International Business Machines (NYSE:IBM) Reaches New 1-Year High Following Strong Earnings

International Business Machines Co. (NYSE:IBM) reached a new 52-week high during trading on Thursday following a stronger than expected earnings report. The stock traded as high as $249.35 and last traded at $247.59, with a volume of 170166 shares traded. The stock had previously closed at $228.63.

The technology company reported $3.92 EPS for the quarter, topping analysts’ consensus estimates of $3.77 by $0.15. International Business Machines had a return on equity of 40.52% and a net margin of 10.22%.

International Business Machines Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Monday, March 10th. Shareholders of record on Monday, February 10th will be paid a dividend of $1.67 per share. This represents a $6.68 annualized dividend and a yield of 2.59%. The ex-dividend date of this dividend is Monday, February 10th. International Business Machines’s dividend payout ratio is currently 97.23%.

Wall Street Analyst Weigh In

Several research firms have recently weighed in on IBM. Jefferies Financial Group boosted their price objective on shares of International Business Machines from $245.00 to $270.00 and gave the company a “hold” rating in a report on Thursday. Bernstein Bank increased their price target on International Business Machines from $185.00 to $210.00 and gave the company a “market perform” rating in a report on Thursday, October 3rd. Stifel Nicolaus lifted their price objective on International Business Machines from $205.00 to $246.00 and gave the stock a “buy” rating in a report on Wednesday, October 16th. Bank of America increased their target price on International Business Machines from $260.00 to $270.00 and gave the company a “buy” rating in a report on Thursday. Finally, Morgan Stanley boosted their price target on International Business Machines from $217.00 to $228.00 and gave the company an “equal weight” rating in a research note on Thursday. Two research analysts have rated the stock with a sell rating, nine have given a hold rating and five have given a buy rating to the company. According to data from MarketBeat, International Business Machines currently has an average rating of “Hold” and a consensus price target of $225.53.

Insider Activity at International Business Machines

In other news, SVP Nickle Jaclyn Lamoreaux sold 3,600 shares of International Business Machines stock in a transaction dated Friday, November 8th. The stock was sold at an average price of $215.20, for a total value of $774,720.00. Following the sale, the senior vice president now directly owns 25,390 shares of the company’s stock, valued at approximately $5,463,928. The trade was a 12.42 % decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. 0.07% of the stock is owned by corporate insiders.

Institutional Trading of International Business Machines

Hedge funds have recently modified their holdings of the company. Compass Financial Services Inc purchased a new stake in International Business Machines during the fourth quarter valued at $26,000. Hazlett Burt & Watson Inc. raised its position in shares of International Business Machines by 1,054.5% during the 3rd quarter. Hazlett Burt & Watson Inc. now owns 127 shares of the technology company’s stock valued at $29,000 after buying an additional 116 shares in the last quarter. Hara Capital LLC bought a new position in shares of International Business Machines in the 3rd quarter valued at about $29,000. Avondale Wealth Management grew its position in International Business Machines by 56.0% in the fourth quarter. Avondale Wealth Management now owns 156 shares of the technology company’s stock worth $34,000 after acquiring an additional 56 shares in the last quarter. Finally, Valued Wealth Advisors LLC increased its stake in International Business Machines by 134.3% during the fourth quarter. Valued Wealth Advisors LLC now owns 157 shares of the technology company’s stock worth $35,000 after acquiring an additional 90 shares during the last quarter. 58.96% of the stock is owned by hedge funds and other institutional investors.

International Business Machines Stock Up 12.9 %

The company has a debt-to-equity ratio of 2.16, a quick ratio of 1.01 and a current ratio of 1.06. The company has a fifty day moving average of $225.24 and a two-hundred day moving average of $213.55. The company has a market cap of $238.76 billion, a PE ratio of 37.59, a price-to-earnings-growth ratio of 4.78 and a beta of 0.74.

International Business Machines Company Profile

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.