM alongside other tech names. Arm, IBM and Hewlett Packard soar as Nvidia chip 'reinvention' extends software rally
• Positive Sentiment: Investor enthusiasm is also being driven by IBM’s quantum-computing strategy, with reports highlighting major planned investments and positioning IBM as a potential winner in the next-generation computing race. IBM Bets $10 Billion on Quantum Computing as Race for Next-Generation Technology Intensifies
• Neutral Sentiment: IBM remains a highly watched stock after its rapid run-up, with some coverage noting that valuation is getting richer even as momentum stays strong. International Business Machines Corp (IBM) Stock Up 7.6% but GF Value Says Overvalued
• Negative Sentiment: Some analysts and valuation models suggest the stock may be overextended after its sharp rally, which could limit upside if investors start taking profits. International Business Machines Corp (IBM) Stock Up 7.6% but GF Value Says Overvalued

Analyst Upgrades and Downgrades

Several research analysts recently issued reports on the stock. Wedbush reissued an "outperform" rating and issued a $320.00 price target on shares of International Business Machines in a research report on Friday. Citigroup assumed coverage on shares of International Business Machines in a research report on Friday, April 10th. They issued a "buy" rating and a $285.00 price target for the company. Stifel Nicolaus set a $290.00 price target on shares of International Business Machines in a research report on Friday, May 22nd. Oppenheimer dropped their price target on shares of International Business Machines from $380.00 to $320.00 and set an "outperform" rating for the company in a research report on Thursday, April 16th. Finally, JPMorgan Chase & Co. dropped their price target 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. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and eight have given a Hold rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and a consensus price target of $297.50.

About International Business Machines

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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