International Business Machines Corporation (NYSE:IBM) Receives Consensus Rating of "Moderate Buy" from Analysts

Key Points

• Twenty analysts give IBM a consensus rating of Moderate Buy, with an average 12‑month price target of $309.63.
• IBM beat Q4 expectations with EPS $4.52 vs. $4.33 estimated and revenue of $19.69B (up 12.2% year‑over‑year); analysts expect about 10.78 EPS for the current fiscal year.
• Insiders have recently bought shares—Director David N. Farr purchased 1,000 shares at $304 and Michael Miebach bought 434 shares at $233.33—with insiders acquiring 1,484 shares (~$417,157) in the last 90 days and owning 0.27% of the company.

International Business Machines Corporation (NYSE:IBM - Get Free Report) has earned a consensus rating of "Moderate Buy" from the twenty analysts that are presently covering the firm, Marketbeat Ratings reports. Eight equities research analysts have rated the stock with a hold recommendation, eleven have issued a buy recommendation and one has given a strong buy recommendation to the company. The average twelve-month target price among brokerages that have issued ratings on the stock in the last year is $309.6250.

Several equities research analysts have weighed in on the company. Royal Bank Of Canada set a $361.00 price target on International Business Machines in a report on Thursday, January 29th. Oppenheimer set a $380.00 price target on International Business Machines and gave the stock an "outperform" rating in a report on Thursday, January 29th. Evercore raised their price target on International Business Machines from $330.00 to $345.00 and gave the stock an "outperform" rating in a report on Thursday, January 29th. Morgan Stanley lowered their price target on International Business Machines from $304.00 to $247.00 and set an "equal weight" rating for the company in a report on Wednesday, February 25th. Finally, JPMorgan Chase & Co. lowered their price target on International Business Machines from $317.00 to $283.00 and set a "neutral" rating for the company in a report on Wednesday, March 18th.

Insider Transactions at International Business Machines

In other news, Director David N. Farr bought 1,000 shares of the firm's stock in a transaction that occurred on Friday, January 30th. The stock was purchased at an average price of $304.00 per share, with a total value of $304,000.00. Following the completion of the acquisition, the director directly owned 9,258 shares of the company's stock, valued at $2,814,432. This trade represents a 12.11% increase in their position. The purchase was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Michael Miebach bought 434 shares of the firm's stock in a transaction that occurred on Wednesday, February 25th. The shares were purchased at an average cost of $233.33 per share, with a total value of $101,265.22. Following the acquisition, the director directly owned 434 shares of the company's stock, valued at approximately $101,265.22. This trade represents a ∞ increase in their ownership of the stock. The SEC filing for this purchase provides additional information. Insiders have purchased 1,484 shares of company stock valued at $417,157 in the last ninety days. Corporate insiders own 0.27% of the company's stock.

Institutional Investors Weigh In On International Business Machines

A number of institutional investors and hedge funds have recently modified their holdings of IBM. Family CFO Inc acquired a new stake in shares of International Business Machines during the fourth quarter worth about $25,000. Basepoint Wealth LLC acquired a new stake in shares of International Business Machines during the fourth quarter worth about $25,000. Mountain Hill Investment Partners Corp. acquired a new position in International Business Machines in the third quarter valued at approximately $28,000. Joseph Group Capital Management acquired a new position in International Business Machines in the fourth quarter valued at approximately $28,000. Finally, Cornerstone Financial Management LLC acquired a new position in International Business Machines in the fourth quarter valued at approximately $28,000. Institutional investors and hedge funds own 58.96% of the company's stock.

International Business Machines Price Performance

Shares of NYSE IBM opened at $237.83 on Tuesday. The company has a debt-to-equity ratio of 1.67, a quick ratio of 0.92 and a current ratio of 0.96. The company has a market cap of $223.09 billion, a PE ratio of 21.33, a P/E/G ratio of 2.30 and a beta of 0.69. The business has a 50-day simple moving average of $252.70 and a two-hundred day simple moving average of $282.89. International Business Machines has a fifty-two week low of $220.72 and a fifty-two week high of $324.90.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings results on Wednesday, January 28th. The technology company reported $4.52 earnings per share for the quarter, topping the consensus estimate of $4.33 by $0.19. The business had revenue of $19.69 billion during the quarter, compared to the consensus estimate of $19.23 billion. International Business Machines had a return on equity of 38.15% and a net margin of 15.69%.The company's quarterly revenue was up 12.2% on a year-over-year basis. During the same quarter last year, the company earned $3.92 earnings per share. As a group, equities analysts expect that International Business Machines will post 10.78 EPS for the current fiscal year.

International Business Machines Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Tuesday, March 10th. Investors of record on Tuesday, February 10th were issued a dividend of $1.68 per share. The ex-dividend date of this dividend was Tuesday, February 10th. This represents a $6.72 dividend on an annualized basis and a dividend yield of 2.8%. International Business Machines's payout ratio is 60.27%.

Trending Headlines about International Business Machines

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

• Positive Sentiment: Bank of America and market reports expect IBM to report an in-line Q1 on April 22, with the early March close of the Confluent acquisition contributing roughly $50M of revenue and helping offset near-term dilution — supportive for near-term revenue and full‑year guidance.IBM set for in-line Q1 as Confluent deal boosts outlook
• Positive Sentiment: Product/AI momentum: IBM is rolling out "content-aware storage" aimed at solving large AI data management issues — this is strategically aligned with enterprise AI demand and could support longer-term growth and margins if adopted.How IBM Is Solving One of AI’s Biggest Data Problems
• Positive Sentiment: Marketing/partnership PR: IBM provided AI tools for the Masters fan experience, reinforcing IBM's positioning in high‑visibility AI deployments and brand exposure.IBM Rewrites the Masters Fan Experience With AI
• Neutral Sentiment: Research/coverage moves: Citigroup started coverage on IBM and other outlets note elevated investor attention; coverage changes can shift flows but are informational until the firm updates guidance or estimates.International Business Machines NYSE: IBM Research Coverage Started at Citigroup
• Neutral Sentiment: Institutional index activity: Reports note shifts in institutional activity within the Russell 1000 — can affect short-term flows but not fundamentals.IBM NYSE: IBM Sees Institutional Activity Shift in Russell 1000
• Negative Sentiment: Legal/settlement headwind: IBM agreed to pay $17M to settle a DOJ probe alleging unlawful DEI hiring and use of government contract funds — the payment is modest relative to market cap but carries reputational and compliance risk that may weigh on sentiment short term.IBM strikes $17M deal to end feds’ probe of DEI programs
• Negative Sentiment: Analyst caution: Needham cut price targets ahead of earnings, reflecting macro pressure and tempered expectations for upside — analyst downgrades can pressure the stock if sustained.Why Needham Analysts Slashed Their Price Targets on IBM Stock Ahead of Earnings

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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