Zacks Research Brokers Reduce Earnings Estimates for IBM

International Business Machines Co. (NYSE:IBM - Free Report) - Analysts at Zacks Research decreased their Q1 2025 earnings estimates for International Business Machines in a research note issued to investors on Tuesday, February 18th. Zacks Research analyst S. Bose now forecasts that the technology company will earn $1.40 per share for the quarter, down from their previous estimate of $1.57. The consensus estimate for International Business Machines' current full-year earnings is $10.77 per share. Zacks Research also issued estimates for International Business Machines' Q2 2025 earnings at $2.49 EPS, Q3 2025 earnings at $2.39 EPS, Q1 2026 earnings at $1.71 EPS, Q2 2026 earnings at $2.96 EPS, Q3 2026 earnings at $2.63 EPS and FY2027 earnings at $11.85 EPS.

IBM has been the subject of several other reports. Jefferies Financial Group increased their price target on shares of International Business Machines from $245.00 to $270.00 and gave the stock a "hold" rating in a report on Thursday, January 30th. BMO Capital Markets increased their price target on shares of International Business Machines from $260.00 to $280.00 and gave the stock a "market perform" rating in a research report on Thursday, January 30th. Oppenheimer started coverage on International Business Machines in a report on Tuesday, February 11th. They set an "outperform" rating and a $320.00 target price for the company. UBS Group upped their price objective on International Business Machines from $150.00 to $160.00 and gave the company a "sell" rating in a report on Tuesday, January 14th. Finally, Royal Bank of Canada reiterated an "outperform" rating and issued a $250.00 target price on shares of International Business Machines in a report on Monday, January 27th. Two analysts have rated the stock with a sell rating, seven have given a hold rating and eight have assigned a buy rating to the stock. According to MarketBeat, International Business Machines has an average rating of "Hold" and a consensus target price of $231.44.

International Business Machines Stock Down 1.1 %

International Business Machines stock traded down $2.97 during mid-day trading on Thursday, hitting $261.77. The company had a trading volume of 5,665,344 shares, compared to its average volume of 4,735,325. The stock has a market cap of $242.05 billion, a price-to-earnings ratio of 40.84, a PEG ratio of 5.80 and a beta of 0.76. 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 $234.65 and a 200 day moving average of $221.26. International Business Machines has a 1 year low of $162.62 and a 1 year high of $265.72.

International Business Machines (NYSE:IBM - Get Free Report) last announced its quarterly earnings data on Wednesday, January 29th. The technology company reported $3.92 EPS for the quarter, topping 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%.

International Business Machines Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Monday, March 10th. Investors of record on Monday, February 10th will be paid a dividend of $1.67 per share. This represents a $6.68 dividend on an annualized basis and a dividend yield of 2.55%. The ex-dividend date of this dividend is Monday, February 10th. International Business Machines's dividend payout ratio (DPR) is 104.21%.

Institutional Trading of International Business Machines

Several hedge funds have recently bought and sold shares of the stock. Capital World Investors grew its holdings in shares of International Business Machines by 413.5% in the fourth quarter. Capital World Investors now owns 11,984,609 shares of the technology company's stock worth $2,634,577,000 after purchasing an additional 9,650,534 shares during the last quarter. Norges Bank acquired a new position in International Business Machines during the 4th quarter valued at about $1,236,176,000. International Assets Investment Management LLC boosted its stake in International Business Machines by 20,324.5% in the 3rd quarter. International Assets Investment Management LLC now owns 2,715,636 shares of the technology company's stock worth $600,373,000 after purchasing an additional 2,702,340 shares in the last quarter. Raymond James Financial Inc. acquired a new stake in International Business Machines during the 4th quarter worth about $592,746,000. Finally, Holocene Advisors LP acquired a new stake in International Business Machines during the 3rd quarter valued at approximately $573,306,000. Hedge funds and other institutional investors own 58.96% of the company's stock.

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.