Investors Purchase High Volume of International Business Machines Put Options (NYSE:IBM)

International Business Machines Corporation (NYSE:IBM) was the recipient of some unusual options trading activity on Thursday. Investors purchased 88,456 put options on the stock. This is an increase of approximately 115% compared to the typical daily volume of 41,215 put options.

Key International Business Machines News

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

• Positive Sentiment: IBM closed its acquisition of Confluent, adding real‑time data streaming to feed AI models and automation across hybrid environments — a strategic move that strengthens IBM’s AI story and long‑term enterprise positioning. IBM Confluent Deal Puts Real Time Data At Core Of AI Story
• Positive Sentiment: IBM Consulting announced a collaboration with The Hackett Group to accelerate enterprise AI adoption by mapping AI use cases to workflows — an execution‑oriented partnership that could help convert product capability into client revenues. IBM Business Operations and The Hackett Group Collaborate
• Positive Sentiment: Media and analyst attention (including endorsements from figures like Jim Cramer) is highlighting IBM’s fundamentals and enterprise AI/quantum positioning, supporting investor interest in the stock’s longer‑term thesis. Jim Cramer Advises to Step In Due to Fundamentals
• Neutral Sentiment: Longer‑term recognition of IBM research continued as IBM Fellow Charles H. Bennett received the A.M. Turing Award — positive for reputation but limited near‑term financial impact. Charles H. Bennett Receives A.M. Turing Award
• Neutral Sentiment: Recent valuation analyses show mixed momentum: 1‑month and 3‑month returns have lagged despite multi‑year strength, so some investors view the pullback as either a buying opportunity or a sign to wait for clearer earnings execution. A Look At IBM Valuation As Recent Returns Show Mixed Momentum
• Negative Sentiment: Analysts trimmed targets after the Confluent deal: JPMorgan cut its target to $283 (neutral rating) citing balanced risk/reward, and BMO lowered its target to $290 with a market‑perform view — both reduce near‑term upside expectations. JPMorgan Lowers IBM Target after Confluent Deal
• Negative Sentiment: Unusual options activity: traders bought roughly 88,456 put contracts (about a 115% jump vs. average), signaling elevated downside hedging or speculative bearish bets that can amplify intraday selling pressure.

Insiders Place Their Bets

In other International Business Machines news, Director Michael Miebach purchased 434 shares of the company’s stock in a transaction that occurred on Wednesday, February 25th. The stock was purchased at an average price of $233.33 per share, with a total value of $101,265.22. Following the completion of the transaction, the director directly owned 434 shares of the company’s stock, valued at approximately $101,265.22. This trade represents a ∞ increase in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director David N. Farr acquired 1,000 shares of the firm’s stock in a transaction on Friday, January 30th. The shares were bought at an average cost of $304.00 per share, for a total transaction of $304,000.00. Following the completion of the acquisition, 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. Additional details regarding this purchase are available in the official SEC disclosure. In the last 90 days, insiders bought 1,484 shares of company stock valued at $417,157. Corporate insiders own 0.27% of the company’s stock.

Hedge Funds Weigh In On International Business Machines

Several hedge funds have recently added to or reduced their stakes in the company. Vanguard Group Inc. grew its position in shares of International Business Machines by 1.5% during the 4th quarter. Vanguard Group Inc. now owns 97,216,131 shares of the technology company’s stock worth $28,796,390,000 after buying an additional 1,439,824 shares during the period. State Street Corp grew its holdings in International Business Machines by 1.0% during the 4th quarter. State Street Corp now owns 54,996,293 shares of the technology company’s stock worth $16,290,452,000 after acquiring an additional 518,321 shares during the period. Geode Capital Management LLC raised its position in shares of International Business Machines by 1.5% during the 4th quarter. Geode Capital Management LLC now owns 22,605,083 shares of the technology company’s stock valued at $6,679,105,000 after acquiring an additional 336,069 shares during the last quarter. Capital World Investors lifted its stake in shares of International Business Machines by 29.2% in the 4th quarter. Capital World Investors now owns 22,021,912 shares of the technology company’s stock valued at $6,523,720,000 after purchasing an additional 4,976,756 shares during the period. Finally, Norges Bank acquired a new stake in shares of International Business Machines during the fourth quarter worth $2,446,429,000. Institutional investors own 58.96% of the company’s stock.

International Business Machines Stock Down 0.6%

Shares of NYSE IBM opened at $250.03 on Friday. International Business Machines has a 12-month low of $214.50 and a 12-month high of $324.90. The firm’s 50-day simple moving average is $273.02 and its 200 day simple moving average is $284.48. 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 company has a market cap of $234.53 billion, a price-to-earnings ratio of 22.42, a price-to-earnings-growth ratio of 2.52 and a beta of 0.73.

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 the consensus estimate of $4.33 by $0.19. International Business Machines had a net margin of 15.69% and a return on equity of 38.15%. The firm had revenue of $19.69 billion during the quarter, compared to analysts’ expectations of $19.23 billion. During the same quarter last year, the company posted $3.92 EPS. The company’s quarterly revenue was up 12.2% compared to the same quarter last year. On average, research analysts expect that International Business Machines will post 10.78 earnings per share for the current fiscal year.

International Business Machines Announces Dividend

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

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on IBM. Stifel Nicolaus upped their price target 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. DZ Bank upgraded shares of International Business Machines to a “hold” rating in a research note on Wednesday, February 11th. UBS Group upgraded shares of International Business Machines from a “sell” rating to a “neutral” rating and set a $236.00 target price for the company in a research report on Wednesday, February 25th. Jefferies Financial Group restated a “buy” rating on shares of International Business Machines in a research report on Monday, February 23rd. Finally, Evercore raised their price objective on shares of International Business Machines from $330.00 to $345.00 and gave the stock an “outperform” rating in a report on Thursday, January 29th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and eight have given a Hold rating to the company. According to data from MarketBeat, International Business Machines presently has a consensus rating of “Moderate Buy” and a consensus target price of $314.60.

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.