International Business Machines (NYSE:IBM) Stock Price Up 2.7% – Still a Buy?

International Business Machines Corporation (NYSE:IBM)’s share price shot up 2.7% during mid-day trading on Monday . The stock traded as high as $251.35 and last traded at $248.3750. 4,797,709 shares changed hands during mid-day trading, a decline of 21% from the average session volume of 6,074,848 shares. The stock had previously closed at $241.77.

Analysts Set New Price Targets

Several research firms recently commented on IBM. Morgan Stanley dropped their price objective on shares of International Business Machines from $304.00 to $247.00 and set an “equal weight” rating on the stock in a research note on Wednesday, February 25th. Bank of America raised their target price on shares of International Business Machines from $315.00 to $335.00 and gave the company a “buy” rating in a research note on Tuesday, January 13th. BMO Capital Markets dropped their price target on International Business Machines from $350.00 to $290.00 and set a “market perform” rating on the stock in a research report on Thursday. Argus set a $360.00 price target on International Business Machines in a research note on Friday, January 30th. Finally, Royal Bank Of Canada set a $361.00 price objective on International Business Machines in a research report on Thursday, January 29th. 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’s stock. Based on data from MarketBeat, International Business Machines currently has a consensus rating of “Moderate Buy” and an average target price of $314.60.

International Business Machines Trading Up 2.7%

The firm’s 50 day moving average price is $271.85 and its 200-day moving average price is $285.09. The company has a debt-to-equity ratio of 1.67, a current ratio of 0.96 and a quick ratio of 0.92. The stock has a market cap of $232.98 billion, a P/E ratio of 22.28, a P/E/G ratio of 2.42 and a beta of 0.73.

International Business Machines (NYSE:IBM) last announced its quarterly earnings results on Wednesday, January 28th. The technology company reported $4.52 earnings per share for the quarter, beating the consensus estimate of $4.33 by $0.19. The company had revenue of $19.69 billion during the quarter, compared to the consensus estimate of $19.23 billion. International Business Machines had a net margin of 15.69% and a return on equity of 38.15%. The firm’s quarterly revenue was up 12.2% compared to the same quarter last year. During the same quarter last year, the firm earned $3.92 earnings per share. As a group, equities research analysts forecast that International Business Machines Corporation will post 10.78 earnings per share for the current year.

International Business Machines Announces Dividend

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

Insider Buying and Selling at International Business Machines

In other International Business Machines news, Director David N. Farr acquired 1,000 shares of the company’s stock in a transaction that occurred on Friday, January 30th. The shares were bought at an average cost of $304.00 per share, with a total value of $304,000.00. Following the completion of the transaction, the director directly owned 9,258 shares of the company’s stock, valued at approximately $2,814,432. This represents a 12.11% increase in their position. The purchase was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Michael Miebach bought 434 shares of the firm’s stock in a transaction on Wednesday, February 25th. The stock was 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 in the company, valued at $101,265.22. The trade was a ∞ increase in their position. The SEC filing for this purchase provides additional information. Insiders have purchased 1,484 shares of company stock worth $417,157 over the last ninety days. 0.27% of the stock is currently owned by insiders.

Institutional Investors Weigh In On International Business Machines

Several institutional investors and hedge funds have recently added to or reduced their stakes in IBM. Basepoint Wealth LLC purchased a new position in shares of International Business Machines in the 4th quarter worth $25,000. Family CFO Inc bought a new stake in shares of International Business Machines during the 4th quarter valued at about $25,000. Joseph Group Capital Management purchased a new stake in shares of International Business Machines during the 4th quarter valued at about $28,000. Cornerstone Financial Management LLC purchased a new position in shares of International Business Machines in the fourth quarter worth approximately $28,000. Finally, Mountain Hill Investment Partners Corp. bought a new stake in International Business Machines during the third quarter valued at approximately $28,000. Hedge funds and other institutional investors own 58.96% of the company’s stock.

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.