International Business Machines Corporation (NYSE:IBM) Given Average Recommendation of “Moderate Buy” by Brokerages

International Business Machines Corporation (NYSE:IBM) has received a consensus recommendation of “Moderate Buy” from the twenty research firms that are presently covering the firm, MarketBeat reports. Eight analysts have rated the stock with a hold rating, eleven have issued a buy rating and one has given a strong buy rating to the company. The average 1-year price objective among brokers that have updated their coverage on the stock in the last year is $320.8667.

A number of equities analysts have commented on IBM shares. Royal Bank Of Canada set a $361.00 target price on International Business Machines in a report on Thursday, January 29th. Oppenheimer set a $380.00 price objective on International Business Machines and gave the company an “outperform” rating in a research note on Thursday, January 29th. Evercore raised their price objective on International Business Machines from $330.00 to $345.00 and gave the company an “outperform” rating in a report on Thursday, January 29th. Wedbush reaffirmed an “outperform” rating and set a $340.00 target price on shares of International Business Machines in a report on Tuesday. Finally, Dbs Bank raised shares of International Business Machines from a “hold” rating to a “moderate buy” rating in a research note on Monday, January 19th.

Key Stories Impacting International Business Machines

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

• Positive Sentiment: UBS upgraded IBM (from Sell to Neutral), which helped spark buying interest and provided a near‑term catalyst by arguing the recent selloff improved the stock’s risk/reward. UBS upgrades International Business Machines (IBM)
• Positive Sentiment: IBM won a government/defense-related contract (up to ~$112M) to modernize commissary pricing systems — a concrete services booking that supports revenue visibility in consulting/integration work. Can IBM’s New Defense Contract Win Boost Top-Line Growth?
• Positive Sentiment: Company insiders (directors) made small share purchases, which investors often view as a vote of confidence after recent price weakness. International Business Machines (NYSE:IBM) Director Michelle Howard Buys 50 Shares
• Positive Sentiment: Several analysts and deep-dive pieces argue the earlier AI-driven selloff was overdone given IBM’s solid Q4 results, cash flow and strategic positioning in hybrid cloud/AI — supporting a recovery narrative. IBM’s Steep Drop on AI Fears May Be an Overreaction
• Neutral Sentiment: Morgan Stanley trimmed its price target to $247 and moved to an “equal weight” stance — this tempers upside expectations and can cap near‑term momentum without being a full downgrade. Morgan Stanley Lowers International Business Machines (NYSE:IBM) Price Target to $247.00
• Neutral Sentiment: IBM’s security research (2026 X‑Force Threat Intelligence Index) highlights rising ransomware and cyber threats — a mixed signal: higher market risk overall but potential tailwinds for IBM’s security services. Ransomware Surges 49% as AI Makes Cyberattacks Faster and Easier, IBM Says
• Negative Sentiment: Anthropic’s new COBOL/legacy modernization tools (Claude Code) triggered the earlier steep selloff amid fears these AI tools could erode IBM’s services revenue from legacy modernization — this remains the primary near‑term downside risk. IBM Is Just AI’s Latest Victim
• Negative Sentiment: High‑profile commentary (e.g., Jim Cramer) highlighted the abrupt drop after Anthropic’s announcement, amplifying short‑term fear and volatility even though some analysts call the reaction overblown. Jim Cramer on International Business Machines

Insider Activity at International Business Machines

In related news, Director David N. Farr bought 1,000 shares of the business’s stock in a transaction on Friday, January 30th. The stock was acquired at an average cost of $304.00 per share, with a total value of $304,000.00. Following the purchase, the director directly owned 9,258 shares of the company’s stock, valued at $2,814,432. The trade was a 12.11% increase in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Michael Miebach purchased 434 shares of the stock in a transaction dated Wednesday, February 25th. The shares were purchased at an average cost of $233.33 per share, for a total transaction of $101,265.22. Following the transaction, the director owned 434 shares in the company, valued at approximately $101,265.22. The trade was a ∞ increase in their position. The disclosure for this purchase is available in the SEC filing. In the last ninety days, insiders purchased 1,484 shares of company stock valued at $417,157. Insiders own 0.18% of the company’s stock.

Institutional Trading of International Business Machines

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Family CFO Inc purchased a new stake in International Business Machines in the fourth quarter valued at $25,000. Basepoint Wealth LLC acquired a new stake in shares of International Business Machines during the 4th quarter worth about $25,000. Winnow Wealth LLC acquired a new stake in shares of International Business Machines during the 2nd quarter worth about $27,000. Mountain Hill Investment Partners Corp. purchased a new stake in International Business Machines in the 3rd quarter valued at about $28,000. Finally, Joseph Group Capital Management acquired a new position in International Business Machines in the fourth quarter valued at about $28,000. Institutional investors and hedge funds own 58.96% of the company’s stock.

International Business Machines Trading Down 0.9%

Shares of NYSE:IBM opened at $239.78 on Monday. The business’s 50 day moving average price is $287.17 and its 200-day moving average price is $283.58. International Business Machines has a 1 year low of $214.50 and a 1 year high of $324.90. The firm has a market capitalization of $224.92 billion, a price-to-earnings ratio of 21.51, a price-to-earnings-growth ratio of 2.43 and a beta of 0.69. The company has a debt-to-equity ratio of 1.67, a current ratio of 0.96 and a quick ratio of 0.92.

International Business Machines (NYSE:IBM) last posted its quarterly earnings data on Wednesday, January 28th. The technology company reported $4.52 earnings per share for the quarter, topping analysts’ consensus estimates of $4.33 by $0.19. The company had revenue of $19.69 billion during the quarter, compared to analysts’ expectations of $19.23 billion. International Business Machines had a net margin of 15.69% and a return on equity of 38.15%. The firm’s revenue for the quarter was up 12.2% on a year-over-year basis. During the same period in the prior year, the business posted $3.92 earnings per share. On average, equities research analysts forecast that International Business Machines will post 10.78 earnings per share for the current fiscal year.

International Business Machines Announces Dividend

The business also recently announced a quarterly dividend, which will be paid on Tuesday, March 10th. Stockholders of record on Tuesday, February 10th will be issued a dividend of $1.68 per share. This represents a $6.72 annualized dividend and a dividend yield of 2.8%. The ex-dividend date is Tuesday, February 10th. International Business Machines’s payout ratio is currently 60.27%.

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.