International Business Machines (NYSE:IBM) Stock Price Up 3.7% Following Analyst Upgrade

International Business Machines Corporation (NYSE:IBM)’s share price traded up 3.7% on Wednesday after UBS Group upgraded the stock from a sell rating to a neutral rating. UBS Group now has a $236.00 price target on the stock. International Business Machines traded as high as $239.55 and last traded at $237.7540. 8,421,281 shares changed hands during trading, an increase of 40% from the average session volume of 6,014,821 shares. The stock had previously closed at $229.32.

Other equities analysts have also issued reports about the stock. Evercore lifted their target price on shares of International Business Machines from $330.00 to $345.00 and gave the company an “outperform” rating in a report on Thursday, January 29th. Stifel Nicolaus raised their price objective on International Business Machines from $325.00 to $340.00 and gave the company a “buy” rating in a research report on Thursday, January 29th. Dbs Bank raised International Business Machines from a “hold” rating to a “moderate buy” rating in a report on Monday, January 19th. Wall Street Zen cut International Business Machines from a “buy” rating to a “hold” rating in a research note on Sunday, January 11th. Finally, Argus set a $360.00 price target on International Business Machines in a research report on Friday, January 30th. One research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have assigned a Hold rating to the company’s stock. Based on data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and an average target price of $320.87.

Insiders Place Their Bets

In other International Business Machines news, Director Michael Miebach purchased 434 shares of the stock in a transaction dated Wednesday, February 25th. The shares were purchased at an average cost of $233.33 per share, with a total value of $101,265.22. Following the completion of the acquisition, the director directly owned 434 shares in the company, valued at $101,265.22. This trade represents a ∞ increase in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director David N. Farr acquired 1,000 shares of International Business Machines stock in a transaction that occurred on Friday, January 30th. The stock was acquired at an average price of $304.00 per share, with a total value of $304,000.00. Following the completion of the acquisition, the director directly owned 9,258 shares in the company, valued at $2,814,432. This represents a 12.11% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last ninety days, insiders have bought 1,484 shares of company stock worth $417,157. Corporate insiders own 0.18% of the company’s stock.

Trending Headlines about International Business Machines

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

• Positive Sentiment: Analysts defend stock and upgrade stance — UBS moved IBM to Neutral from Sell, and other firms (Wedbush, Evercore/Jefferies) have called the recent drop overdone, framing the pullback as a buying opportunity. This reduced downside pressure and supported the rebound. IBM no longer a Sell, says UBS as analysts upgrade stock
• Positive Sentiment: New government contract — IBM won a DoW Defense Commissary Agency contract (ceiling $112M) to modernize electronic shelf labels, which is a tangible revenue/contract win in infrastructure and services. IBM Awarded Defense Commissary Agency Contract
• Positive Sentiment: Insider purchases — Two board directors disclosed open-market buys (Michael Miebach: 434 shares; Michelle J. Howard: 50 shares). Director buying often signals management/board confidence and can reassure investors. SEC filing — Miebach purchase SEC filing — Howard purchase
• Neutral Sentiment: Mixed analyst price-target moves — Morgan Stanley cut its price target to $247 with an “equal weight” rating, reflecting more cautious near-term sentiment even as some firms raise targets. This creates mixed signals for investors. Morgan Stanley price target change
• Neutral Sentiment: Market narrative vs fundamentals — Several outlets argue the Feb. 23 selloff was an overreaction given IBM’s recent beat on Q4 results, strong free cash flow and product/AI positioning; but the debate keeps volatility elevated. IBM’s Steep Drop on AI Fears May Be an Overreaction
• Negative Sentiment: AI disruption fear remains a headline risk — Anthropic’s Claude Code announcement sparked a sharp 13% one-day decline by suggesting automation of COBOL modernization, which pressured IBM’s legacy mainframe/consulting revenue narrative and triggered sector contagion. That perceived threat still hangs over sentiment. IBM posts steepest daily drop after Anthropic Claude Code

Hedge Funds Weigh In On International Business Machines

Several institutional investors have recently made changes to their positions in the business. CVA Family Office LLC boosted its stake in shares of International Business Machines by 1.4% during the 4th quarter. CVA Family Office LLC now owns 2,389 shares of the technology company’s stock worth $708,000 after acquiring an additional 33 shares during the last quarter. Foster Group Inc. increased its stake in shares of International Business Machines by 1.3% in the 4th quarter. Foster Group Inc. now owns 2,507 shares of the technology company’s stock worth $742,000 after purchasing an additional 33 shares in the last quarter. New Covenant Trust Company N.A. raised its holdings in International Business Machines by 3.8% in the 4th quarter. New Covenant Trust Company N.A. now owns 905 shares of the technology company’s stock worth $264,000 after purchasing an additional 33 shares during the period. McGowan Group Asset Management Inc. lifted its position in International Business Machines by 1.2% during the fourth quarter. McGowan Group Asset Management Inc. now owns 2,693 shares of the technology company’s stock valued at $798,000 after purchasing an additional 33 shares in the last quarter. Finally, CFS Investment Advisory Services LLC grew its holdings in International Business Machines by 0.4% during the third quarter. CFS Investment Advisory Services LLC now owns 9,359 shares of the technology company’s stock valued at $2,878,000 after purchasing an additional 34 shares during the period. Institutional investors own 58.96% of the company’s stock.

International Business Machines Stock Up 3.7%

The company has a fifty day simple moving average of $289.56 and a 200-day simple moving average of $283.85. The company has a quick ratio of 0.92, a current ratio of 0.96 and a debt-to-equity ratio of 1.67. The firm has a market cap of $222.24 billion, a P/E ratio of 21.32, a price-to-earnings-growth ratio of 2.30 and a beta of 0.69.

International Business Machines (NYSE:IBM) last posted its quarterly earnings data on Wednesday, January 28th. The technology company reported $4.52 earnings per share for the quarter, beating analysts’ consensus estimates of $4.33 by $0.19. The firm had revenue of $19.69 billion for the quarter, compared to analysts’ expectations of $19.23 billion. International Business Machines had a return on equity of 38.15% and a net margin of 15.69%.The business’s quarterly revenue was up 12.2% on a year-over-year basis. During the same period in the previous year, the firm earned $3.92 EPS. On average, equities analysts anticipate that International Business Machines Corporation will post 10.78 earnings per share for the current year.

International Business Machines Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 10th. Stockholders of record on Tuesday, February 10th will be paid a $1.68 dividend. The ex-dividend date of this dividend is Tuesday, February 10th. This represents a $6.72 dividend on an annualized basis and a dividend yield of 2.8%. International Business Machines’s dividend payout ratio is 60.27%.

About International Business Machines

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.