Wall Street Zen Downgrades International Business Machines (NYSE:IBM) to Hold

International Business Machines (NYSE:IBM) was downgraded by investment analysts at Wall Street Zen from a “buy” rating to a “hold” rating in a research note issued on Sunday.

Other research analysts also recently issued research reports about the stock. Stifel Nicolaus lifted their target price on shares of International Business Machines from $295.00 to $325.00 and gave the stock a “buy” rating in a report on Tuesday, December 9th. Weiss Ratings upgraded International Business Machines from a “hold (c+)” rating to a “buy (b)” rating in a research note on Saturday, October 25th. Morgan Stanley reduced their price target on shares of International Business Machines from $256.00 to $252.00 and set an “equal weight” rating on the stock in a research report on Thursday, October 23rd. Erste Group Bank upgraded shares of International Business Machines from a “hold” rating to a “buy” rating in a report on Friday, December 5th. Finally, Royal Bank Of Canada lifted their target price on International Business Machines from $300.00 to $350.00 and gave the stock an “outperform” rating in a report on Monday, January 5th. One research analyst has rated the stock with a Strong Buy rating, ten have given a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, International Business Machines currently has a consensus rating of “Moderate Buy” and a consensus price target of $301.85.

International Business Machines Trading Up 0.5%

Shares of IBM opened at $304.36 on Friday. The company has a current ratio of 0.93, a quick ratio of 0.89 and a debt-to-equity ratio of 1.97. International Business Machines has a 1-year low of $214.50 and a 1-year high of $324.90. The stock has a market capitalization of $284.49 billion, a P/E ratio of 36.41, a P/E/G ratio of 2.82 and a beta of 0.70. The business’s 50-day moving average price is $303.55 and its 200 day moving average price is $281.97.

International Business Machines (NYSE:IBM) last posted its quarterly earnings results on Wednesday, October 22nd. The technology company reported $2.65 earnings per share for the quarter, beating the consensus estimate of $2.45 by $0.20. The firm had revenue of $16.33 billion for the quarter, compared to analyst estimates of $16.10 billion. International Business Machines had a return on equity of 37.76% and a net margin of 12.09%.International Business Machines’s quarterly revenue was up 9.1% on a year-over-year basis. During the same period in the previous year, the firm earned $2.30 earnings per share. Analysts expect that International Business Machines will post 10.78 earnings per share for the current year.

Institutional Inflows and Outflows

A number of hedge funds have recently made changes to their positions in the business. Norges Bank bought a new stake in International Business Machines in the 2nd quarter worth about $2,011,122,000. Capital World Investors increased its holdings in International Business Machines by 13.9% during the third quarter. Capital World Investors now owns 17,045,156 shares of the technology company’s stock worth $4,809,461,000 after buying an additional 2,077,506 shares during the last quarter. Vanguard Group Inc. raised its position in International Business Machines by 2.1% in the second quarter. Vanguard Group Inc. now owns 95,051,475 shares of the technology company’s stock worth $28,019,274,000 after acquiring an additional 1,913,708 shares during the period. Laurel Wealth Advisors LLC lifted its position in shares of International Business Machines by 27,928.2% during the 2nd quarter. Laurel Wealth Advisors LLC now owns 1,903,116 shares of the technology company’s stock valued at $561,001,000 after buying an additional 1,896,326 shares during the last quarter. Finally, First Trust Advisors LP lifted its position in shares of International Business Machines by 39.6% during the 3rd quarter. First Trust Advisors LP now owns 3,052,880 shares of the technology company’s stock valued at $861,401,000 after buying an additional 865,253 shares during the last quarter. 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 finalized its acquisition of Confluent and hit a quantum milestone, reinforcing its data-streaming and advanced-computing strategy — a clear strategic catalyst for revenue and tech leadership. IBM’s Strategic Expansion: Confluent Acquisition Finalized and Quantum Milestone Reached
• Positive Sentiment: Analysts and research note that the Confluent deal should boost EBITDA and free cash flow through margin and scale improvements, supporting valuation upside and cash-return capacity. IBM’s (IBM) Confluent Deal Expected to Boost EBITDA and Free Cash Flow
• Positive Sentiment: Several analysts issued buy/upbeat commentary citing software acceleration and stronger growth prospects for 2026, which lifts investor confidence in forward earnings momentum. IBM Earns Buy Rating as Analysts See Software Acceleration Ahead in 2026
• Neutral Sentiment: Preview pieces outline expectations for IBM’s next earnings report (consensus looking for continued top-line and margin progress); results that beat/confirm guidance could reinforce the current rally. Here’s What to Expect From International Business Machines’ Next Earnings Report
• Neutral Sentiment: IBM research (with the National Retail Federation) finds AI influences shoppers before store visits, supporting demand for IBM’s AI/analytics offerings in retail — a positive narrative but not an immediate revenue shock. AI Is Influencing Shoppers Before They Enter Stores, IBM Study Says
• Neutral Sentiment: Market commentary asks whether it’s too late to buy IBM after a strong multi-year run — discussion focuses on valuation metrics (higher P/E) versus continued growth potential. Is It Too Late To Consider Buying IBM (IBM) After Its Strong Five Year Run?
• Neutral Sentiment: Feature pieces projecting a stronger 2026 point to upside if IBM sustains software/AI momentum, but they are forward-looking and contingent on execution. IBM Stock Had a Good 2025. It Could Have an Even Better 2026.
• Neutral Sentiment: Coverage of Datavault AI’s expanded collaboration with IBM highlights partner-led adoption of IBM edge/AI tech; Datavault’s own stock volatility is not a material event for IBM but signals ecosystem demand. What’s Going On With Datavault AI Stock Thursday?
• Neutral Sentiment: Reporting that Datavault shares fell after a major shareholder sale notes short-term partner-stock noise; this is relevant to the partnership narrative but not materially negative for IBM. Datavault AI (DVLT) Stock Falls Friday After Major Shareholder Dumps 14.7M Shares

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.