International Business Machines Corporation (NYSE:IBM) Receives $306.86 Average Target Price from Analysts

International Business Machines Corporation (NYSE:IBM) has received an average rating of “Moderate Buy” from the nineteen research firms that are currently covering the firm, Marketbeat reports. One analyst has rated the stock with a sell rating, five have issued a hold rating, twelve have assigned a buy rating and one has given a strong buy rating to the company. The average twelve-month price target among brokers that have issued ratings on the stock in the last year is $330.0667.

Several research firms have issued reports on IBM. Wall Street Zen lowered International Business Machines from a “buy” rating to a “hold” rating in a research note on Sunday, January 11th. Bank of America increased their target price on shares of International Business Machines from $315.00 to $335.00 and gave the stock a “buy” rating in a research report on Tuesday, January 13th. BMO Capital Markets reissued a “market perform” rating and set a $350.00 price target on shares of International Business Machines in a report on Thursday. Argus set a $360.00 price target on shares of International Business Machines in a research report on Friday. Finally, Royal Bank Of Canada set a $361.00 price objective on shares of International Business Machines in a report on Thursday.

Key Headlines Impacting International Business Machines

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

• Positive Sentiment: Q4 beat and upgraded 2026 revenue outlook — IBM reported better?than?expected Q4 EPS and revenue, highlighted strong software and AI (watsonx/Red Hat) momentum, and gave FY?2026 revenue guidance above Street consensus. These fundamentals are the primary driver of recent upside interest. IBM Q4 Earnings Surpass Estimates
• Positive Sentiment: AI & software growth narrative strengthened — Management said AI?related revenue and software growth powered the quarter (software +14%, infrastructure +21%), and IBM is positioning with its Confluent acquisition to expand data streaming for AI workloads — a strategic tailwind for valuation. Analysis Of IBM’s Confluent Acquisition
• Positive Sentiment: Analyst upgrades and higher targets — Multiple firms lifted price targets and reiterated buy/outperform views after the quarter (Evercore to $345 outperf; JPMorgan raised its target). Upgrades add buying pressure and validate management’s AI story. Evercore Raises Target JPMorgan Raises IBM Target
• Positive Sentiment: Shareholder returns intact — IBM declared its quarterly dividend ($1.68 per share), supporting income investors and signaling confidence in cash flow. (Ex?dividend date noted in company disclosures.)
• Positive Sentiment: Board addition brings operating experience — IBM elected Ramon L. Laguarta (former PepsiCo CEO) to the board, adding consumer?sector and global ops expertise that investors often view as governance strength. IBM Elects Ramon L. Laguarta
• Neutral Sentiment: Large bond sale draws attention to funding and leverage — IBM has launched multi?part bond offerings (euro and dollar) to fund deals and operations; investors are parsing issuance size, yields and the impact on balance?sheet leverage. This is a funding update rather than an earnings surprise, so impact is mixed. IBM Bond Sale Puts Fresh Funding And Valuation In Investor Focus
• Negative Sentiment: Bearish/critical takes remain — Some analysts and commentaries highlight risks (execution, macro sensitivity, or areas of weakness) and published critical pieces framing cautionary scenarios that can pressure sentiment after initial euphoria. IBM: Limping Into 2026

Insider Buying and Selling

In other International Business Machines news, Director David N. Farr acquired 1,000 shares of International Business Machines 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 purchase, the director owned 9,258 shares in the company, valued at $2,814,432. This trade represents a 12.11% increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through the SEC website. Corporate insiders own 0.18% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Family CFO Inc acquired a new position in shares of International Business Machines during the second quarter worth approximately $25,000. Winnow Wealth LLC bought a new position in International Business Machines in the 2nd quarter worth approximately $27,000. Mountain Hill Investment Partners Corp. acquired a new position in International Business Machines during the 3rd quarter worth $28,000. Joseph Group Capital Management bought a new position in International Business Machines in the 4th quarter valued at $28,000. Finally, SWAN Capital LLC acquired a new stake in shares of International Business Machines in the 3rd quarter valued at $28,000. Institutional investors and hedge funds own 58.96% of the company’s stock.

International Business Machines Stock Performance

NYSE IBM opened at $306.48 on Thursday. International Business Machines has a twelve month low of $214.50 and a twelve month high of $324.90. The company has a quick ratio of 0.89, a current ratio of 0.96 and a debt-to-equity ratio of 1.67. The stock has a market cap of $286.48 billion, a P/E ratio of 27.49, a PEG ratio of 2.99 and a beta of 0.70. The company’s 50-day simple moving average is $302.85 and its 200 day simple moving average is $283.15.

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, beating analysts’ consensus estimates of $4.33 by $0.19. The company had revenue of $19.69 billion for the quarter, compared to the consensus estimate of $19.23 billion. International Business Machines had a return on equity of 38.15% and a net margin of 15.69%.The company’s quarterly revenue was up 12.2% on a year-over-year basis. During the same period in the previous year, the business earned $3.92 earnings per share. As a group, research analysts forecast that International Business Machines will post 10.78 earnings per share for the current fiscal year.

International Business Machines Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, March 10th. Shareholders of record on Tuesday, February 10th will be given a $1.68 dividend. The ex-dividend date is Tuesday, February 10th. This represents a $6.72 annualized dividend and a yield of 2.2%. International Business Machines’s payout ratio is presently 60.27%.

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.