International Business Machines (NYSE:IBM) Trading Down 1% - Here's Why

International Business Machines Co. (NYSE:IBM - Get Free Report) shares dropped 1% on Thursday . The company traded as low as $247.67 and last traded at $247.78. Approximately 593,693 shares were traded during mid-day trading, a decline of 85% from the average daily volume of 3,885,614 shares. The stock had previously closed at $250.34.

Analyst Ratings Changes

IBM has been the subject of several research reports. Erste Group Bank raised shares of International Business Machines from a "hold" rating to a "strong-buy" rating in a research report on Monday, March 17th. BMO Capital Markets increased their target price on International Business Machines from $260.00 to $280.00 and gave the stock a "market perform" rating in a report on Thursday, January 30th. Oppenheimer initiated coverage on International Business Machines in a report on Tuesday, February 11th. They issued an "outperform" rating and a $320.00 price target on the stock. StockNews.com downgraded International Business Machines from a "buy" rating to a "hold" rating in a report on Saturday, March 15th. Finally, Royal Bank of Canada reaffirmed an "outperform" rating and set a $250.00 price target on shares of International Business Machines in a research report on Monday, January 27th. Two research analysts have rated the stock with a sell rating, eight have issued a hold rating, seven have given a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat, the company has a consensus rating of "Hold" and a consensus price target of $231.44.

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International Business Machines Price Performance

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 business has a fifty day moving average of $249.51 and a 200 day moving average of $231.47. The firm has a market cap of $226.10 billion, a P/E ratio of 38.04, a PEG ratio of 5.81 and a beta of 0.74.

International Business Machines (NYSE:IBM - Get Free Report) last posted its quarterly earnings results on Wednesday, January 29th. The technology company reported $3.92 earnings per share for the quarter, beating analysts' consensus estimates of $3.77 by $0.15. International Business Machines had a return on equity of 38.99% and a net margin of 9.60%. On average, sell-side analysts anticipate that International Business Machines Co. will post 10.78 earnings per share for the current year.

International Business Machines Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, March 10th. Shareholders of record on Monday, February 10th were given a dividend of $1.67 per share. The ex-dividend date was Monday, February 10th. This represents a $6.68 annualized dividend and a yield of 2.74%. International Business Machines's dividend payout ratio (DPR) is presently 104.21%.

Insider Transactions at International Business Machines

In other news, SVP Robert David Thomas sold 26,543 shares of the business's stock in a transaction dated 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 approximately $11,387,221.07. The trade was a 37.10 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. Corporate insiders own 0.18% of the company's stock.

Hedge Funds Weigh In On International Business Machines

Hedge funds have recently bought and sold shares of the business. JBR Co Financial Management Inc raised its position in shares of International Business Machines by 0.6% in the fourth 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 in the last quarter. Wealth Dimensions Group Ltd. increased its stake in International Business Machines by 1.0% during the 4th 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 during the period. Schechter Investment Advisors LLC raised its holdings in International Business Machines by 0.7% in the 4th quarter. Schechter Investment Advisors LLC now owns 6,351 shares of the technology company's stock valued at $1,396,000 after acquiring an additional 43 shares in the last quarter. Titleist Asset Management LLC lifted its position in shares of International Business Machines by 3.1% during the 4th quarter. Titleist Asset Management LLC now owns 1,431 shares of the technology company's stock valued at $315,000 after acquiring an additional 43 shares during the period. Finally, Callan Capital LLC grew its holdings in shares of International Business Machines by 2.4% during the 4th quarter. Callan Capital LLC now owns 1,870 shares of the technology company's stock worth $411,000 after purchasing an additional 44 shares in the last quarter. 58.96% of the stock is owned by 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.