International Business Machines (NYSE:IBM) Stock Price Up 1.1% - Here's Why

Shares of International Business Machines Co. (NYSE:IBM - Get Free Report) were up 1.1% on Wednesday . The stock traded as high as $278.89 and last traded at $279.41. Approximately 889,226 shares changed hands during trading, a decline of 81% from the average daily volume of 4,632,561 shares. The stock had previously closed at $276.24.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on IBM shares. Jefferies Financial Group reiterated a "hold" rating on shares of International Business Machines in a research report on Wednesday, April 23rd. Wall Street Zen cut International Business Machines from a "buy" rating to a "hold" rating in a research report on Wednesday, May 21st. Citigroup restated an "outperform" rating on shares of International Business Machines in a research report on Saturday, May 10th. KGI Securities set a $242.00 price target on International Business Machines and gave the stock a "hold" rating in a research report on Thursday, April 24th. Finally, Royal Bank of Canada raised their price target on International Business Machines from $276.00 to $285.00 and gave the stock an "outperform" rating in a research report on Thursday, May 15th. One research analyst has rated the stock with a sell rating, nine have assigned a hold rating, eight have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, International Business Machines has an average rating of "Hold" and an average price target of $250.31.

International Business Machines Stock Performance

The company has a debt-to-equity ratio of 1.82, a current ratio of 1.04 and a quick ratio of 1.00. The stock has a 50-day simple moving average of $252.60 and a 200-day simple moving average of $243.67. The stock has a market cap of $257.29 billion, a P/E ratio of 43.19, a PEG ratio of 5.81 and a beta of 0.66.

International Business Machines (NYSE:IBM - Get Free Report) last released its earnings results 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 firm had revenue of $14.54 billion for the quarter, compared to analysts' expectations of $14.41 billion. During the same quarter in the previous year, the business posted $1.68 earnings per share. The business's revenue for the quarter was up .5% on a year-over-year basis. Research analysts forecast that International Business Machines Co. 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 dividend on an annualized basis and a dividend yield of 2.43%. This is a positive change from International Business Machines's previous quarterly dividend of $1.67. International Business Machines's dividend payout ratio (DPR) is presently 115.66%.

Institutional Trading of International Business Machines

A number of hedge funds have recently made changes to their positions in IBM. Capital World Investors boosted its stake in shares of International Business Machines by 413.5% during the fourth quarter. Capital World Investors now owns 11,984,609 shares of the technology company's stock valued at $2,634,577,000 after purchasing an additional 9,650,534 shares in the last quarter. Norges Bank acquired a new stake in shares of International Business Machines during the fourth quarter valued at about $1,236,176,000. GAMMA Investing LLC lifted its stake in shares of International Business Machines by 29,564.2% in the first quarter. GAMMA Investing LLC now owns 4,399,790 shares of the technology company's stock worth $10,940,520,000 after acquiring an additional 4,384,958 shares during the period. GQG Partners LLC acquired a new position in shares of International Business Machines in the first quarter worth approximately $1,040,057,000. Finally, Nuveen LLC acquired a new position in shares of International Business Machines in the first quarter worth approximately $960,386,000. 58.96% of the stock is owned by institutional investors and hedge funds.

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.