International Business Machines (NYSE:IBM) Trading 7.3% Higher – Here’s What Happened

International Business Machines Corporation (NYSE:IBM) rose 7.3% on Monday . The company traded as high as $327.98 and last traded at $319.6670. Approximately 32,605,397 shares traded hands during trading, an increase of 373% from the average daily volume of 6,894,446 shares. The stock had previously closed at $297.80.

International Business Machines News Summary

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

• Positive Sentiment: Barclays initiated IBM with an “overweight” rating and a $350 price target, signaling more upside potential and helping extend the stock’s momentum. IBM Stock Surges After Analyst “Overweight” Rating
• Positive Sentiment: IBM is benefiting from a software-sector rebound after Nvidia CEO Jensen Huang eased concerns that AI would undermine software companies, which lifted sentiment across legacy tech names. Arm, IBM and Hewlett Packard soar as Nvidia chip ‘reinvention’ extends software rally
• Positive Sentiment: Investors are also responding to IBM’s growing quantum-computing story, with reports highlighting its large investment plans and positioning in a space increasingly viewed as commercially viable. IBM Bets $10 Billion on Quantum Computing as Race for Next-Generation Technology Intensifies
• Positive Sentiment: Coverage also pointed to IBM as a beneficiary of the AI and quantum trade, with some articles framing the stock as a renewed momentum play after a strong run. IBM Stock Is Surging Again – Here’s Why
• Neutral Sentiment: Market commentary noted that IBM’s move is being helped by a broad tech-sector rotation and renewed interest in software names, rather than a single company-specific event. Did Trump spark an IBM stock rally? It’s complicated.
• Neutral Sentiment: IBM’s recent earnings beat and revenue growth remain supportive background factors, but they are not the main catalyst behind today’s move.

Analyst Ratings Changes

IBM has been the topic of a number of research reports. UBS Group raised shares of International Business Machines from a “sell” rating to a “neutral” rating and set a $236.00 target price on the stock in a research note on Wednesday, February 25th. 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 on the stock in a research note on Thursday, April 23rd. Wedbush reissued an “outperform” rating and issued a $320.00 price objective on shares of International Business Machines in a research note on Friday. Morgan Stanley boosted their price objective on shares of International Business Machines from $215.00 to $225.00 and gave the stock an “equal weight” rating in a research note on Thursday, April 23rd. Finally, Oppenheimer reduced their price objective on shares of International Business Machines from $380.00 to $320.00 and set an “outperform” rating on the stock in a research note on Thursday, April 16th. One analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating and eight have issued a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $297.50.

International Business Machines Trading Up 7.3%

The firm has a market cap of $300.45 billion, a price-to-earnings ratio of 28.26, a price-to-earnings-growth ratio of 3.08 and a beta of 0.66. The company has a debt-to-equity ratio of 1.75, a current ratio of 0.80 and a quick ratio of 0.76. The firm’s fifty day moving average is $240.16 and its 200-day moving average is $270.71.

International Business Machines (NYSE:IBM) last released its earnings results on Wednesday, April 22nd. The technology company reported $1.91 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.81 by $0.10. The business had revenue of $15.92 billion for the quarter, compared to analyst estimates of $15.60 billion. International Business Machines had a net margin of 15.61% and a return on equity of 37.23%. International Business Machines’s revenue for the quarter was up 9.5% on a year-over-year basis. During the same quarter in the previous year, the business earned $1.60 earnings per share. Equities analysts anticipate that International Business Machines Corporation will post 12.4 earnings per share for the current year.

International Business Machines Increases Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, June 10th. Investors of record on Friday, May 8th will be issued a $1.69 dividend. The ex-dividend date 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 annualized dividend and a yield of 2.1%. International Business Machines’s dividend payout ratio (DPR) is presently 59.77%.

Hedge Funds Weigh In On International Business Machines

Several institutional investors have recently made changes to their positions in IBM. Norges Bank acquired a new position in shares of International Business Machines during the fourth quarter valued at about $2,446,429,000. Capital World Investors raised its holdings in shares of International Business Machines by 29.2% during the fourth quarter. Capital World Investors now owns 22,021,912 shares of the technology company’s stock valued at $6,523,720,000 after purchasing an additional 4,976,756 shares during the period. Price T Rowe Associates Inc. MD raised its holdings in shares of International Business Machines by 83.4% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 5,617,117 shares of the technology company’s stock worth $1,663,847,000 after acquiring an additional 2,553,552 shares during the last quarter. Corient Private Wealth LLC raised its holdings in shares of International Business Machines by 359.6% in the 4th quarter. Corient Private Wealth LLC now owns 1,896,675 shares of the technology company’s stock worth $561,814,000 after acquiring an additional 1,484,026 shares during the last quarter. Finally, Vanguard Group Inc. increased its holdings in International Business Machines by 1.5% during the 4th quarter. Vanguard Group Inc. now owns 97,216,131 shares of the technology company’s stock worth $28,796,390,000 after purchasing an additional 1,439,824 shares in the last quarter. Institutional investors and hedge funds own 58.96% of the company’s stock.

International Business Machines Company Profile

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.