International Business Machines (NYSE:IBM) Trading Down 0.2% – Should You Sell?

International Business Machines Co. (NYSE:IBM)’s share price fell 0.2% during mid-day trading on Tuesday . The company traded as low as $218.95 and last traded at $219.74. 340,830 shares traded hands during trading, a decline of 92% from the average session volume of 4,201,905 shares. The stock had previously closed at $220.25.

Analysts Set New Price Targets

IBM has been the subject of several research reports. Royal Bank of Canada reiterated an “outperform” rating and set a $250.00 price objective on shares of International Business Machines in a research note on Thursday, October 24th. Stifel Nicolaus boosted their price target on International Business Machines from $205.00 to $246.00 and gave the company a “buy” rating in a research note on Wednesday, October 16th. DZ Bank cut International Business Machines from a “buy” rating to a “hold” rating and set a $215.00 price objective for the company. in a research note on Wednesday, October 2nd. Bernstein Bank upped their target price on International Business Machines from $185.00 to $210.00 and gave the company a “market perform” rating in a research report on Thursday, October 3rd. Finally, StockNews.com cut shares of International Business Machines from a “buy” rating to a “hold” rating in a research note on Wednesday, November 20th. Three analysts have rated the stock with a sell rating, nine have assigned a hold rating and six have assigned a buy rating to the company’s stock. According to MarketBeat, International Business Machines currently has an average rating of “Hold” and a consensus target price of $208.94.

International Business Machines Stock Down 0.5 %

The stock has a market cap of $202.70 billion, a price-to-earnings ratio of 31.91, a PEG ratio of 5.18 and a beta of 0.73. The business’s 50 day moving average is $221.08 and its 200-day moving average is $205.99. The company has a debt-to-equity ratio of 2.16, a quick ratio of 1.01 and a current ratio of 1.06.

International Business Machines (NYSE:IBM) last announced its earnings results on Wednesday, October 23rd. The technology company reported $2.30 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.27 by $0.03. International Business Machines had a net margin of 10.22% and a return on equity of 40.52%. The business had revenue of $14.97 billion for the quarter, compared to analyst estimates of $15.08 billion. During the same quarter last year, the business earned $2.20 earnings per share. The company’s revenue for the quarter was up 1.5% compared to the same quarter last year. On average, sell-side analysts predict that International Business Machines Co. will post 10.12 EPS for the current fiscal year.

International Business Machines Announces Dividend

The company also recently announced a quarterly dividend, which was paid on Tuesday, December 10th. Shareholders of record on Tuesday, November 12th were issued a dividend of $1.67 per share. The ex-dividend date of this dividend was Tuesday, November 12th. This represents a $6.68 dividend on an annualized basis and a dividend yield of 3.05%. International Business Machines’s payout ratio is currently 97.23%.

Insider Transactions at International Business Machines

In related news, SVP Nickle Jaclyn Lamoreaux sold 3,600 shares of the company’s stock in a transaction dated Friday, November 8th. The shares were sold at an average price of $215.20, for a total transaction of $774,720.00. Following the completion of the sale, the senior vice president now owns 25,390 shares of the company’s stock, valued at approximately $5,463,928. This represents a 12.42 % decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. Corporate insiders own 0.07% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in IBM. Hazlett Burt & Watson Inc. boosted its stake in International Business Machines by 1,054.5% during the third quarter. Hazlett Burt & Watson Inc. now owns 127 shares of the technology company’s stock worth $29,000 after buying an additional 116 shares during the last quarter. Hara Capital LLC purchased a new position in shares of International Business Machines during the 3rd quarter worth $29,000. Oliver Lagore Vanvalin Investment Group acquired a new position in shares of International Business Machines during the 2nd quarter valued at about $36,000. Capital Performance Advisors LLP purchased a new stake in shares of International Business Machines in the third quarter valued at about $43,000. Finally, Mowery & Schoenfeld Wealth Management LLC increased its position in International Business Machines by 47.2% during the third quarter. Mowery & Schoenfeld Wealth Management LLC now owns 240 shares of the technology company’s stock worth $53,000 after purchasing an additional 77 shares during the last quarter. 58.96% of the stock is currently owned by institutional investors and hedge funds.

International Business Machines Company Profile

International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services worldwide. The company operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers a hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate.