International Business Machines (NYSE:IBM) Releases Earnings Results, Beats Expectations By $0.18 EPS

International Business Machines (NYSE:IBM - Get Free Report) released its quarterly earnings results on Wednesday. The technology company reported $1.60 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.42 by $0.18, Zacks reports. The business had revenue of $14.54 billion for the quarter, compared to analyst estimates of $14.41 billion. International Business Machines had a net margin of 9.60% and a return on equity of 38.99%. International Business Machines updated its FY 2025 guidance to EPS and its Q2 2025 guidance to EPS.

International Business Machines Price Performance

NYSE IBM traded up $1.99 during mid-day trading on Friday, hitting $231.32. The stock had a trading volume of 3,089,356 shares, compared to its average volume of 5,026,300. The firm's 50 day moving average is $245.94 and its 200 day moving average is $233.89. 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 market capitalization of $214.49 billion, a price-to-earnings ratio of 36.09, a PEG ratio of 5.81 and a beta of 0.67. International Business Machines has a twelve month low of $162.62 and a twelve month high of $266.45.

International Business Machines Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Monday, March 10th. Stockholders of record on Monday, February 10th were given a $1.67 dividend. The ex-dividend date of this dividend was Monday, February 10th. This represents a $6.68 annualized dividend and a dividend yield of 2.89%. International Business Machines's dividend payout ratio (DPR) is presently 104.21%.

Analyst Ratings Changes

A number of analysts have commented on IBM shares. The Goldman Sachs Group reaffirmed a "buy" rating on shares of International Business Machines in a research report on Wednesday, February 5th. JPMorgan Chase & Co. increased their price target on shares of International Business Machines from $233.00 to $244.00 and gave the stock a "neutral" rating in a report on Thursday, January 30th. Morgan Stanley decreased their price objective on shares of International Business Machines from $237.00 to $233.00 and set an "equal weight" rating for the company in a research note on Thursday. Sanford C. Bernstein increased 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 note on Friday, January 3rd. Finally, Wedbush restated an "outperform" rating and set a $300.00 target price on shares of International Business Machines in a research report on Thursday. Two investment analysts have rated the stock with a sell rating, eight have issued a hold rating, eight have given a buy rating and one has issued a strong buy rating to the company's stock. According to data from MarketBeat, the stock presently has a consensus rating of "Hold" and an average target price of $242.41.

Insiders Place Their Bets

In other news, SVP Robert David Thomas sold 26,543 shares of the business'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 transaction of $6,715,644.43. Following the transaction, the senior vice president now directly owns 45,007 shares in the company, valued at $11,387,221.07. The trade was a 37.10 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. 0.18% of the stock is currently owned by corporate insiders.

Hedge Funds Weigh In On International Business Machines

A hedge fund recently raised its stake in International Business Machines stock. Brighton Jones LLC raised its position in International Business Machines Co. (NYSE:IBM - Free Report) by 12.4% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 21,011 shares of the technology company's stock after purchasing an additional 2,323 shares during the quarter. Brighton Jones LLC's holdings in International Business Machines were worth $4,619,000 as of its most recent SEC filing. 58.96% of the stock is owned by hedge funds and other institutional investors.

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.