International Business Machines (NYSE:IBM) Shares Gap Down on Analyst Downgrade

International Business Machines Co. (NYSE:IBM - Get Free Report) gapped down prior to trading on Thursday after Morgan Stanley lowered their price target on the stock from $237.00 to $233.00. The stock had previously closed at $245.48, but opened at $231.18. Morgan Stanley currently has an equal weight rating on the stock. International Business Machines shares last traded at $231.15, with a volume of 5,791,240 shares traded.

A number of other brokerages have also recently commented on IBM. Jefferies Financial Group reaffirmed a "hold" rating on shares of International Business Machines in a research report on Wednesday, April 23rd. The Goldman Sachs Group restated a "buy" rating on shares of International Business Machines in a research report on Wednesday, February 5th. Wedbush reiterated an "outperform" rating and issued a $300.00 target price on shares of International Business Machines in a report on Thursday. Sanford C. Bernstein raised their price objective on shares of International Business Machines from $210.00 to $215.00 and gave the stock a "market perform" rating in a research report on Friday, January 3rd. Finally, Bank of America boosted their target price on shares of International Business Machines from $260.00 to $270.00 and gave the company a "buy" rating in a research report on Thursday, January 30th. Two analysts have rated the stock with a sell rating, eight have assigned a hold rating, eight have issued a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the company has an average rating of "Hold" and a consensus price target of $242.41.

Insider Buying and Selling at International Business Machines

In other news, SVP Robert David Thomas sold 26,543 shares of the company's stock in a transaction that occurred on Monday, March 3rd. The stock was sold at an average price of $253.01, for a total value of $6,715,644.43. Following the completion of the transaction, the senior vice president now directly owns 45,007 shares of the company's stock, valued at $11,387,221.07. This represents a 37.10 % decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available at this hyperlink. Company insiders own 0.18% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors have recently bought and sold shares of IBM. Compass Financial Services Inc purchased a new stake in International Business Machines during the fourth quarter worth about $26,000. Vision Financial Markets LLC purchased a new stake in shares of International Business Machines during the 4th quarter worth approximately $31,000. Avondale Wealth Management raised its holdings in shares of International Business Machines by 56.0% in the 4th quarter. Avondale Wealth Management now owns 156 shares of the technology company's stock worth $34,000 after purchasing an additional 56 shares during the period. Valued Wealth Advisors LLC lifted its stake in International Business Machines by 134.3% in the fourth quarter. Valued Wealth Advisors LLC now owns 157 shares of the technology company's stock valued at $35,000 after purchasing an additional 90 shares during the last quarter. Finally, Rialto Wealth Management LLC bought a new position in International Business Machines during the fourth quarter valued at $35,000. Institutional investors own 58.96% of the company's stock.

International Business Machines Stock Up 1.6 %

The firm has a market capitalization of $218.97 billion, a PE ratio of 36.84, a P/E/G ratio of 5.81 and a beta of 0.67. The stock has a 50-day simple moving average of $245.34 and a 200-day simple moving average of $233.92. The company has a quick ratio of 1.00, a current ratio of 1.04 and a debt-to-equity ratio of 1.82.

International Business Machines (NYSE:IBM - Get Free Report) last announced its quarterly earnings data on Wednesday, April 23rd. The technology company reported $1.60 earnings per share for the quarter, topping the consensus estimate of $1.42 by $0.18. The company had revenue of $14.54 billion during the quarter, compared to analyst estimates of $14.41 billion. International Business Machines had a return on equity of 38.99% and a net margin of 9.60%. The firm's revenue for the quarter was up .5% on a year-over-year basis. During the same quarter last year, the firm posted $1.68 EPS. Analysts forecast that International Business Machines Co. will post 10.78 EPS for the current year.

International Business Machines Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 10th. Investors of record on Monday, February 10th were issued a $1.67 dividend. This represents a $6.68 annualized dividend and a yield of 2.83%. The ex-dividend date was Monday, February 10th. International Business Machines's dividend payout ratio (DPR) is presently 114.97%.

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.