International Business Machines (NYSE:IBM) Cut to “Sell” at Wall Street Zen

Wall Street Zen cut shares of International Business Machines (NYSE:IBM) from a hold rating to a sell rating in a report issued on Saturday,Wall Street Zen reports.

A number of other research firms also recently issued reports on IBM. Piper Sandler upgraded International Business Machines to an “overweight” rating in a report on Tuesday, June 23rd. The Goldman Sachs Group set a $270.00 price target on shares of International Business Machines in a research note on Thursday, July 23rd. Oppenheimer lowered shares of International Business Machines from an “outperform” rating to a “market perform” rating in a research note on Wednesday, July 15th. Susquehanna lifted their target price on shares of International Business Machines from $225.00 to $235.00 and gave the company a “neutral” rating in a report on Monday, August 31st. Finally, HSBC set a $175.00 price target on International Business Machines and gave the stock a “reduce” rating in a research report on Thursday, July 16th. Seventeen research analysts have rated the stock with a Buy rating, ten have issued a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus target price of $265.16.

International Business Machines Stock Performance

Shares of IBM opened at $249.09 on Friday. The company has a 50-day simple moving average of $235.87 and a two-hundred day simple moving average of $246.66. The company has a debt-to-equity ratio of 1.63, a current ratio of 0.79 and a quick ratio of 0.74. The firm has a market capitalization of $234.68 billion, a PE ratio of 22.10, a price-to-earnings-growth ratio of 2.32 and a beta of 0.71. International Business Machines has a one year low of $199.19 and a one year high of $332.46.

International Business Machines (NYSE:IBM) last posted its earnings results on Wednesday, July 22nd. The technology company reported $2.93 earnings per share for the quarter, hitting analysts’ consensus estimates of $2.93. The firm had revenue of $17.16 billion for the quarter, compared to the consensus estimate of $17.46 billion. International Business Machines had a return on equity of 35.65% and a net margin of 15.52%.The business’s revenue for the quarter was up 1.1% on a year-over-year basis. During the same quarter in the prior year, the business earned $2.80 EPS. On average, analysts anticipate that International Business Machines will post 12.33 EPS for the current fiscal year.

International Business Machines Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, September 10th. Shareholders of record on Monday, August 10th were paid a dividend of $1.69 per share. This represents a $6.76 dividend on an annualized basis and a yield of 2.7%. The ex-dividend date was Monday, August 10th. International Business Machines’s dividend payout ratio (DPR) is currently 59.98%.

Insider Transactions at International Business Machines

In other news, SVP Robert Thomas sold 25,000 shares of the company’s stock in a transaction that occurred on 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 transaction, the senior vice president owned 47,800 shares in the company, valued at approximately $11,009,296. This represents a 34.34% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Company insiders own 0.27% of the company’s stock.

Institutional Investors Weigh In On International Business Machines

Several institutional investors and hedge funds have recently made changes to their positions in IBM. Smith Chas P & Associates PA Cpas increased its position in shares of International Business Machines by 11.5% during the 2nd quarter. Smith Chas P & Associates PA Cpas now owns 5,644 shares of the technology company’s stock worth $1,587,000 after purchasing an additional 582 shares during the last quarter. Rench Wealth Management Inc. raised its stake in shares of International Business Machines by 1.9% in the 2nd quarter. Rench Wealth Management Inc. now owns 2,463 shares of the technology company’s stock valued at $693,000 after acquiring an additional 47 shares during the period. Bouchey Financial Group Ltd. raised its stake in shares of International Business Machines by 8.5% in the 2nd quarter. Bouchey Financial Group Ltd. now owns 3,336 shares of the technology company’s stock valued at $938,000 after acquiring an additional 260 shares during the period. Sequoia Financial Advisors LLC lifted its holdings in shares of International Business Machines by 6.9% in the 2nd quarter. Sequoia Financial Advisors LLC now owns 221,104 shares of the technology company’s stock worth $62,177,000 after acquiring an additional 14,178 shares during the last quarter. Finally, MCF Advisors LLC boosted its position in shares of International Business Machines by 3.2% during the 2nd quarter. MCF Advisors LLC now owns 4,879 shares of the technology company’s stock worth $1,372,000 after purchasing an additional 153 shares during the period. Institutional investors own 58.96% of the company’s stock.

Key Stories Impacting International Business Machines

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

• Positive Sentiment: NASA lunar AI model expands IBM’s AI profile. IBM and NASA released the open-source NASA-IBM Lunar Foundation Model, which analyzes lunar observation data to map craters, identify possible ice deposits and study volcanic features. The launch demonstrates IBM’s ability to apply its AI technology to specialized scientific and government workloads and could support broader commercial AI opportunities. IBM Takes its AI Strategy Beyond Earth with NASA Lunar Model
• Positive Sentiment: NASA collaboration is being viewed as a potential long-term growth catalyst. Commentary on the partnership suggests the open-source model could broaden IBM’s AI runway and strengthen its position in advanced research and enterprise applications. How to Play IBM Stock as It Teams Up with NASA to Launch a New Open-Source Model
• Positive Sentiment: IBM remains involved in the developing quantum-computing ecosystem. IBM quantum hardware was included in early evaluations of NVIDIA’s CUDA-Q Logical platform, which is designed to connect quantum processors with GPUs and support error-correction development. Separately, IBM is supporting BlueQubit’s $150,000 Quantum Flywheel grant program, increasing its exposure to researchers and potential future quantum-computing customers. BlueQubit Launches Quantum Flywheel Grant Program
• Neutral Sentiment: Investor attention is elevated. IBM has become a trending stock on Zacks, which may be contributing to trading interest, but the coverage does not identify a new earnings or guidance catalyst. IBM Is a Trending Stock
• Positive Sentiment: Analyst sentiment remains moderately favorable. Recent coverage indicates analysts have maintained a Moderate Buy rating and that second-quarter 2026 guidance remains intact, providing support for IBM’s valuation while investors await additional operating results. IBM Stock Gains as Analysts Keep Moderate Buy Rating

International Business Machines Company Profile

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.