FY2026 Earnings Estimate for IBM Issued By Erste Group Bank

International Business Machines Corporation (NYSE:IBM) – Analysts at Erste Group Bank dropped their FY2026 earnings per share (EPS) estimates for International Business Machines in a research note issued to investors on Monday, July 27th. Erste Group Bank analyst H. Engel now forecasts that the technology company will post earnings per share of $12.36 for the year, down from their prior estimate of $12.39. The consensus estimate for International Business Machines’ current full-year earnings is $12.34 per share. Erste Group Bank also issued estimates for International Business Machines’ FY2027 earnings at $13.14 EPS.

A number of other brokerages have also issued reports on IBM. HSBC set a $175.00 target price on shares of International Business Machines and gave the stock a “reduce” rating in a research report on Thursday, July 16th. Citigroup dropped their price objective on shares of International Business Machines from $255.00 to $245.00 and set a “buy” rating for the company in a research report on Friday, July 24th. Oppenheimer downgraded International Business Machines from an “outperform” rating to a “market perform” rating in a report on Wednesday, July 15th. Argus decreased their price objective on International Business Machines from $360.00 to $280.00 and set a “buy” rating on the stock in a research report on Thursday, July 16th. Finally, Susquehanna lowered their target price on International Business Machines from $303.00 to $225.00 and set a “neutral” rating for the company in a research note on Friday. Fifteen analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the stock. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average price target of $265.40.

International Business Machines Trading Up 5.2%

IBM opened at $227.42 on Wednesday. The company has a current ratio of 0.79, a quick ratio of 0.74 and a debt-to-equity ratio of 1.63. The stock has a market capitalization of $214.26 billion, a PE ratio of 20.18, a PEG ratio of 2.12 and a beta of 0.68. International Business Machines has a 1-year low of $199.19 and a 1-year high of $332.46. The firm has a 50-day moving average price of $262.88 and a two-hundred day moving average price of $259.16.

International Business Machines (NYSE:IBM) last issued its quarterly earnings results on Wednesday, July 22nd. The technology company reported $2.93 earnings per share (EPS) for the quarter, hitting the consensus estimate of $2.93. International Business Machines had a net margin of 15.52% and a return on equity of 35.65%. The business had revenue of $17.16 billion for the quarter, compared to the consensus estimate of $17.46 billion. During the same quarter in the prior year, the company earned $2.80 EPS. The firm’s quarterly revenue was up 1.1% on a year-over-year basis.

International Business Machines Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Stockholders of record on Monday, August 10th will be given a dividend of $1.69 per share. The ex-dividend date is Monday, August 10th. This represents a $6.76 annualized dividend and a dividend yield of 3.0%. International Business Machines’s payout ratio is currently 59.98%.

Hedge Funds Weigh In On International Business Machines

Large investors have recently bought and sold shares of the business. Norges Bank acquired a new position in shares of International Business Machines in the 4th quarter valued at $2,446,429,000. Capital World Investors grew its stake in shares of International Business Machines by 29.2% during the fourth quarter. Capital World Investors now owns 22,021,912 shares of the technology company’s stock worth $6,523,720,000 after purchasing an additional 4,976,756 shares during the period. Ascentis Wealth Management LLC grew its stake in shares of International Business Machines by 27,169.6% during the second quarter. Ascentis Wealth Management LLC now owns 3,224,635 shares of the technology company’s stock worth $906,800,000 after purchasing an additional 3,212,810 shares during the period. Price T Rowe Associates Inc. MD increased its holdings in International Business Machines by 83.4% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 5,617,117 shares of the technology company’s stock valued at $1,663,847,000 after purchasing an additional 2,553,552 shares during the last quarter. Finally, Corient Private Wealth LLC lifted its stake in International Business Machines by 359.6% in the fourth quarter. Corient Private Wealth LLC now owns 1,896,675 shares of the technology company’s stock valued at $561,814,000 after buying an additional 1,484,026 shares during the period. 58.96% of the stock is currently owned by institutional investors and hedge funds.

International Business Machines News Roundup

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

• Positive Sentiment: IBM’s 2026 Cost of a Data Breach Report highlights worsening cyber threats: AI-enabled attacks accounted for one in four malicious breaches and cost companies an average of $6 million. The findings reinforce demand for IBM’s cybersecurity, AI governance and consulting offerings. IBM Study: One in Four Malicious Breaches are AI-Enabled
• Positive Sentiment: Resecurity launched a native threat-intelligence integration for IBM QRadar SIEM, potentially strengthening QRadar’s enterprise ecosystem and supporting IBM’s security software business. Resecurity Introduces Native Integration with IBM QRadar SIEM
• Positive Sentiment: IBM’s acquisition of HRL Laboratories is positioned as a long-term investment in quantum computing, although the financial benefits are likely to take time to materialize. IBM Just Made a Bold Quantum Computing Bet
• Positive Sentiment: Recent insider activity cited in market coverage showed three open-market purchases and no sales, while the reported analyst price-target average remained well above the current trading level. These signals may be supporting the rebound, though they are not guarantees of future performance.
• Neutral Sentiment: Circle agreed to acquire nearly 1,000 IBM blockchain patents. The sale could monetize noncore intellectual property, but it also transfers IBM’s blockchain portfolio to Circle and no financial terms were disclosed. Circle to Acquire Nearly 1,000 IBM Blockchain Patents
• Negative Sentiment: Erste Group Bank trimmed its FY2026 EPS estimate to $12.36 from $12.39 and its FY2027 forecast to $13.14 from $13.38, signaling modestly softer expectations.
• Negative Sentiment: Several law firms are investigating potential securities-law violations tied to IBM’s reported IBM Z product slowdown and shortfall in new business deals. The investigations follow a previously reported sharp selloff and could prolong uncertainty, although they do not establish wrongdoing. IBM Securities Fraud Investigation

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.