International Business Machines (NYSE:IBM) Given Outperform Rating at Oppenheimer

Key Points

• Oppenheimer reaffirmed its “outperform” rating on IBM and raised its price target to $350 from $320, implying about 20.5% upside from the current price.
• Other analysts have also been active on IBM, with recent moves including Piper Sandler’s upgrade to overweight and KeyCorp’s downgrade to sector weight. Overall, IBM carries a Moderate Buy consensus and an average target price of $307.17.
• IBM’s latest quarterly results beat expectations, with EPS of $1.91 versus $1.81 expected and revenue of $15.92 billion versus $15.60 billion expected. Revenue rose 9.5% year over year, and analysts expect full-year EPS of 12.45.

International Business Machines (NYSE:IBM - Get Free Report)'s stock had its "outperform" rating reaffirmed by investment analysts at Oppenheimer in a research note issued to investors on Tuesday,Benzinga reports. They presently have a $350.00 price target on the technology company's stock, up from their prior price target of $320.00. Oppenheimer's price objective suggests a potential upside of 20.50% from the company's current price.

Several other equities analysts have also weighed in on IBM. Piper Sandler upgraded shares of International Business Machines to an "overweight" rating in a report on Tuesday, June 23rd. Wedbush set a $350.00 price target on shares of International Business Machines in a research report on Tuesday, June 2nd. KeyCorp downgraded shares of International Business Machines to a "sector weight" rating in a report on Tuesday, June 23rd. Needham & Company LLC initiated coverage on shares of International Business Machines in a research note on Wednesday, June 3rd. They issued a "buy" rating on the stock. Finally, Wall Street Zen upgraded shares of International Business Machines from a "sell" rating to a "hold" rating in a report on Sunday, June 21st. Fifteen analysts have rated the stock with a Buy rating, nine have issued a Hold rating and one has given a Sell rating to the company's stock. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average target price of $307.17.

International Business Machines Trading Up 1.0%

NYSE IBM opened at $290.46 on Tuesday. The stock has a market capitalization of $273.00 billion, a P/E ratio of 25.68, a P/E/G ratio of 2.78 and a beta of 0.68. The business has a 50 day simple moving average of $264.95 and a 200 day simple moving average of $265.82. The company has a debt-to-equity ratio of 1.75, a current ratio of 0.80 and a quick ratio of 0.76. International Business Machines has a one year low of $212.34 and a one year high of $332.46.

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 the consensus estimate of $1.81 by $0.10. The firm had revenue of $15.92 billion for the quarter, compared to analyst estimates of $15.60 billion. International Business Machines had a return on equity of 37.23% and a net margin of 15.61%.The company's revenue was up 9.5% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.60 earnings per share. Research analysts expect that International Business Machines will post 12.45 earnings per share for the current year.

Hedge Funds Weigh In On International Business Machines

Hedge funds and other institutional investors have recently modified their holdings of the business. VIRGINIA RETIREMENT SYSTEMS ET Al boosted its holdings in International Business Machines by 424.6% in the 4th quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 260,740 shares of the technology company's stock worth $77,234,000 after buying an additional 211,040 shares during the period. GLOBALT Investments LLC GA increased its holdings in shares of International Business Machines by 19.1% in the fourth quarter. GLOBALT Investments LLC GA now owns 18,288 shares of the technology company's stock worth $5,417,000 after purchasing an additional 2,930 shares during the period. Newbridge Financial Services Group Inc. increased its stake in International Business Machines by 30.0% in the 4th quarter. Newbridge Financial Services Group Inc. now owns 13,122 shares of the technology company's stock worth $3,887,000 after acquiring an additional 3,029 shares during the last quarter. Rice Partnership LLC purchased a new stake in International Business Machines in the fourth quarter valued at approximately $3,317,000. Finally, Sage Investment Advisers LLC purchased a new stake in shares of International Business Machines during the 4th quarter valued at $4,101,000. Hedge funds and other institutional investors own 58.96% of the company's stock.

International Business Machines News Summary

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

• Negative Sentiment: IBM’s preliminary Q2 results came in below expectations, with both EPS and revenue missing estimates, triggering a steep selloff. Reuters: IBM expects second-quarter revenue below estimates
• Negative Sentiment: Management blamed the shortfall on delayed deal closures and shifting client spending, raising near-term concerns about execution and demand mix. CNBC: IBM shares drop more than 17% after company warns second-quarter earnings fell short of expectations
• Negative Sentiment: IBM’s warning is spilling over into peers such as ServiceNow, suggesting the miss may be interpreted as a broader sign of softer enterprise software spending. Benzinga: ServiceNow Stock Falls in Sympathy With IBM After Disappointing Preliminary Q2 Results
• Neutral Sentiment: Morgan Stanley raised its price target on IBM to $293, which signals some analyst confidence, though the firm kept an equal-weight rating. Benzinga/The Fly: IBM price target raised by Morgan Stanley

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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