International Business Machines (NYSE:IBM) Shares Down 2.4% – Should You Sell?

Posted by Brian Himes on Sep 24th, 2026

International Business Machines Corporation (NYSE:IBM – Get Free Report) shares dropped 2.4% during trading on Thursday. The company traded as low as $226.01 and last traded at $227.0690. Approximately 4,069,369 shares traded hands during mid-day trading, a decline of 47% from the average session volume of 7,657,924 shares. The stock had previously closed at $232.76.

Key International Business Machines News

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

Positive Sentiment: IBM expanded its partnership with Marist University through an AI Innovation Incubator. The initiative will provide access to IBM mainframe technology, quantum-computing resources and enterprise expertise, potentially strengthening IBM’s position in AI education, research and future talent development. Can IBM’s New Innovation Initiative With Marist University Advance AI?
Positive Sentiment: The company introduced Swift blockchain connectivity for its Digital Asset Haven platform and an on-premises deployment option. These capabilities could appeal to banks, governments and other regulated customers that require security, control and support for tokenized deposits and digital assets. IBM Expands Its Digital Banking Infrastructure with Swift Integration and Digital Asset Haven On-Premises
Positive Sentiment: IBM’s broader AI and quantum strategy remains a potential growth driver. Its z17 mainframe is being used in Marist’s agentic-AI laboratory, while IBM’s collaborations with NASA, Lockheed Martin and ETH Zurich expand its presence in scientific AI and quantum-computing research. International Business Machines Builds Its AI And Quantum Case As Valuation Questions Grow
Neutral Sentiment: Industry forecasts call for substantial expansion in the global digital-transformation market, supporting IBM’s exposure to cloud, automation, analytics and AI services. However, the forecast describes an industry opportunity rather than new IBM-specific revenue or guidance. Global Digital Transformation Market to Reach US$7.3 Trillion by 2034
Negative Sentiment: Investors remain concerned about IBM’s recent results and valuation. Reports cite a significant selloff after management previewed weak second-quarter 2026 results, with a shareholder-rights law firm investigating possible securities-law violations. The investigation does not establish wrongdoing, but it adds headline and legal risk. IBM $68 Billion Wipeout Amid Z Shortfall Triggers Investigation
Negative Sentiment: The Swift and Digital Asset Haven announcement has not yet demonstrated a material financial payoff, leading some investors to treat it as a longer-term strategic development rather than an immediate earnings catalyst. Ongoing questions about IBM’s growth rate and valuation are therefore limiting the market response. IBM Stock Declines Following Swift Blockchain Integration Announcement

Analyst Ratings Changes

Several equities analysts recently issued reports on IBM shares. Morgan Stanley decreased their price target on International Business Machines from $293.00 to $190.00 and set an “equal weight” rating on the stock in a report on Thursday, July 23rd. KeyCorp cut International Business Machines to a “sector weight” rating in a research note on Tuesday, June 23rd. Jefferies Financial Group reduced their target price on International Business Machines from $320.00 to $260.00 and set a “buy” rating on the stock in a report on Tuesday, July 21st. Stifel Nicolaus cut their price target on shares of International Business Machines from $290.00 to $235.00 and set a “buy” rating on the stock in a research note on Monday, July 20th. Finally, Oppenheimer lowered shares of International Business Machines from an “outperform” rating to a “market perform” rating in a report on Wednesday, July 15th. Seventeen research analysts have rated the stock with a Buy rating, ten have assigned a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, International Business Machines has a consensus rating of “Moderate Buy” and a consensus price target of $265.16.

View Our Latest Analysis on International Business Machines

International Business Machines Trading Down 2.4%

The business has a 50 day moving average of $230.68 and a two-hundred day moving average of $246.23. The firm has a market cap of $213.93 billion, a P/E ratio of 20.15, a PEG ratio of 2.21 and a beta of 0.71. The company has a current ratio of 0.79, a quick ratio of 0.74 and a debt-to-equity ratio of 1.63.

International Business Machines (NYSE:IBM – Get Free Report) last issued 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 for 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 35.65%. The company’s revenue was up 1.1% on a year-over-year basis. During the same period in the prior year, the firm earned $2.80 earnings per share. Analysts predict that International Business Machines Corporation will post 12.33 earnings per share for the current year.

International Business Machines Dividend Announcement

The company also recently announced a quarterly dividend, which was paid on Thursday, September 10th. Stockholders of record on Monday, August 10th were paid a dividend of $1.69 per share. The ex-dividend date was Monday, August 10th. This represents a $6.76 dividend on an annualized basis and a dividend yield of 3.0%. International Business Machines’s dividend payout ratio (DPR) is 59.98%.

Insider Buying and Selling

In other news, SVP Robert Thomas sold 25,000 shares of the business’s stock in a transaction dated Wednesday, August 26th. The shares were sold at an average price of $230.32, for a total value of $5,758,000.00. Following the completion of the sale, the senior vice president owned 47,800 shares of the company’s stock, valued at approximately $11,009,296. The trade was a 34.34% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which can be accessed through this link. 0.27% of the stock is currently owned by corporate insiders.

Institutional Trading of International Business Machines

Several large investors have recently modified their holdings of the stock. Basepoint Wealth LLC bought a new stake in shares of International Business Machines during the 4th quarter worth approximately $25,000. Portus Wealth Advisors LLC bought a new stake in shares of International Business Machines during the 1st quarter valued at approximately $26,000. Harborfront Financial Group LLC acquired a new position in International Business Machines during the 2nd quarter worth approximately $27,000. Cornerstone Financial Management LLC bought a new position in International Business Machines in the 4th quarter valued at approximately $28,000. Finally, Hara Capital LLC acquired a new stake in International Business Machines in the second quarter valued at approximately $28,000. 58.96% of the stock is owned by institutional investors and hedge funds.

International Business Machines Company Profile

(Get Free Report)

International Business Machines Corporation (IBM) is a global technology and consulting company that provides enterprise-focused hardware, software and services. Its offerings include hybrid cloud solutions, artificial intelligence, data and automation software, cybersecurity tools, IT infrastructure and technology consulting.

IBM develops and supports enterprise systems such as IBM Z mainframes, Power servers and storage products. Its software portfolio includes Red Hat hybrid cloud technologies, the watsonx platform for artificial intelligence and data management, application integration tools and cybersecurity solutions.