International Business Machines (NYSE:IBM) Posts Earnings Results

International Business Machines (NYSE:IBM) posted its earnings results on Wednesday. The technology company reported $1.91 earnings per share for the quarter, topping analysts’ consensus estimates of $1.81 by $0.10, Zacks reports. International Business Machines had a return on equity of 38.15% and a net margin of 15.69%.The firm had revenue of $15.92 billion for the quarter, compared to the consensus estimate of $15.60 billion.

International Business Machines Stock Down 1.5%

IBM stock traded down $3.96 during midday trading on Wednesday, hitting $251.72. The company’s stock had a trading volume of 11,526,341 shares, compared to its average volume of 5,710,417. The company has a market cap of $236.12 billion, a PE ratio of 22.58, a P/E/G ratio of 2.65 and a beta of 0.69. International Business Machines has a 12 month low of $220.72 and a 12 month high of $324.90. The company has a current ratio of 0.96, a quick ratio of 0.92 and a debt-to-equity ratio of 1.67. The firm’s 50-day moving average is $247.46 and its 200-day moving average is $281.42.

International Business Machines Announces Dividend

The firm also recently disclosed a quarterly dividend, which was paid on Tuesday, March 10th. Investors of record on Tuesday, February 10th were given a $1.68 dividend. The ex-dividend date of this dividend was Tuesday, February 10th. This represents a $6.72 annualized dividend and a yield of 2.7%. International Business Machines’s dividend payout ratio is 60.27%.

Key Stories Impacting International Business Machines

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

• Positive Sentiment: Analysts expect an earnings beat: FactSet consensus and several analyst houses look for ~ $1.81 adj. EPS and ~$15.6B revenue for Q1, with software revenue seen growing ~10% — a near-term catalyst if IBM posts upside. IBM Earnings Are on Deck. Wall Street Expects Revenue Growth.
• Positive Sentiment: New product and partnership news supports AI/service revenue narrative — IBM rolled out AI‑powered experience orchestration with Adobe, positioning consulting and software cross-sell opportunities. IBM Introduces Industry Solutions for AI‑Powered Experience Orchestration with Adobe
• Positive Sentiment: Security and quantum investments: IBM announced new cybersecurity tools for AI threats and expanded quantum/AI collaborations — these can expand serviceable addressable market and justify longer-term multiple expansion if adoption accelerates. IBM introduces new cyberscurity tools to counter AI-driven attacks IBM Expands Quantum AI And Security Push As Investors Weigh Rewards
• Neutral Sentiment: Industry tailwinds: A large CIAM market forecast and analyst pieces naming IBM among AI/quantum hyperscalers highlight secular growth opportunities, but these are multi‑year drivers rather than immediate stock movers. Consumer Identity and Access Management Global Market Forecast Report 2026-2036…
• Neutral Sentiment: Operational/PR items: IBM‑i observability discussion and general market macro (jobless claims/ceasefire headlines) are background factors that could sway sentiment but are unlikely to change fundamentals immediately. i-Rays Stresses Observability AI as Essential for IBM i Environments Markets Eye Jobless Claims Data
• Negative Sentiment: Analyst caution: J.P. Morgan remains at a Hold and some commentary highlights ongoing debate about AI risk to legacy software margins — a reminder why the stock can trade lower even with product wins. J.P. Morgan Sticks to Its Hold Rating for International Business Machines (IBM) IBM Stock: Why Q1 Will Be A ‘Key Quarter’ Amid Debate About Software’s AI Risk

Insider Activity at International Business Machines

In other International Business Machines news, Director Michael Miebach acquired 434 shares of the stock in a transaction that occurred on Wednesday, February 25th. The shares were acquired at an average cost of $233.33 per share, with a total value of $101,265.22. Following the transaction, the director owned 434 shares of the company’s stock, valued at $101,265.22. The trade was a ∞ increase in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, Director David N. Farr acquired 1,000 shares of the stock in a transaction that occurred on Friday, January 30th. The stock was acquired at an average cost of $304.00 per share, for a total transaction of $304,000.00. Following the completion of the transaction, the director directly owned 9,258 shares in the company, valued at $2,814,432. This represents a 12.11% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders purchased a total of 1,484 shares of company stock worth $417,157 over the last ninety days. 0.27% of the stock is currently owned by insiders.

Hedge Funds Weigh In On International Business Machines

Hedge funds and other institutional investors have recently added to or reduced their stakes in the business. Brighton Jones LLC lifted its holdings in shares of International Business Machines by 12.4% during the 4th quarter. Brighton Jones LLC now owns 21,011 shares of the technology company’s stock valued at $4,619,000 after buying an additional 2,323 shares during the period. Sivia Capital Partners LLC lifted its holdings in shares of International Business Machines by 10.6% during the 2nd quarter. Sivia Capital Partners LLC now owns 1,938 shares of the technology company’s stock valued at $571,000 after buying an additional 186 shares during the period. SHUTTLEWORTH & Co bought a new position in shares of International Business Machines during the 3rd quarter valued at $226,000. Polymer Capital Management US LLC bought a new position in shares of International Business Machines during the 3rd quarter valued at $223,000. Finally, Wealthedge Investment Advisors LLC bought a new position in shares of International Business Machines during the 4th quarter valued at $218,000. 58.96% of the stock is owned by institutional investors.

Wall Street Analyst Weigh In

A number of analysts have recently commented on the company. Oppenheimer dropped their price target on 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. DZ Bank raised International Business Machines to a “hold” rating in a research report on Wednesday, February 11th. Argus set a $360.00 price target on International Business Machines in a research report on Friday, January 30th. Evercore boosted their price target on International Business Machines from $330.00 to $345.00 and gave the stock an “outperform” rating in a research report on Thursday, January 29th. Finally, Wall Street Zen cut International Business Machines from a “buy” rating to a “hold” rating in a research report on Sunday, January 11th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and eight have given a Hold rating to the company. According to MarketBeat, International Business Machines has an average rating of “Moderate Buy” and a consensus price target of $298.81.

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.