International Business Machines (NYSE:IBM) Trading Down 1.2% - Here's Why

Shares of International Business Machines Corporation (NYSE:IBM - Get Free Report) dropped 1.2% during mid-day trading on Thursday . The company traded as low as $282.21 and last traded at $286.74. Approximately 1,209,209 shares were traded during trading, a decline of 71% from the average daily volume of 4,224,540 shares. The stock had previously closed at $290.14.

Analyst Upgrades and Downgrades

Several equities analysts recently commented on the stock. Erste Group Bank upgraded shares of International Business Machines from a "hold" rating to a "strong-buy" rating in a research note on Monday, March 17th. Royal Bank Of Canada lifted their price target on shares of International Business Machines from $276.00 to $285.00 and gave the stock an "outperform" rating in a research note on Thursday, May 15th. BMO Capital Markets restated a "market perform" rating on shares of International Business Machines in a research note on Wednesday, April 23rd. The Goldman Sachs Group raised their price objective on shares of International Business Machines from $270.00 to $310.00 and gave the stock a "buy" rating in a report on Wednesday, July 2nd. Finally, Jefferies Financial Group reissued a "hold" rating on shares of International Business Machines in a research report on Wednesday, April 23rd. One equities research analyst has rated the stock with a sell rating, nine have given a hold rating, eight have assigned a buy rating and two have given a strong buy rating to the company. According to data from MarketBeat, the company has an average rating of "Moderate Buy" and an average target price of $259.06.

International Business Machines Trading Down 1.4%

The company has a debt-to-equity ratio of 2.09, a quick ratio of 0.97 and a current ratio of 1.01. The firm has a market cap of $263.33 billion, a price-to-earnings ratio of 48.77, a P/E/G ratio of 6.09 and a beta of 0.69. The company's 50-day moving average is $272.42 and its 200-day moving average is $251.52.

International Business Machines (NYSE:IBM - Get Free Report) last released its quarterly earnings results on Wednesday, April 23rd. The technology company reported $1.60 EPS for the quarter, beating the consensus estimate of $1.42 by $0.18. International Business Machines had a net margin of 8.71% and a return on equity of 37.43%. The business had revenue of $14.54 billion for the quarter, compared to analysts' expectations of $14.41 billion. During the same period in the prior year, the firm earned $1.68 earnings per share. International Business Machines's revenue was up .5% compared to the same quarter last year. On average, research analysts predict that International Business Machines Corporation will post 10.78 earnings per share for the current year.

International Business Machines Increases Dividend

The company also recently declared a quarterly dividend, which was paid on Tuesday, June 10th. Stockholders of record on Friday, May 9th were paid a dividend of $1.68 per share. This represents a $6.72 annualized dividend and a dividend yield of 2.37%. This is a positive change from International Business Machines's previous quarterly dividend of $1.67. International Business Machines's dividend payout ratio is 115.66%.

Institutional Trading of International Business Machines

Several institutional investors and hedge funds have recently added to or reduced their stakes in the company. MinichMacGregor Wealth Management LLC acquired a new stake in International Business Machines during the 1st quarter worth $396,000. Treasurer of the State of North Carolina grew its stake in shares of International Business Machines by 0.8% during the fourth quarter. Treasurer of the State of North Carolina now owns 495,574 shares of the technology company's stock worth $108,942,000 after purchasing an additional 4,131 shares during the period. Alpha Cubed Investments LLC increased its holdings in International Business Machines by 47.0% in the first quarter. Alpha Cubed Investments LLC now owns 7,507 shares of the technology company's stock valued at $1,867,000 after purchasing an additional 2,399 shares during the last quarter. Mufg Securities Americas Inc. bought a new stake in International Business Machines in the fourth quarter valued at about $3,000,000. Finally, Magnolia Private Wealth LLC acquired a new position in International Business Machines in the first quarter valued at about $239,000. 58.96% of the stock is owned by institutional investors.

About International Business Machines

International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services worldwide. The company operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers a hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate.