IBM (NYSE:IBM) Stock Price Down 6.2% After Analyst Downgrade

IBM (NYSE:IBM)’s stock price was down 6.2% during mid-day trading on Thursday after Nomura lowered their price target on the stock from $175.00 to $170.00. Nomura currently has a buy rating on the stock. IBM traded as low as $132.91 and last traded at $133.30, approximately 10,615,012 shares changed hands during trading. An increase of 176% from the average daily volume of 3,841,434 shares. The stock had previously closed at $142.11.

A number of other research analysts also recently issued reports on the company. Bank of America raised their price target on IBM from $165.00 to $170.00 and gave the stock a “buy” rating in a research note on Monday, August 5th. Morgan Stanley initiated coverage on IBM in a research report on Thursday, August 1st. They set an “overweight” rating and a $170.00 price objective for the company. BMO Capital Markets decreased their price objective on IBM from $157.00 to $152.00 and set a “market perform” rating for the company in a research report on Thursday. KeyCorp reaffirmed a “hold” rating on shares of IBM in a research report on Monday, August 26th. Finally, Tigress Financial reaffirmed a “hold” rating on shares of IBM in a research report on Friday, July 26th. Thirteen investment analysts have rated the stock with a hold rating and eight have issued a buy rating to the stock. IBM has a consensus rating of “Hold” and an average price target of $155.63.

Institutional investors and hedge funds have recently bought and sold shares of the company. Marshall Wace LLP purchased a new stake in IBM in the 1st quarter worth approximately $6,882,000. Amundi Pioneer Asset Management Inc. increased its holdings in IBM by 1.1% in the 1st quarter. Amundi Pioneer Asset Management Inc. now owns 2,500,954 shares of the technology company’s stock worth $352,883,000 after acquiring an additional 27,813 shares in the last quarter. Swedbank increased its holdings in IBM by 10.7% in the 2nd quarter. Swedbank now owns 1,554,671 shares of the technology company’s stock worth $214,389,000 after acquiring an additional 150,472 shares in the last quarter. Crossmark Global Holdings Inc. increased its holdings in IBM by 0.6% in the 2nd quarter. Crossmark Global Holdings Inc. now owns 59,319 shares of the technology company’s stock worth $8,180,000 after acquiring an additional 351 shares in the last quarter. Finally, Gantzert Investment Co. LLC ADV increased its holdings in IBM by 2.6% in the 2nd quarter. Gantzert Investment Co. LLC ADV now owns 10,730 shares of the technology company’s stock worth $1,480,000 after acquiring an additional 275 shares in the last quarter. 55.41% of the stock is owned by institutional investors and hedge funds.

The company’s fifty day moving average is $140.94 and its 200-day moving average is $139.42. The company has a market capitalization of $125.83 billion, a PE ratio of 9.65, a price-to-earnings-growth ratio of 2.22 and a beta of 1.33. The company has a debt-to-equity ratio of 3.51, a quick ratio of 1.79 and a current ratio of 1.83.

IBM (NYSE:IBM) last released its earnings results on Wednesday, October 16th. The technology company reported $2.68 earnings per share (EPS) for the quarter, topping the Thomson Reuters’ consensus estimate of $2.67 by $0.01. The company had revenue of $18.03 billion during the quarter, compared to analyst estimates of $18.29 billion. IBM had a net margin of 11.22% and a return on equity of 69.56%. The firm’s quarterly revenue was down 3.9% compared to the same quarter last year. During the same period in the prior year, the firm posted $3.42 EPS. On average, sell-side analysts expect that IBM will post 12.8 EPS for the current fiscal year.

IBM Company Profile (NYSE:IBM)

International Business Machines Corporation operates as an integrated technology and services company worldwide. Its Cognitive Solutions segment offers a portfolio of enterprise artificial intelligence platforms, such as analytics and data management platforms, cloud data services, talent management, and industry solutions primarily under the Watson Platform, Watson Health, and Watson Internet of Things names.

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