Silverlake Wealth Management LLC Purchases Shares of 24,630 International Business Machines Corporation $IBM

Key Points

• Silverlake Wealth Management initiated a position of 24,630 IBM shares valued at approximately $6.9 million, representing 1.3% of its portfolio. Institutional investors collectively own 58.96% of IBM.
• Analysts maintain a generally positive outlook, with IBM holding a “Moderate Buy” consensus rating and an average price target of $265.90, despite several recent target-price reductions.
• IBM reported quarterly EPS of $2.93, in line with estimates, while revenue of $17.16 billion fell short of expectations. The company declared a quarterly dividend of $1.69, implying a 2.9% annualized yield.

Silverlake Wealth Management LLC acquired a new position in International Business Machines Corporation (NYSE:IBM - Free Report) during the second quarter, according to its most recent filing with the SEC. The firm acquired 24,630 shares of the technology company's stock, valued at approximately $6,926,000. International Business Machines comprises approximately 1.3% of Silverlake Wealth Management LLC's holdings, making the stock its 14th biggest holding.

Several other hedge funds have also recently made changes to their positions in the business. State Street Corp raised its holdings in International Business Machines by 1.0% in the 4th quarter. State Street Corp now owns 54,996,293 shares of the technology company's stock worth $16,290,452,000 after purchasing an additional 518,321 shares in the last quarter. Geode Capital Management LLC grew its holdings in International Business Machines by 1.5% in the fourth quarter. Geode Capital Management LLC now owns 22,605,083 shares of the technology company's stock worth $6,679,105,000 after purchasing an additional 336,069 shares during the period. Capital World Investors increased its stake in shares of International Business Machines by 29.2% during the fourth quarter. Capital World Investors now owns 22,021,912 shares of the technology company's stock valued at $6,523,720,000 after purchasing an additional 4,976,756 shares in the last quarter. Bank of America Corp DE lifted its holdings in shares of International Business Machines by 7.0% during the first quarter. Bank of America Corp DE now owns 16,063,653 shares of the technology company's stock valued at $3,893,669,000 after purchasing an additional 1,049,602 shares during the last quarter. Finally, Bank of New York Mellon Corp bought a new stake in shares of International Business Machines in the 2nd quarter worth approximately $2,606,782,000. 58.96% of the stock is owned by hedge funds and other institutional investors.

Analyst Ratings Changes

IBM has been the topic of a number of recent analyst reports. Susquehanna increased their price target on shares of International Business Machines from $225.00 to $235.00 and gave the company a "neutral" rating in a report on Monday. Jefferies Financial Group reduced their target price on International Business Machines from $320.00 to $260.00 and set a "buy" rating for the company in a report on Tuesday, July 21st. Royal Bank Of Canada reaffirmed an "outperform" rating and set a $270.00 price objective on shares of International Business Machines in a research report on Tuesday, July 21st. JPMorgan Chase & Co. reduced their price objective on International Business Machines from $291.00 to $250.00 and set an "overweight" rating for the company in a report on Friday, July 17th. Finally, Wolfe Research lowered shares of International Business Machines to a "peer perform" rating in a research note on Tuesday, June 23rd. Sixteen investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has issued a Sell rating to the stock. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus target price of $265.90.

International Business Machines Price Performance

Shares of International Business Machines stock opened at $231.12 on Wednesday. The company has a market capitalization of $217.75 billion, a price-to-earnings ratio of 20.51, a PEG ratio of 2.30 and a beta of 0.70. The company has a quick ratio of 0.74, a current ratio of 0.79 and a debt-to-equity ratio of 1.63. The stock's 50-day simple moving average is $243.51 and its 200-day simple moving average is $247.61. International Business Machines Corporation has a 52 week low of $199.19 and a 52 week high of $332.46.

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

International Business Machines Announces Dividend

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

Key Stories Impacting International Business Machines

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

• Positive Sentiment: IBM’s acquisition of HRL Laboratories adds silicon-spin qubit, materials and manufacturing expertise that could improve its ability to develop scalable quantum-computing systems. Analysts cited upcoming quantum catalysts, and Susquehanna raised its price target to $235, although it maintained a cautious view. Can IBM’s HRL Acquisition Boost Its Quantum Computing Capabilities?
• Positive Sentiment: A technical analysis article said IBM remains in a longer-term uptrend and could resume advancing if shares clear resistance near $239. A breakout would signal improved buying momentum, though this is a technical rather than fundamental catalyst. Stock of the Day: Will IBM Break Out and Head Higher?
• Neutral Sentiment: New market reports identify IBM as a participant in expanding enterprise blockchain, UNIX, business service management, computer-based sensing, biological computing and high-throughput computing markets. These reports point to broad industry growth but provide limited evidence of immediate revenue or earnings impact for IBM. IBM Emerges as a Leading Enterprise Blockchain Provider
• Negative Sentiment: IBM’s reported year-to-date decline reflects concerns about AI-driven disruption to legacy services, pricing pressure and downward earnings estimates. Hybrid cloud and watsonx remain potential offsets, but investors are questioning whether growth in those businesses can compensate for weakness elsewhere. IBM Slumps 21% YTD: Time to Reassess the Stock?
• Negative Sentiment: Coverage also highlighted IBM’s revenue miss, which contributed to a sharp selloff, and noted that the stock has underperformed the S&P 500. A pending securities-fraud investigation and a senior executive’s multimillion-dollar stock sale add further overhang, although neither necessarily changes IBM’s underlying business outlook. IBM Securities Fraud Investigation

Insider Activity

In other news, SVP Robert David Thomas sold 25,000 shares of the company's stock in a transaction that occurred on Wednesday, August 26th. The stock was sold at an average price of $230.32, for a total transaction of $5,758,000.00. Following the sale, the senior vice president directly owned 47,800 shares of the company's stock, valued at $11,009,296. This represents a 34.34% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, 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 (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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