Wedbush Has Optimistic Outlook of IBM Q2 Earnings

International Business Machines Co. (NYSE:IBM - Free Report) - Research analysts at Wedbush increased their Q2 2025 earnings per share (EPS) estimates for shares of International Business Machines in a research note issued to investors on Friday, April 25th. Wedbush analyst D. Ives now expects that the technology company will post earnings per share of $2.67 for the quarter, up from their prior forecast of $2.61. Wedbush has a "Outperform" rating and a $300.00 price target on the stock. The consensus estimate for International Business Machines' current full-year earnings is $10.78 per share. Wedbush also issued estimates for International Business Machines' Q3 2025 earnings at $2.45 EPS, Q4 2025 earnings at $4.16 EPS, FY2025 earnings at $10.90 EPS, Q1 2026 earnings at $1.74 EPS, Q2 2026 earnings at $2.80 EPS, Q3 2026 earnings at $2.79 EPS, Q4 2026 earnings at $4.24 EPS and FY2026 earnings at $11.56 EPS.

International Business Machines (NYSE:IBM - Get Free Report) last issued its quarterly earnings data on Wednesday, April 23rd. The technology company reported $1.60 EPS for the quarter, topping analysts' consensus estimates of $1.42 by $0.18. International Business Machines had a net margin of 9.60% and a return on equity of 38.99%. The firm had revenue of $14.54 billion for the quarter, compared to analyst estimates of $14.41 billion. During the same quarter in the prior year, the firm earned $1.68 EPS. The company's revenue was up .5% on a year-over-year basis.

IBM has been the subject of a number of other research reports. The Goldman Sachs Group restated a "buy" rating on shares of International Business Machines in a research report on Wednesday, February 5th. Oppenheimer initiated coverage on shares of International Business Machines in a research note 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 note on Thursday, April 24th. Jefferies Financial Group reaffirmed a "hold" rating on shares of International Business Machines in a research note on Wednesday, April 23rd. Finally, Bank of America upped 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 investment analysts have rated the stock with a sell rating, nine have issued a hold rating, seven have given a buy rating and one has assigned a strong buy rating to the company. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus target price of $242.41.

International Business Machines Trading Up 2.0 %

IBM stock traded up $4.90 during trading on Monday, hitting $244.56. The company had a trading volume of 738,178 shares, compared to its average volume of 4,193,782. The stock has a market cap of $226.77 billion, a price-to-earnings ratio of 38.16, a PEG ratio of 5.81 and a beta of 0.67. The company has a quick ratio of 1.00, a current ratio of 1.04 and a debt-to-equity ratio of 1.82. The firm has a 50-day moving average price of $243.42 and a 200-day moving average price of $234.06. International Business Machines has a 12 month low of $162.62 and a 12 month high of $266.45.

International Business Machines Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Tuesday, June 10th. Stockholders of record on Friday, May 9th will be issued a $1.68 dividend. This represents a $6.72 annualized dividend and a dividend yield of 2.75%. This is a boost from International Business Machines's previous quarterly dividend of $1.67. International Business Machines's dividend payout ratio is 114.97%.

Insider Transactions at International Business Machines

In related news, SVP Robert David Thomas sold 26,543 shares of the stock in a transaction dated Monday, March 3rd. The stock was sold at an average price of $253.01, for a total transaction of $6,715,644.43. Following the completion of the transaction, the senior vice president now directly owns 45,007 shares in the company, valued at approximately $11,387,221.07. This trade represents a 37.10 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. 0.18% of the stock is owned by insiders.

Institutional Investors Weigh In On International Business Machines

Institutional investors have recently bought and sold shares of the company. JBR Co Financial Management Inc increased its stake in International Business Machines by 0.6% in the 4th quarter. JBR Co Financial Management Inc now owns 6,390 shares of the technology company's stock valued at $1,405,000 after buying an additional 40 shares during the last quarter. Wealth Dimensions Group Ltd. raised its holdings in International Business Machines by 1.0% during the fourth quarter. Wealth Dimensions Group Ltd. now owns 3,972 shares of the technology company's stock worth $873,000 after acquiring an additional 40 shares in the last quarter. Pallas Capital Advisors LLC boosted its position in International Business Machines by 0.9% during the first quarter. Pallas Capital Advisors LLC now owns 4,805 shares of the technology company's stock valued at $1,195,000 after purchasing an additional 42 shares during the last quarter. DMC Group LLC grew its stake in International Business Machines by 1.2% in the first quarter. DMC Group LLC now owns 3,517 shares of the technology company's stock valued at $875,000 after purchasing an additional 42 shares in the last quarter. Finally, Schechter Investment Advisors LLC increased its position in shares of International Business Machines by 0.7% during the 4th quarter. Schechter Investment Advisors LLC now owns 6,351 shares of the technology company's stock worth $1,396,000 after purchasing an additional 43 shares during the last quarter. Institutional investors own 58.96% of the company's stock.

International Business Machines Company Profile

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.