International Business Machines (NYSE:IBM) Price Target Lowered to $250.00 at JPMorgan Chase & Co.

Key Points

• JPMorgan lowered IBM’s price target from $291 to $250 while keeping an overweight rating, implying about 18.3% upside from the current share price.
• IBM shares fell 3.5% to $211.33 on Friday, trading near the lower end of its 52-week range after the analyst update and broader negative sentiment.
• Recent results and analyst views are mixed: IBM beat Q1 earnings estimates, but recent preliminary Q2 results reportedly missed expectations, while Wall Street’s consensus remains a Moderate Buy with a $299.56 average target.

International Business Machines (NYSE:IBM - Get Free Report) had its price target lowered by equities researchers at JPMorgan Chase & Co. from $291.00 to $250.00 in a research note issued on Friday,Benzinga reports. The brokerage currently has an "overweight" rating on the technology company's stock. JPMorgan Chase & Co.'s target price would indicate a potential upside of 18.30% from the stock's current price.

Several other research analysts have also recently weighed in on the company. Morgan Stanley boosted their price target on International Business Machines from $267.00 to $293.00 and gave the stock an "equal weight" rating in a research note on Tuesday. Jefferies Financial Group started coverage on International Business Machines in a research report on Tuesday, June 23rd. They set a "buy" rating on the stock. Weiss Ratings lowered International Business Machines from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Wednesday, June 24th. Wedbush set a $350.00 target price on shares of International Business Machines in a research note on Tuesday, June 2nd. Finally, Piper Sandler upgraded shares of International Business Machines to an "overweight" rating in a research note on Tuesday, June 23rd. Fifteen analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has issued a Sell rating to the company. According to data from MarketBeat, the stock currently has a consensus rating of "Moderate Buy" and a consensus price target of $299.56.

International Business Machines Stock Down 3.5%

Shares of NYSE:IBM traded down $7.72 on Friday, hitting $211.33. 4,233,622 shares of the company traded hands, compared to its average volume of 7,979,759. The stock has a 50 day simple moving average of $264.17 and a 200-day simple moving average of $263.94. The company has a quick ratio of 0.76, a current ratio of 0.80 and a debt-to-equity ratio of 1.75. The company has a market cap of $198.63 billion, a PE ratio of 18.69, a PEG ratio of 2.06 and a beta of 0.68. International Business Machines has a 52 week low of $204.44 and a 52 week high of $332.46.

International Business Machines (NYSE:IBM - Get Free Report) last announced its quarterly earnings data on Wednesday, April 22nd. The technology company reported $1.91 EPS for the quarter, beating the consensus estimate of $1.81 by $0.10. The company had revenue of $15.92 billion for the quarter, compared to the consensus estimate of $15.60 billion. International Business Machines had a net margin of 15.61% and a return on equity of 37.23%. International Business Machines's revenue for the quarter was up 9.5% on a year-over-year basis. During the same period in the prior year, the firm posted $1.60 EPS. As a group, research analysts expect that International Business Machines will post 12.33 earnings per share for the current year.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in the stock. Norges Bank bought a new stake in shares of International Business Machines during the 4th quarter valued at $2,446,429,000. Capital World Investors boosted its stake in 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 buying an additional 4,976,756 shares during the last quarter. Price T Rowe Associates Inc. MD grew its holdings in shares of International Business Machines by 83.4% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 5,617,117 shares of the technology company's stock valued at $1,663,847,000 after purchasing an additional 2,553,552 shares in the last quarter. Corient Private Wealth LLC lifted its position in International Business Machines by 359.6% during the fourth quarter. Corient Private Wealth LLC now owns 1,896,675 shares of the technology company's stock valued at $561,814,000 after purchasing an additional 1,484,026 shares during the last quarter. Finally, Vanguard Group Inc. grew its stake in shares of International Business Machines by 1.5% in the 4th quarter. Vanguard Group Inc. now owns 97,216,131 shares of the technology company's stock worth $28,796,390,000 after buying an additional 1,439,824 shares in the last quarter. Institutional investors own 58.96% of the company's stock.

International Business Machines News Roundup

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

• Positive Sentiment: IBM continues to position itself for enterprise AI adoption, including a new Power S1112 server aimed at local AI inferencing and broader workload modernization.
• Neutral Sentiment: Some Wall Street analysts still maintain bullish ratings and believe IBM’s valuation now reflects a lot of bad news.
• Negative Sentiment: IBM’s preliminary Q2 results missed revenue and earnings expectations, signaling weaker-than-expected enterprise demand and a slower near-term growth outlook.
• Negative Sentiment: Multiple law firms have launched securities-fraud investigations into IBM after the sharp stock drop, which could keep pressure on investor sentiment.

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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