International Business Machines (NYSE:IBM) Trading Down 1.6% – Here’s Why

International Business Machines Corporation (NYSE:IBM)’s stock price was down 1.6% during trading on Tuesday . The stock traded as low as $254.65 and last traded at $258.25. Approximately 4,922,950 shares changed hands during mid-day trading, a decline of 9% from the average daily volume of 5,407,202 shares. The stock had previously closed at $262.38.

Wall Street Analyst Weigh In

IBM has been the subject of a number of recent research reports. UBS Group set a $317.00 target price on International Business Machines in a report on Thursday, January 29th. DZ Bank upgraded International Business Machines to a “hold” rating in a research note on Wednesday, February 11th. Weiss Ratings reissued a “buy (b)” rating on shares of International Business Machines in a research report on Thursday, January 22nd. Oppenheimer set a $380.00 target price on shares of International Business Machines and gave the company an “outperform” rating in a report on Thursday, January 29th. Finally, Wall Street Zen downgraded shares of International Business Machines from a “buy” rating to a “hold” rating in a research note on Sunday, January 11th. One equities research analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating, seven have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to data from MarketBeat.com, the company has an average rating of “Moderate Buy” and a consensus price target of $330.07.

International Business Machines Price Performance

The stock has a market capitalization of $238.97 billion, a price-to-earnings ratio of 22.93, a P/E/G ratio of 2.61 and a beta of 0.69. 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 stock has a fifty day moving average of $295.12 and a 200-day moving average of $283.96.

International Business Machines (NYSE:IBM) last released its quarterly earnings data on Wednesday, January 28th. The technology company reported $4.52 earnings per share for the quarter, topping analysts’ consensus estimates 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 company had revenue of $19.69 billion for the quarter, compared to analysts’ expectations of $19.23 billion. During the same quarter last year, the company earned $3.92 earnings per share. The firm’s revenue for the quarter was up 12.2% on a year-over-year basis. On average, equities research analysts predict that International Business Machines Corporation will post 10.78 EPS for the current fiscal year.

International Business Machines Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Tuesday, March 10th. Investors of record on Tuesday, February 10th will be given 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 yield of 2.6%. International Business Machines’s payout ratio is 60.27%.

Insider Transactions at International Business Machines

In other news, Director David N. Farr acquired 1,000 shares of the company’s stock in a transaction on Friday, January 30th. The shares were bought 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 owned 9,258 shares in the company, valued at $2,814,432. This trade represents a 12.11% increase in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. 0.18% of the stock is owned by corporate insiders.

Institutional Trading of International Business Machines

A number of large investors have recently made changes to their positions in the company. Vancity Investment Management Ltd acquired a new position in International Business Machines during the fourth quarter worth approximately $213,000. Mcguire Capital Advisors Inc. acquired a new stake in shares of International Business Machines in the fourth quarter valued at approximately $441,000. WealthPoint Financial LLC purchased a new position in shares of International Business Machines during the fourth quarter worth approximately $253,000. Compound Planning Inc. increased its holdings in shares of International Business Machines by 8.7% in the 4th quarter. Compound Planning Inc. now owns 34,236 shares of the technology company’s stock valued at $10,141,000 after acquiring an additional 2,738 shares during the period. Finally, TMB Capital Partners LLC purchased a new stake in International Business Machines in the 4th quarter valued at $2,073,000. 58.96% of the stock is owned by institutional investors and hedge funds.

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.