International Business Machines (NYSE:IBM) Trading 0.7% Higher on Strong Earnings

International Business Machines Co. (NYSE:IBM) traded up 0.7% on Wednesday following a better than expected earnings announcement. The company traded as high as $184.16 and last traded at $183.41. 1,449,024 shares traded hands during mid-day trading, a decline of 69% from the average session volume of 4,728,000 shares. The stock had previously closed at $182.19.

The technology company reported $1.68 earnings per share for the quarter, beating analysts’ consensus estimates of $1.59 by $0.09. International Business Machines had a return on equity of 39.55% and a net margin of 12.13%. The business had revenue of $14.46 billion during the quarter, compared to analyst estimates of $14.53 billion. During the same quarter last year, the business posted $1.36 EPS. The company’s revenue was up 1.5% on a year-over-year basis.

International Business Machines Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Saturday, March 9th. Investors of record on Friday, February 9th were issued a $1.66 dividend. This represents a $6.64 annualized dividend and a yield of 3.92%. The ex-dividend date of this dividend was Thursday, February 8th. International Business Machines’s payout ratio is 81.67%.

Wall Street Analyst Weigh In

Several brokerages have recently weighed in on IBM. Sanford C. Bernstein boosted their target price on International Business Machines from $165.00 to $186.00 and gave the stock a “market perform” rating in a report on Thursday, March 7th. Royal Bank of Canada lifted their price target on shares of International Business Machines from $179.00 to $200.00 and gave the company an “outperform” rating in a research report on Thursday, January 25th. Jefferies Financial Group reduced their price target on shares of International Business Machines from $215.00 to $210.00 and set a “hold” rating on the stock in a research report on Tuesday. Bank of America lifted their price target on shares of International Business Machines from $200.00 to $220.00 and gave the company a “buy” rating in a research report on Thursday, March 14th. Finally, JPMorgan Chase & Co. reduced their price target on shares of International Business Machines from $190.00 to $185.00 and set a “neutral” rating on the stock in a research report on Thursday. Two research analysts have rated the stock with a sell rating, seven have assigned a hold rating and five have given a buy rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average target price of $180.31.

Institutional Investors Weigh In On International Business Machines

Several hedge funds have recently made changes to their positions in the business. Q3 Asset Management boosted its stake in shares of International Business Machines by 1,326.4% during the first quarter. Q3 Asset Management now owns 16,518 shares of the technology company’s stock worth $3,152,000 after buying an additional 15,360 shares during the period. Jacobsen Capital Management acquired a new stake in shares of International Business Machines during the first quarter worth about $219,000. Lindbrook Capital LLC boosted its stake in shares of International Business Machines by 5.4% during the first quarter. Lindbrook Capital LLC now owns 3,784 shares of the technology company’s stock worth $723,000 after buying an additional 195 shares during the period. Center for Financial Planning Inc. boosted its stake in shares of International Business Machines by 23.7% during the first quarter. Center for Financial Planning Inc. now owns 3,195 shares of the technology company’s stock worth $610,000 after buying an additional 613 shares during the period. Finally, TRUE Private Wealth Advisors raised its holdings in International Business Machines by 13.5% during the first quarter. TRUE Private Wealth Advisors now owns 6,447 shares of the technology company’s stock worth $1,231,000 after purchasing an additional 765 shares in the last quarter. Institutional investors and hedge funds own 58.96% of the company’s stock.

International Business Machines Stock Down 8.0 %

The stock has a market capitalization of $155.20 billion, a PE ratio of 20.82, a PEG ratio of 3.58 and a beta of 0.70. The firm’s fifty day moving average is $188.00 and its 200-day moving average is $169.97. The company has a quick ratio of 0.93, a current ratio of 0.96 and a debt-to-equity ratio of 2.22.

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.