International Business Machines (NYSE:IBM) Trading Up 2.5% – Time to Buy?

International Business Machines Corporation (NYSE:IBM) rose 2.5% during mid-day trading on Tuesday . The stock traded as high as $303.04 and last traded at $302.2570. Approximately 4,140,712 shares changed hands during mid-day trading, a decline of 4% from the average daily volume of 4,330,775 shares. The stock had previously closed at $294.97.

International Business Machines News Summary

Here are the key news stories impacting International Business Machines this week:

• Positive Sentiment: Jefferies upgraded IBM to Buy and raised its price target to $360, citing stronger 2026 AI and cloud growth potential — a clear catalyst for bullish investor flows. IBM stock gets upgraded to buy. Why this other tech stock was downgraded.
• Positive Sentiment: Jefferies’ upgrade and bullish thesis were widely reported (Barron’s/MSN), reinforcing momentum among institutional and options traders who see IBM’s AI/cloud trajectory accelerating. IBM Stock Is an ‘Acceleration Story,’ Say Analysts. Why Adobe Doesn’t Get the Same Vote of Confidence.
• Positive Sentiment: IBM announced a multi-year renewal as the official AI, cloud and digital transformation partner for Wimbledon — a high-visibility deal that showcases IBM’s AI capabilities and helps the company market enterprise services. IBM Announces Long-Term Renewal as the Official AI, Cloud and Digital Transformation Partner for The All England Lawn Tennis Club
• Positive Sentiment: Several outlets (including Benzinga and MarketWatch-style roundups) highlight a cluster of analyst forecasts and technical commentary suggesting further upside, which can attract momentum traders and option activity. IBM To Rally More Than 23%? Here Are 10 Top Analyst Forecasts For Monday
• Neutral Sentiment: Short-form coverage notes a modest recent uptick versus the market; useful near-term confirmation but not a fundamental driver. IBM (IBM) Beats Stock Market Upswing: What Investors Need to Know
• Positive Sentiment: Longer-form investor pieces (The Motley Fool) argue IBM is an undervalued turnaround/bargain given its AI and cloud repositioning, supporting buy-and-hold interest. 2 Top Bargain Stocks Ready for Bull Runs
• Negative Sentiment: A valuation note flags that recent share-price momentum has cooled and that IBM’s forward P/E/valuation warrants scrutiny after the rally — a cautionary signal for value-focused investors. A Look At IBM (IBM) Valuation After Recent Share Price Momentum Cools

Analyst Ratings Changes

IBM has been the topic of a number of research reports. Jefferies Financial Group raised International Business Machines from a “hold” rating to a “buy” rating and increased their price objective for the company from $300.00 to $360.00 in a report on Monday. Oppenheimer started coverage on shares of International Business Machines in a report on Friday, November 21st. They issued an “outperform” rating and a $360.00 price target on the stock. Weiss Ratings upgraded shares of International Business Machines from a “hold (c+)” rating to a “buy (b)” rating in a research note on Saturday, October 25th. Morgan Stanley dropped their price objective on shares of International Business Machines from $256.00 to $252.00 and set an “equal weight” rating on the stock in a report on Thursday, October 23rd. Finally, Royal Bank Of Canada raised their target price on shares of International Business Machines from $300.00 to $350.00 and gave the stock an “outperform” rating in a report on Monday. One analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, five have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat.com, International Business Machines currently has an average rating of “Moderate Buy” and an average target price of $301.85.

International Business Machines Stock Performance

The company has a current ratio of 0.93, a quick ratio of 0.89 and a debt-to-equity ratio of 1.97. The stock has a market capitalization of $282.53 billion, a PE ratio of 36.16, a price-to-earnings-growth ratio of 2.70 and a beta of 0.70. The firm’s fifty day moving average price is $304.19 and its two-hundred day moving average price is $281.54.

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

International Business Machines Announces Dividend

The firm also recently announced a quarterly dividend, which was paid on Wednesday, December 10th. Stockholders of record on Monday, November 10th were given a dividend of $1.68 per share. The ex-dividend date was Monday, November 10th. This represents a $6.72 dividend on an annualized basis and a dividend yield of 2.2%. International Business Machines’s dividend payout ratio (DPR) is 80.38%.

Hedge Funds Weigh In On International Business Machines

A number of hedge funds have recently bought and sold shares of the business. Eagle Wealth Strategies LLC lifted its position in shares of International Business Machines by 10.7% during the 4th quarter. Eagle Wealth Strategies LLC now owns 1,928 shares of the technology company’s stock valued at $571,000 after buying an additional 187 shares in the last quarter. OMC Financial Services LTD acquired a new position in International Business Machines during the fourth quarter worth $430,000. Avior Wealth Management LLC lifted its holdings in International Business Machines by 5.0% during the fourth quarter. Avior Wealth Management LLC now owns 6,705 shares of the technology company’s stock valued at $1,893,000 after purchasing an additional 322 shares in the last quarter. Unique Wealth LLC grew its position in shares of International Business Machines by 5.1% in the fourth quarter. Unique Wealth LLC now owns 1,219 shares of the technology company’s stock valued at $361,000 after purchasing an additional 59 shares during the period. Finally, Neville Rodie & Shaw Inc. grew its position in shares of International Business Machines by 2.1% in the fourth quarter. Neville Rodie & Shaw Inc. now owns 58,810 shares of the technology company’s stock valued at $17,420,000 after purchasing an additional 1,223 shares during the period. Hedge funds and other institutional investors own 58.96% of the company’s stock.

About International Business Machines

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.