International Business Machines (NYSE:IBM) Stock Price Up 3.6% – Should You Buy?

Posted by George Bondi on Jul 24th, 2026

Shares of International Business Machines Corporation (NYSE:IBM – Get Free Report) rose 3.6% on Friday . The stock traded as high as $216.10 and last traded at $214.1550. 10,500,355 shares were traded during trading, an increase of 28% from the average session volume of 8,193,520 shares. The stock had previously closed at $206.65.

International Business Machines News Roundup

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

Positive Sentiment: Citigroup lowered its price target to $245 from $255 but kept a buy rating, signaling continued upside potential despite the recent selloff. Citigroup price target update via Benzinga
Positive Sentiment: IBM announced a deal to acquire HRL Laboratories to strengthen its quantum computing push, reinforcing its long-term growth narrative in advanced technologies. IBM acquires HRL Laboratories
Positive Sentiment: Despite the weak report, IBM declared a quarterly dividend of $1.69 per share, which may support income-focused investors. IBM second-quarter results release
Neutral Sentiment: Social-media and analyst reactions to Q2 earnings were mixed, with some saying software strength and stable cash flow could offset weakness in infrastructure, while others questioned whether consulting momentum will improve later in the year. Quiver Quant earnings reaction summary
Neutral Sentiment: IBM’s Q2 revenue grew only modestly year over year, and while earnings matched estimates, the company’s guidance reset suggests investors are waiting for proof that second-half demand will recover. IBM earnings snapshot
Negative Sentiment: IBM cut its 2026 constant-currency revenue growth outlook to 4%–5% from above 5%, citing delayed software deals and weaker mainframe sales, which is the biggest reason the stock is being sold off. IBM cuts annual revenue growth forecast
Negative Sentiment: Q2 revenue of about $17.16 billion missed estimates, and the mainframe business was notably weak, adding to concerns that enterprise customers are shifting budgets toward AI-related hardware instead of IBM’s legacy systems. IBM Q2 results and strategy coverage
Negative Sentiment: Law firms have launched securities-fraud investigations tied to the post-earnings stock drop, adding an overhang that could keep sentiment cautious in the near term. IBM fraud investigation notice

Wall Street Analyst Weigh In

A number of research analysts have recently commented on the stock. Oppenheimer cut shares of International Business Machines from an “outperform” rating to a “market perform” rating in a report on Wednesday, July 15th. Robert W. Baird initiated coverage on shares of International Business Machines in a research note on Tuesday. They issued a “neutral” rating and a $230.00 price objective for the company. Susquehanna cut their target price on shares of International Business Machines from $303.00 to $225.00 and set a “neutral” rating on the stock in a research report on Friday. Piper Sandler upgraded shares of International Business Machines to an “overweight” rating in a report on Tuesday, June 23rd. Finally, Morgan Stanley dropped their price target on International Business Machines from $293.00 to $190.00 and set an “equal weight” rating for the company in a research note on Thursday. Fifteen analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $265.40.

View Our Latest Stock Report on IBM

International Business Machines Stock Performance

The company has a market capitalization of $201.28 billion, a P/E ratio of 19.00, a price-to-earnings-growth ratio of 2.23 and a beta of 0.68. The company has a debt-to-equity ratio of 1.75, a quick ratio of 0.76 and a current ratio of 0.80. The stock’s 50 day moving average price is $263.03 and its 200 day moving average price is $260.82.

International Business Machines (NYSE:IBM – Get Free Report) last released its quarterly earnings data on Wednesday, July 22nd. The technology company reported $2.93 earnings per share for the quarter, meeting the consensus estimate of $2.93. The company had revenue of $17.16 billion during the quarter, compared to analyst estimates of $17.46 billion. International Business Machines had a net margin of 15.52% and a return on equity of 36.58%. International Business Machines’s revenue for the quarter was up 1.1% compared to the same quarter last year. During the same quarter in the previous year, the business posted $2.80 EPS. As a group, equities analysts expect that International Business Machines Corporation will post 12.15 EPS for the current year.

International Business Machines Announces Dividend

The company also recently declared a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Monday, August 10th will be issued a $1.69 dividend. The ex-dividend date is Monday, August 10th. This represents a $6.76 annualized dividend and a yield of 3.2%. International Business Machines’s dividend payout ratio is presently 59.77%.

Institutional Investors Weigh In On International Business Machines

Several hedge funds and other institutional investors have recently modified their holdings of the company. Wagner Wealth Management LLC raised its holdings in International Business Machines by 1.9% during the second quarter. Wagner Wealth Management LLC now owns 9,648 shares of the technology company’s stock worth $2,713,000 after buying an additional 184 shares during the last quarter. Bank Pictet & Cie Europe AG lifted its position in shares of International Business Machines by 51.0% during the second quarter. Bank Pictet & Cie Europe AG now owns 8,955 shares of the technology company’s stock valued at $2,518,000 after purchasing an additional 3,025 shares in the last quarter. Provenance Wealth Advisors LLC lifted its position in shares of International Business Machines by 11.7% during the 2nd quarter. Provenance Wealth Advisors LLC now owns 4,788 shares of the technology company’s stock worth $1,346,000 after buying an additional 500 shares in the last quarter. Nicholas Wealth LLC. boosted its position in International Business Machines by 6.2% in the second quarter. Nicholas Wealth LLC. now owns 4,261 shares of the technology company’s stock worth $1,198,000 after purchasing an additional 250 shares during the last quarter. Finally, Leisure Capital Management boosted its holdings in shares of International Business Machines by 5.0% in the 2nd quarter. Leisure Capital Management now owns 4,791 shares of the technology company’s stock worth $1,347,000 after buying an additional 227 shares during the last quarter. Institutional investors own 58.96% of the company’s stock.

International Business Machines Company Profile

(Get Free Report)

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.