International Business Machines (NYSE:IBM) Shares Down 1.6% – Here’s Why

Shares of International Business Machines Corporation (NYSE:IBM) fell 1.6% during mid-day trading on Friday . The stock traded as low as $289.00 and last traded at $291.3470. 4,609,268 shares traded hands during mid-day trading, an increase of 38% from the average session volume of 3,352,010 shares. The stock had previously closed at $296.21.

Analyst Upgrades and Downgrades

Several research firms have recently weighed in on IBM. Morgan Stanley decreased their target price on International Business Machines from $256.00 to $252.00 and set an “equal weight” rating on the stock in a research report on Thursday, October 23rd. UBS Group reissued a “sell” rating on shares of International Business Machines in a research note on Tuesday, December 9th. Royal Bank Of Canada lowered their target price on shares of International Business Machines from $315.00 to $300.00 and set an “outperform” rating on the stock in a research note on Thursday, October 23rd. Bank of America increased their target price on shares of International Business Machines from $310.00 to $315.00 and gave the company a “buy” rating in a research report on Thursday, October 23rd. Finally, Weiss Ratings upgraded shares of International Business Machines from a “hold (c+)” rating to a “buy (b)” rating in a research report on Saturday, October 25th. One investment analyst has rated the stock with a Strong Buy rating, nine have issued a Buy rating, six have assigned a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, the company presently has a consensus rating of “Moderate Buy” and an average target price of $293.38.

International Business Machines Stock Down 1.6%

The company has a debt-to-equity ratio of 1.97, a current ratio of 0.93 and a quick ratio of 0.89. The company has a market capitalization of $272.33 billion, a PE ratio of 34.85, a P/E/G ratio of 2.95 and a beta of 0.70. The business’s 50 day simple moving average is $304.87 and its 200 day simple moving average is $281.41.

International Business Machines (NYSE:IBM) last announced its quarterly earnings results on Wednesday, October 22nd. The technology company reported $2.65 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $2.45 by $0.20. The business had revenue of $16.33 billion during the quarter, compared to the consensus estimate of $16.10 billion. International Business Machines had a net margin of 12.09% and a return on equity of 37.76%. The business’s revenue was up 9.1% compared to the same quarter last year. During the same quarter last year, the firm earned $2.30 EPS. As a group, analysts anticipate that International Business Machines Corporation will post 10.78 earnings per share for the current fiscal year.

International Business Machines Dividend Announcement

The firm also recently announced a quarterly dividend, which was paid on Wednesday, December 10th. Shareholders of record on Monday, November 10th were given a $1.68 dividend. The ex-dividend date was Monday, November 10th. This represents a $6.72 dividend on an annualized basis and a yield of 2.3%. International Business Machines’s payout ratio is currently 80.38%.

Institutional Trading of International Business Machines

Hedge funds and other institutional investors have recently modified their holdings of the business. CFS Investment Advisory Services LLC raised its stake in shares of International Business Machines by 0.4% in the 3rd quarter. CFS Investment Advisory Services LLC now owns 9,359 shares of the technology company’s stock valued at $2,878,000 after acquiring an additional 34 shares during the period. KPP Advisory Services LLC increased its holdings in International Business Machines by 1.7% in the 3rd quarter. KPP Advisory Services LLC now owns 2,069 shares of the technology company’s stock valued at $584,000 after purchasing an additional 34 shares during the last quarter. Marco Investment Management LLC raised its position in International Business Machines by 0.3% in the third quarter. Marco Investment Management LLC now owns 10,774 shares of the technology company’s stock valued at $3,040,000 after purchasing an additional 34 shares during the period. MA Private Wealth lifted its stake in International Business Machines by 1.5% during the third quarter. MA Private Wealth now owns 2,242 shares of the technology company’s stock worth $633,000 after purchasing an additional 34 shares in the last quarter. Finally, Altman Advisors Inc. boosted its position in shares of International Business Machines by 0.3% during the third quarter. Altman Advisors Inc. now owns 9,929 shares of the technology company’s stock worth $2,802,000 after buying an additional 34 shares during the period. 58.96% of the stock is owned by institutional investors and hedge funds.

International Business Machines Company Profile

International Business Machines Corporation (IBM) is a global technology and consulting company headquartered in Armonk, New York. Founded in 1911 as the Computing-Tabulating-Recording Company (CTR) and renamed IBM in 1924, the company has evolved from early electromechanical machines to a diversified technology provider serving enterprises and governments worldwide. IBM is publicly traded on the New York Stock Exchange under the ticker symbol IBM.

IBM’s principal businesses encompass cloud computing and software, infrastructure and systems, consulting and technology services, and research and development.