International Business Machines (NYSE:IBM) Stock Price Down 5.5% – Time to Sell?

International Business Machines Corporation (NYSE:IBM) traded down 5.5% during trading on Friday . The stock traded as low as $281.07 and last traded at $285.0620. 12,147,749 shares changed hands during trading, an increase of 70% from the average session volume of 7,134,877 shares. The stock had previously closed at $301.77.

Trending Headlines about International Business Machines

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

• Positive Sentiment: Wedbush reportedly reset its IBM price target, citing stronger AI momentum and continued demand for IBM’s enterprise software and consulting offerings.
• Positive Sentiment: IBM’s new strategic partnership with Google Cloud to scale enterprise AI adoption is being seen as a meaningful growth driver, with the deal aimed at helping customers modernize systems and bring AI into production faster. IBM and Google Cloud Announce Strategic Partnership to Scale AI with Human Expertise and AI‑Powered Delivery
• Positive Sentiment: Several market commentary pieces highlighted IBM’s large quantum-computing investment as a long-term catalyst, with some analysts saying the company is strengthening its position in an emerging high-growth market. IBM Stock’s $10 Billion Quantum Catalyst Is Here
• Positive Sentiment: Citi also pointed to IBM’s growing role in quantum computing, reinforcing the view that the company’s heavy spending could secure a leadership position in a market with major future upside.
• Neutral Sentiment: IBM shares were included in broader market coverage of stocks making big moves, reflecting elevated trading interest but not adding a clearly new company-specific catalyst.
• Negative Sentiment: A former IBM cybersecurity executive accused the company of covering up multiple foreign-government data breaches over the past decade, raising potential reputational and legal risks. Former cyber executive turned whistleblower accuses IBM of covering up several data breaches
• Negative Sentiment: Another report repeated allegations that IBM and AT&T concealed foreign hacks, which could weigh on investor sentiment if the claims gain traction.

Analysts Set New Price Targets

Several equities research analysts have commented on the stock. Oppenheimer decreased their target price on shares of International Business Machines from $380.00 to $320.00 and set an “outperform” rating on the stock in a research report on Thursday, April 16th. Needham & Company LLC assumed coverage on shares of International Business Machines in a research report on Wednesday. They set a “buy” rating on the stock. Citigroup boosted their target price on shares of International Business Machines from $285.00 to $375.00 and gave the stock a “buy” rating in a research report on Tuesday. Royal Bank Of Canada restated an “outperform” rating on shares of International Business Machines in a research report on Thursday, May 28th. Finally, Roth Mkm restated a “buy” rating on shares of International Business Machines in a research report on Wednesday. One research analyst has rated the stock with a Strong Buy rating, fourteen have given a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat.com, International Business Machines currently has a consensus rating of “Moderate Buy” and a consensus price target of $304.17.

International Business Machines Trading Down 5.5%

The firm has a market cap of $267.93 billion, a PE ratio of 25.20, a PEG ratio of 2.95 and a beta of 0.67. The business has a 50-day moving average price of $246.48 and a two-hundred day moving average price of $270.94. The company has a debt-to-equity ratio of 1.75, a current ratio of 0.80 and a quick ratio of 0.76.

International Business Machines (NYSE:IBM) last announced its quarterly earnings results on Wednesday, April 22nd. The technology company reported $1.91 earnings per share for the quarter, beating analysts’ consensus estimates of $1.81 by $0.10. International Business Machines had a return on equity of 37.23% and a net margin of 15.61%.The business had revenue of $15.92 billion during the quarter, compared to analysts’ expectations of $15.60 billion. During the same quarter last year, the business posted $1.60 earnings per share. The business’s revenue for the quarter was up 9.5% on a year-over-year basis. Analysts forecast that International Business Machines Corporation will post 12.4 EPS for the current year.

International Business Machines Increases Dividend

The business also recently disclosed a quarterly dividend, which will be paid on Wednesday, June 10th. Investors of record on Friday, May 8th will be given a dividend of $1.69 per share. The ex-dividend date is Friday, May 8th. This represents a $6.76 dividend on an annualized basis and a yield of 2.4%. This is a boost from International Business Machines’s previous quarterly dividend of $1.68. International Business Machines’s dividend payout ratio (DPR) is 59.77%.

Institutional Trading of International Business Machines

A number of hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Basepoint Wealth LLC purchased a new stake in International Business Machines in the 4th quarter worth approximately $25,000. Family CFO Inc purchased a new stake in International Business Machines in the 4th quarter worth approximately $25,000. Joseph Group Capital Management purchased a new stake in International Business Machines in the 4th quarter worth approximately $28,000. Cornerstone Financial Management LLC purchased a new stake in International Business Machines in the 4th quarter worth approximately $28,000. Finally, SWAN Capital LLC purchased a new stake in International Business Machines in the 3rd quarter worth approximately $28,000. 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.