Zacks Research Brokers Decrease Earnings Estimates for IBM

International Business Machines Co. (NYSE:IBM) – Equities researchers at Zacks Research dropped their Q4 2025 earnings per share estimates for International Business Machines in a research note issued on Tuesday, March 25th. Zacks Research analyst S. Bose now forecasts that the technology company will post earnings per share of $4.12 for the quarter, down from their previous estimate of $4.14. The consensus estimate for International Business Machines’ current full-year earnings is $10.78 per share. Zacks Research also issued estimates for International Business Machines’ Q4 2026 earnings at $3.97 EPS, FY2026 earnings at $11.30 EPS and FY2027 earnings at $11.88 EPS.

International Business Machines (NYSE:IBM) last posted its quarterly earnings results on Wednesday, January 29th. The technology company reported $3.92 EPS for the quarter, topping the consensus estimate of $3.77 by $0.15. International Business Machines had a return on equity of 38.99% and a net margin of 9.60%.

Several other brokerages have also commented on IBM. Royal Bank of Canada reaffirmed an “outperform” rating and issued a $250.00 price target on shares of International Business Machines in a research note on Monday, January 27th. JPMorgan Chase & Co. increased their target price on shares of International Business Machines from $233.00 to $244.00 and gave the stock a “neutral” rating in a research note on Thursday, January 30th. Bank of America upped their price objective on shares of International Business Machines from $260.00 to $270.00 and gave the stock a “buy” rating in a report on Thursday, January 30th. Wedbush initiated coverage on International Business Machines in a research report on Monday, February 3rd. They issued an “outperform” rating on the stock. Finally, Sanford C. Bernstein raised their price target on International Business Machines from $210.00 to $215.00 and gave the stock a “market perform” rating in a research report on Friday, January 3rd. Two investment analysts have rated the stock with a sell rating, eight have given a hold rating, seven have assigned a buy rating and one has issued a strong buy rating to the company’s stock. According to MarketBeat, the stock has a consensus rating of “Hold” and an average price target of $231.44.

International Business Machines Stock Down 1.0 %

IBM stock opened at $243.83 on Friday. International Business Machines has a one year low of $162.62 and a one year high of $266.45. The firm has a market cap of $226.10 billion, a PE ratio of 38.04, a PEG ratio of 5.81 and a beta of 0.74. The firm’s 50 day moving average price is $249.51 and its 200-day moving average price is $231.47. The company has a debt-to-equity ratio of 1.82, a quick ratio of 1.00 and a current ratio of 1.04.

International Business Machines Dividend Announcement

The firm also recently disclosed a quarterly dividend, which was paid on Monday, March 10th. Stockholders of record on Monday, February 10th were given a dividend of $1.67 per share. The ex-dividend date of this dividend was Monday, February 10th. This represents a $6.68 annualized dividend and a dividend yield of 2.74%. International Business Machines’s dividend payout ratio is currently 104.21%.

Insider Activity

In other news, SVP Robert David Thomas sold 26,543 shares of the company’s stock in a transaction on Monday, March 3rd. The shares were sold at an average price of $253.01, for a total value of $6,715,644.43. Following the completion of the transaction, the senior vice president now owns 45,007 shares in the company, valued at approximately $11,387,221.07. This represents a 37.10 % decrease in their position. The sale was disclosed in a filing with the SEC, which is accessible through this link. Company insiders own 0.18% of the company’s stock.

Hedge Funds Weigh In On International Business Machines

Several large investors have recently bought and sold shares of IBM. Compass Financial Services Inc purchased a new position in International Business Machines during the 4th quarter worth approximately $26,000. Vision Financial Markets LLC acquired a new position in shares of International Business Machines in the 4th quarter valued at $31,000. Avondale Wealth Management raised its position in International Business Machines by 56.0% in the 4th quarter. Avondale Wealth Management now owns 156 shares of the technology company’s stock valued at $34,000 after purchasing an additional 56 shares during the last quarter. Valued Wealth Advisors LLC boosted its stake in International Business Machines by 134.3% during the 4th quarter. Valued Wealth Advisors LLC now owns 157 shares of the technology company’s stock worth $35,000 after purchasing an additional 90 shares during the period. Finally, Rialto Wealth Management LLC acquired a new position in International Business Machines in the fourth quarter valued at $35,000. Institutional investors and hedge funds own 58.96% of the company’s stock.

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.