Citigroup Cuts International Business Machines (NYSE:IBM) Price Target to $245.00

International Business Machines (NYSE:IBM) had its price objective cut by Citigroup from $255.00 to $245.00 in a report published on Friday,Benzinga reports. They currently have a buy rating on the technology company’s stock.

Several other research firms have also weighed in on IBM. Argus reduced their price objective on shares of International Business Machines from $360.00 to $280.00 and set a “buy” rating on the stock in a research note on Thursday, July 16th. Robert W. Baird assumed coverage on shares of International Business Machines in a report on Tuesday, July 21st. They issued a “neutral” rating and a $230.00 target price on the stock. Barclays reduced their price target on shares of International Business Machines from $288.00 to $262.00 and set an “overweight” rating on the stock in a research report on Thursday. Bank of America boosted their price target on shares of International Business Machines from $315.00 to $330.00 and gave the company a “buy” rating in a report on Monday, July 6th. Finally, Wedbush set a $350.00 price objective on shares of International Business Machines in a research report on Tuesday, June 2nd. Fifteen equities research analysts have rated the stock with a Buy rating, eleven have given a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat, the stock presently has a consensus rating of “Moderate Buy” and a consensus target price of $265.40.

International Business Machines Stock Performance

Shares of International Business Machines stock opened at $214.16 on Friday. The firm has a fifty day moving average of $262.92 and a two-hundred day moving average of $260.26. The company has a debt-to-equity ratio of 1.63, a quick ratio of 0.74 and a current ratio of 0.79. The stock has a market capitalization of $201.76 billion, a price-to-earnings ratio of 19.00, a PEG ratio of 2.10 and a beta of 0.68. International Business Machines has a 52 week low of $199.19 and a 52 week high of $332.46.

International Business Machines (NYSE:IBM) last posted its quarterly earnings results on Wednesday, July 22nd. The technology company reported $2.93 earnings per share (EPS) for the quarter, hitting the consensus estimate of $2.93. The business had revenue of $17.16 billion for the quarter, compared to analyst estimates of $17.46 billion. International Business Machines had a return on equity of 35.65% and a net margin of 15.52%.The firm’s revenue was up 1.1% on a year-over-year basis. During the same period last year, the company earned $2.80 EPS. As a group, equities research analysts predict that International Business Machines will post 12.34 EPS for the current year.

International Business Machines Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Monday, August 10th will be given a $1.69 dividend. The ex-dividend date of this dividend is Monday, August 10th. This represents a $6.76 dividend on an annualized basis and a dividend yield of 3.2%. International Business Machines’s payout ratio is currently 59.98%.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Family CFO Inc acquired a new stake in shares of International Business Machines during the fourth quarter worth $25,000. Basepoint Wealth LLC purchased a new stake in International Business Machines in the 4th quarter valued at $25,000. Portus Wealth Advisors LLC purchased a new position in shares of International Business Machines in the 1st quarter worth approximately $26,000. Joseph Group Capital Management purchased a new position in International Business Machines in the fourth quarter worth $28,000. Finally, Cornerstone Financial Management LLC purchased a new position in shares of International Business Machines in the 4th quarter worth about $28,000. Institutional investors and hedge funds own 58.96% of the company’s stock.

International Business Machines News Roundup

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

• Positive Sentiment: Unusual options activity showed strong bullish interest, with traders buying 108,601 call options on IBM, about 35% above normal call volume. This suggests some investors are betting on a rebound.
• Positive Sentiment: Citigroup lowered its price target to $245 from $255 but kept a Buy rating, implying meaningful upside from current levels and signaling that some analysts still see value in the shares.
• Positive Sentiment: IBM announced a dividend of $1.69 per share, reinforcing its appeal to income-focused investors at a time when the stock has been under pressure.
• Neutral Sentiment: Recent commentary has turned split: some analysts and strategists view the post-earnings decline as a potential long-term opportunity, while others say IBM may be stuck in a holding pattern until growth reaccelerates. IBM: The Historic Stock Rout Is A Generational Opportunity
• Neutral Sentiment: IBM is still getting support from its long-term quantum computing strategy, including the announced acquisition of HRL Laboratories, which expands its quantum R&D capabilities. That could help sentiment, but the benefit is longer term rather than immediate.
• Negative Sentiment: The main reason the stock fell sharply is IBM’s Q2 report and lowered 2026 outlook: revenue missed expectations, mainframe sales weakened, and management cut full-year constant-currency revenue growth guidance after customers shifted spending toward AI infrastructure.
• Negative Sentiment: Shortly after the earnings slump, law firms announced securities-fraud investigations tied to IBM’s disclosures about the mainframe slowdown, adding legal overhang and uncertainty for shareholders.

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.