International Business Machines (NYSE:IBM) Trading 2.3% Higher on Analyst Upgrade

International Business Machines Co. (NYSE:IBM - Get Free Report)'s share price traded up 2.3% on Thursday after Royal Bank of Canada raised their price target on the stock from $276.00 to $285.00. Royal Bank of Canada currently has an outperform rating on the stock. International Business Machines traded as high as $263.30 and last traded at $263.73. 825,615 shares traded hands during trading, a decline of 80% from the average session volume of 4,205,662 shares. The stock had previously closed at $257.82.

Several other research firms also recently issued reports on IBM. Oppenheimer initiated coverage on International Business Machines in a research report on Tuesday, February 11th. They issued an "outperform" rating and a $320.00 target price on the stock. KGI Securities set a $242.00 price target on shares of International Business Machines and gave the stock a "hold" rating in a research report on Thursday, April 24th. StockNews.com raised shares of International Business Machines from a "hold" rating to a "buy" rating in a report on Tuesday. Bank of America increased their price target on International Business Machines from $260.00 to $270.00 and gave the stock a "buy" rating in a research report on Thursday, January 30th. Finally, Morgan Stanley reduced their price target on International Business Machines from $237.00 to $233.00 and set an "equal weight" rating for the company in a research report on Thursday, April 24th. One research analyst has rated the stock with a sell rating, eight have assigned a hold rating, nine have assigned a buy rating and one has issued a strong buy rating to the company. According to MarketBeat.com, International Business Machines has a consensus rating of "Moderate Buy" and a consensus target price of $249.06.

Insiders Place Their Bets

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

Institutional Trading of International Business Machines

A number of large investors have recently added to or reduced their stakes in IBM. Christopher J. Hasenberg Inc bought a new position in International Business Machines during the first quarter worth $27,000. SSA Swiss Advisors AG acquired a new position in International Business Machines in the first quarter valued at approximately $28,000. Compass Financial Services Inc acquired a new stake in shares of International Business Machines during the 4th quarter worth approximately $26,000. Dagco Inc. acquired a new position in shares of International Business Machines during the 1st quarter valued at $31,000. Finally, Vision Financial Markets LLC bought a new position in International Business Machines during the fourth quarter worth $31,000. Institutional investors and hedge funds own 58.96% of the company's stock.

International Business Machines Stock Performance

The company has a 50 day moving average price of $243.19 and a 200 day moving average price of $235.51. The company has a debt-to-equity ratio of 1.82, a quick ratio of 1.00 and a current ratio of 1.04. The company has a market capitalization of $246.68 billion, a price-to-earnings ratio of 41.42, a P/E/G ratio of 5.81 and a beta of 0.64.

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

International Business Machines Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, June 10th. Stockholders of record on Friday, May 9th will be given a $1.68 dividend. This represents a $6.72 annualized dividend and a dividend yield of 2.53%. This is an increase from International Business Machines's previous quarterly dividend of $1.67. International Business Machines's payout ratio is presently 115.66%.

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.

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