International Business Machines (NYSE:IBM) Trading Up 0.9% - Still a Buy?

Shares of International Business Machines Co. (NYSE:IBM - Get Free Report) rose 0.9% during mid-day trading on Monday . The company traded as high as $225.96 and last traded at $224.73. Approximately 5,481,686 shares were traded during trading, an increase of 83% from the average daily volume of 2,994,162 shares. The stock had previously closed at $222.66.

Wall Street Analysts Forecast Growth

IBM has been the subject of several research analyst reports. The Goldman Sachs Group upped their price objective on shares of International Business Machines from $220.00 to $250.00 and gave the stock a "buy" rating in a report on Monday, September 30th. StockNews.com downgraded shares of International Business Machines from a "buy" rating to a "hold" rating in a report on Wednesday, November 20th. Royal Bank of Canada reissued an "outperform" rating and set a $250.00 target price on shares of International Business Machines in a research note on Thursday, October 24th. BMO Capital Markets upped their price target on International Business Machines from $235.00 to $260.00 and gave the company a "market perform" rating in a report on Thursday, October 24th. Finally, Stifel Nicolaus raised their price objective on International Business Machines from $205.00 to $246.00 and gave the stock a "buy" rating in a research note on Wednesday, October 16th. Two equities research analysts have rated the stock with a sell rating, nine have assigned a hold rating and five have assigned a buy rating to the stock. According to data from MarketBeat, the company presently has a consensus rating of "Hold" and an average price target of $216.87.

International Business Machines Price Performance

The stock's 50 day moving average price is $222.87 and its two-hundred day moving average price is $211.14. The company has a debt-to-equity ratio of 2.16, a current ratio of 1.06 and a quick ratio of 1.01. The firm has a market capitalization of $207.80 billion, a price-to-earnings ratio of 32.71, a PEG ratio of 4.71 and a beta of 0.74.

International Business Machines (NYSE:IBM - Get Free Report) last released its earnings results on Wednesday, October 23rd. The technology company reported $2.30 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $2.27 by $0.03. International Business Machines had a return on equity of 40.52% and a net margin of 10.22%. The firm had revenue of $14.97 billion for the quarter, compared to analyst estimates of $15.08 billion. During the same quarter last year, the firm posted $2.20 EPS. The company's revenue was up 1.5% on a year-over-year basis. On average, equities research analysts anticipate that International Business Machines Co. will post 10.16 EPS for the current year.

International Business Machines Announces Dividend

The firm also recently declared a quarterly dividend, which was paid on Tuesday, December 10th. Shareholders of record on Tuesday, November 12th were paid a dividend of $1.67 per share. The ex-dividend date was Tuesday, November 12th. This represents a $6.68 dividend on an annualized basis and a yield of 2.97%. International Business Machines's dividend payout ratio is currently 97.23%.

Insider Activity

In other International Business Machines news, SVP Nickle Jaclyn Lamoreaux sold 3,600 shares of International Business Machines stock in a transaction on Friday, November 8th. The stock was sold at an average price of $215.20, for a total transaction of $774,720.00. Following the completion of the transaction, the senior vice president now directly owns 25,390 shares of the company's stock, valued at approximately $5,463,928. This trade represents a 12.42 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 0.07% of the company's stock.

Institutional Trading of International Business Machines

Large investors have recently added to or reduced their stakes in the company. Hazlett Burt & Watson Inc. boosted its holdings in International Business Machines by 1,054.5% in the third quarter. Hazlett Burt & Watson Inc. now owns 127 shares of the technology company's stock valued at $29,000 after acquiring an additional 116 shares during the last quarter. Hara Capital LLC acquired a new stake in shares of International Business Machines during the 3rd quarter worth approximately $29,000. Avondale Wealth Management lifted its holdings in International Business Machines by 56.0% in the fourth quarter. Avondale Wealth Management now owns 156 shares of the technology company's stock valued at $34,000 after buying an additional 56 shares during the period. Modus Advisors LLC bought a new position in International Business Machines in the fourth quarter valued at approximately $40,000. Finally, Capital Performance Advisors LLP acquired a new stake in International Business Machines during the 3rd quarter worth $43,000. 58.96% of the stock is owned by institutional investors.

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.