Zacks Research Has Negative Forecast for IBM Q1 Earnings

International Business Machines Co. (NYSE:IBM) – Research analysts at Zacks Research dropped their Q1 2025 earnings estimates for shares of International Business Machines in a research note issued to investors on Thursday, December 5th. Zacks Research analyst S. Bose now forecasts that the technology company will earn $1.57 per share for the quarter, down from their previous estimate of $1.60. The consensus estimate for International Business Machines’ current full-year earnings is $10.12 per share. Zacks Research also issued estimates for International Business Machines’ Q3 2025 earnings at $2.49 EPS, Q3 2026 earnings at $2.65 EPS and FY2026 earnings at $11.22 EPS.

IBM has been the topic of several other reports. Bank of America raised their target price on International Business Machines from $209.00 to $250.00 and gave the stock a “buy” rating in a report on Wednesday, October 9th. Evercore ISI lifted their target price on shares of International Business Machines from $215.00 to $240.00 and gave the company an “outperform” rating in a report on Wednesday, September 11th. DZ Bank downgraded shares of International Business Machines from a “buy” rating to a “hold” rating and set a $215.00 price target on the stock. in a report on Wednesday, October 2nd. Bernstein Bank lifted their price objective on shares of International Business Machines from $185.00 to $210.00 and gave the company a “market perform” rating in a report on Thursday, October 3rd. Finally, StockNews.com lowered shares of International Business Machines from a “buy” rating to a “hold” rating in a research note on Wednesday, November 20th. Three analysts have rated the stock with a sell rating, nine have issued a hold rating and six have given a buy rating to the company. According to MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $208.12.

International Business Machines Stock Performance

NYSE IBM opened at $238.04 on Monday. The firm has a market capitalization of $220.10 billion, a P/E ratio of 34.65, a PEG ratio of 5.24 and a beta of 0.73. The stock has a 50-day simple moving average of $221.74 and a two-hundred day simple moving average of $199.85. The company has a debt-to-equity ratio of 2.16, a quick ratio of 1.01 and a current ratio of 1.06. International Business Machines has a fifty-two week low of $157.88 and a fifty-two week high of $238.38.

International Business Machines (NYSE:IBM) last released its quarterly earnings data on Wednesday, October 23rd. The technology company reported $2.30 earnings per share for the quarter, topping analysts’ consensus estimates of $2.27 by $0.03. The firm had revenue of $14.97 billion for the quarter, compared to analyst estimates of $15.08 billion. International Business Machines had a net margin of 10.22% and a return on equity of 40.52%. The business’s quarterly revenue was up 1.5% compared to the same quarter last year. During the same quarter in the prior year, the business earned $2.20 earnings per share.

Institutional Trading of International Business Machines

Several hedge funds have recently made changes to their positions in the company. Logan Capital Management Inc. grew its position in International Business Machines by 5.2% in the third quarter. Logan Capital Management Inc. now owns 121,682 shares of the technology company’s stock worth $26,901,000 after acquiring an additional 5,974 shares during the period. Oddo BHF Asset Management Sas acquired a new position in shares of International Business Machines in the 3rd quarter valued at $5,396,000. Capasso Planning Partners LLC grew its holdings in shares of International Business Machines by 31.8% during the 3rd quarter. Capasso Planning Partners LLC now owns 4,737 shares of the technology company’s stock worth $1,047,000 after purchasing an additional 1,144 shares during the period. Inspire Trust Co. N.A. increased its position in shares of International Business Machines by 6.4% during the 3rd quarter. Inspire Trust Co. N.A. now owns 16,525 shares of the technology company’s stock worth $3,653,000 after purchasing an additional 1,000 shares during the last quarter. Finally, Old North State Trust LLC raised its holdings in International Business Machines by 13.6% in the 3rd quarter. Old North State Trust LLC now owns 4,399 shares of the technology company’s stock valued at $973,000 after buying an additional 525 shares during the period. Hedge funds and other institutional investors own 58.96% of the company’s stock.

Insider Activity

In related news, SVP Nickle Jaclyn Lamoreaux sold 3,600 shares of International Business Machines stock in a transaction that occurred on Friday, November 8th. The stock was sold at an average price of $215.20, for a total transaction of $774,720.00. Following the transaction, the senior vice president now owns 25,390 shares in the company, valued at approximately $5,463,928. This trade represents a 12.42 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Company insiders own 0.07% of the company’s stock.

International Business Machines Dividend Announcement

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, December 10th. Stockholders of record on Tuesday, November 12th will be issued a dividend of $1.67 per share. This represents a $6.68 dividend on an annualized basis and a dividend yield of 2.81%. The ex-dividend date of this dividend is Tuesday, November 12th. International Business Machines’s payout ratio is 97.23%.

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.