International Business Machines (NYSE:IBM) Trading 12.9% Higher – What’s Next?

Posted by Francis Steltz on May 29th, 2026

International Business Machines Corporation (NYSE:IBM – Get Free Report)’s stock price was up 12.9% on Friday . The company traded as high as $301.00 and last traded at $298.2610. Approximately 28,276,708 shares traded hands during trading, an increase of 326% from the average daily volume of 6,637,965 shares. The stock had previously closed at $264.22.

International Business Machines News Roundup

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

Positive Sentiment: IBM unveiled a more than $10 billion quantum computing investment plan, reinforcing its leadership in an emerging high-growth market. IBM to invest $10 billion for large-scale quantum computer by 2029
Positive Sentiment: IBM and Red Hat launched Project Lightwell, a $5 billion push to secure open-source software with AI tools and 20,000 engineers, which could strengthen its enterprise security franchise. IBM and Red Hat Commit $5 Billion to Redefine the Future of Open Source in the AI Era
Positive Sentiment: Wedbush reiterated an Outperform rating and raised its target to $320, signaling continued analyst confidence in IBM’s upside. IBM Is Chasing A ‘$1 Trillion Value Creation Engine’ — And It’s Spending $15 Billion To Get There

Wall Street Analysts Forecast Growth

A number of equities analysts have weighed in on IBM shares. Evercore upped their price objective on shares of International Business Machines from $330.00 to $345.00 and gave the stock an “outperform” rating in a research report on Thursday, January 29th. Weiss Ratings cut shares of International Business Machines from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Thursday, May 21st. Argus set a $360.00 price objective on shares of International Business Machines in a research report on Friday, January 30th. BMO Capital Markets reduced their price objective on shares of International Business Machines from $290.00 to $270.00 and set a “market perform” rating for the company in a research report on Thursday, April 23rd. Finally, DZ Bank upgraded shares of International Business Machines from a “hold” rating to a “buy” rating and set a $295.00 price objective for the company in a research report on Friday, April 24th. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and eight have given a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average target price of $294.41.

View Our Latest Analysis on IBM

International Business Machines Price Performance

The firm has a market cap of $280.33 billion, a PE ratio of 26.37, a price-to-earnings-growth ratio of 2.64 and a beta of 0.58. The stock’s fifty day moving average price is $239.22 and its 200-day moving average price is $270.79. The company has a debt-to-equity ratio of 1.75, a current ratio of 0.80 and a quick ratio of 0.76.

International Business Machines (NYSE:IBM – Get Free Report) last released its earnings results on Wednesday, April 22nd. The technology company reported $1.91 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.81 by $0.10. International Business Machines had a net margin of 15.61% and a return on equity of 37.23%. The business had revenue of $15.92 billion during the quarter, compared to analyst estimates of $15.60 billion. During the same quarter in the prior year, the firm earned $1.60 earnings per share. The company’s revenue for the quarter was up 9.5% compared to the same quarter last year. As a group, equities analysts expect that International Business Machines Corporation will post 12.4 EPS for the current fiscal year.

International Business Machines Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Stockholders of record on Friday, May 8th will be issued a dividend of $1.69 per share. The ex-dividend date of this dividend is Friday, May 8th. This is a positive change from International Business Machines’s previous quarterly dividend of $1.68. This represents a $6.76 dividend on an annualized basis and a dividend yield of 2.3%. International Business Machines’s payout ratio is currently 59.77%.

Institutional Investors Weigh In On International Business Machines

A number of hedge funds have recently modified their holdings of IBM. Family CFO Inc purchased a new stake in shares of International Business Machines in the fourth quarter valued at about $25,000. Basepoint Wealth LLC purchased a new stake in shares of International Business Machines in the fourth quarter valued at about $25,000. Portus Wealth Advisors LLC purchased a new stake in shares of International Business Machines in the first quarter valued at about $26,000. Joseph Group Capital Management purchased a new stake in shares of International Business Machines in the fourth quarter valued at about $28,000. Finally, Cornerstone Financial Management LLC purchased a new stake in shares of International Business Machines in the fourth quarter valued at about $28,000. Hedge funds and other 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.