International Business Machines (NYSE:IBM) Trading Down 1.1% on Analyst Downgrade

International Business Machines Co. (NYSE:IBM) shares traded down 1.1% on Friday after Morgan Stanley lowered their price target on the stock from $186.00 to $179.00. Morgan Stanley currently has an equal weight rating on the stock. International Business Machines traded as low as $165.73 and last traded at $167.01. 3,196,762 shares traded hands during trading, a decline of 35% from the average session volume of 4,933,272 shares. The stock had previously closed at $168.91.

Other equities research analysts have also recently issued reports about the stock. Jefferies Financial Group dropped their price target on shares of International Business Machines from $215.00 to $210.00 and set a “hold” rating for the company in a research report on Tuesday, April 23rd. Evercore upgraded shares of International Business Machines from an “in-line” rating to an “outperform” rating and lifted their price objective for the company from $165.00 to $200.00 in a report on Friday, January 19th. Wedbush lifted their price objective on shares of International Business Machines from $140.00 to $160.00 and gave the company a “neutral” rating in a report on Thursday. Stifel Nicolaus reiterated a “buy” rating and set a $190.00 price target on shares of International Business Machines in a report on Wednesday, April 17th. Finally, BMO Capital Markets reduced their price objective on shares of International Business Machines from $210.00 to $190.00 and set a “market perform” rating for the company in a research report on Thursday. Two equities 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, International Business Machines currently has an average rating of “Hold” and a consensus target price of $184.08.

Institutional Investors Weigh In On International Business Machines

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Naples Money Management LLC bought a new position in International Business Machines in the fourth quarter worth approximately $28,000. Creekmur Asset Management LLC acquired a new position in International Business Machines during the 4th quarter worth about $29,000. Briaud Financial Planning Inc acquired a new position in International Business Machines during the 3rd quarter worth about $31,000. Ables Iannone Moore & Associates Inc. acquired a new position in International Business Machines during the 4th quarter worth about $31,000. Finally, Stone House Investment Management LLC lifted its holdings in International Business Machines by 971.4% during the 3rd quarter. Stone House Investment Management LLC now owns 225 shares of the technology company’s stock worth $32,000 after buying an additional 204 shares during the period. Hedge funds and other institutional investors own 58.96% of the company’s stock.

International Business Machines Price Performance

The company has a market capitalization of $153.21 billion, a price-to-earnings ratio of 18.93, a P/E/G ratio of 3.33 and a beta of 0.70. The business has a 50 day moving average price of $187.60 and a 200-day moving average price of $170.34. The company has a debt-to-equity ratio of 2.32, a quick ratio of 0.93 and a current ratio of 1.13.

International Business Machines (NYSE:IBM) last issued its earnings results on Wednesday, April 24th. The technology company reported $1.68 EPS for the quarter, topping analysts’ consensus estimates of $1.59 by $0.09. International Business Machines had a net margin of 13.18% and a return on equity of 40.21%. The business had revenue of $14.46 billion for the quarter, compared to the consensus estimate of $14.53 billion. During the same period in the prior year, the firm earned $1.36 EPS. The company’s revenue for the quarter was up 1.5% compared to the same quarter last year. Research analysts predict that International Business Machines Co. will post 9.99 EPS for the current fiscal year.

International Business Machines Announces Dividend

The business also recently declared a quarterly dividend, which was paid on Saturday, March 9th. Investors of record on Friday, February 9th were given a $1.66 dividend. The ex-dividend date of this dividend was Thursday, February 8th. This represents a $6.64 annualized dividend and a yield of 3.97%. International Business Machines’s dividend payout ratio is currently 75.20%.

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.