Morgan Stanley Initiates Coverage on IBM (NYSE:IBM)

Equities researchers at Morgan Stanley initiated coverage on shares of IBM (NYSE:IBM) in a research report issued on Thursday, Marketbeat reports. The brokerage set an “overweight” rating and a $170.00 price target on the technology company’s stock. Morgan Stanley’s price objective indicates a potential upside of 15.45% from the stock’s current price.

Several other brokerages have also recently issued reports on IBM. Nomura raised their target price on shares of IBM from $160.00 to $165.00 and gave the stock a “buy” rating in a report on Thursday, July 18th. Credit Suisse Group reiterated a “buy” rating and issued a $173.00 price target on shares of IBM in a report on Friday, July 19th. Zacks Investment Research upgraded shares of IBM from a “sell” rating to a “hold” rating in a report on Monday, April 22nd. JPMorgan Chase & Co. initiated coverage on shares of IBM in a report on Thursday, July 18th. They issued a “neutral” rating and a $147.00 price target on the stock. Finally, Tigress Financial reiterated a “hold” rating on shares of IBM in a report on Friday, July 26th. One investment analyst has rated the stock with a sell rating, twelve have given a hold rating and eight have given a buy rating to the stock. The stock currently has an average rating of “Hold” and a consensus target price of $155.76.

Shares of IBM stock traded down $3.07 on Thursday, hitting $147.25. The stock had a trading volume of 8,101,452 shares, compared to its average volume of 3,622,407. 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 has a one year low of $105.94 and a one year high of $154.36. The firm has a market cap of $131.44 billion, a PE ratio of 10.66, a price-to-earnings-growth ratio of 2.53 and a beta of 1.28. The firm has a 50-day moving average of $142.90.

IBM (NYSE:IBM) last issued its earnings results on Wednesday, July 17th. The technology company reported $3.17 earnings per share (EPS) for the quarter, topping the consensus estimate of $3.06 by $0.11. IBM had a net margin of 11.22% and a return on equity of 69.56%. The firm had revenue of $19.20 billion for the quarter, compared to analysts’ expectations of $19.20 billion. During the same quarter last year, the business earned $3.08 earnings per share. The business’s revenue was down 4.0% on a year-over-year basis. On average, equities analysts anticipate that IBM will post 13.89 EPS for the current fiscal year.

In other news, SVP Kenneth M. Keverian sold 2,083 shares of the business’s stock in a transaction on Tuesday, June 4th. The shares were sold at an average price of $132.00, for a total transaction of $274,956.00. Following the sale, the senior vice president now owns 34,465 shares in the company, valued at approximately $4,549,380. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, SVP Kenneth M. Keverian sold 2,227 shares of the business’s stock in a transaction on Friday, June 14th. The shares were sold at an average price of $135.15, for a total transaction of $300,979.05. Following the sale, the senior vice president now owns 32,878 shares in the company, valued at approximately $4,443,461.70. The disclosure for this sale can be found here. In the last 90 days, insiders have sold 7,000 shares of company stock worth $940,430. Company insiders own 0.19% of the company’s stock.

Several hedge funds have recently made changes to their positions in IBM. BB&T Corp raised its position in shares of IBM by 1.8% in the 1st quarter. BB&T Corp now owns 51,779 shares of the technology company’s stock worth $7,306,000 after purchasing an additional 901 shares during the last quarter. Adell Harriman & Carpenter Inc. purchased a new position in shares of IBM in the 1st quarter worth about $207,000. Greenleaf Trust raised its position in shares of IBM by 12.4% in the 1st quarter. Greenleaf Trust now owns 8,057 shares of the technology company’s stock worth $1,137,000 after purchasing an additional 891 shares during the last quarter. Tibra Equities Europe Ltd purchased a new position in shares of IBM in the 1st quarter worth about $4,797,000. Finally, Wesbanco Bank Inc. raised its position in shares of IBM by 2.2% in the 1st quarter. Wesbanco Bank Inc. now owns 115,867 shares of the technology company’s stock worth $16,349,000 after purchasing an additional 2,522 shares during the last quarter. Hedge funds and other institutional investors own 55.19% of the company’s stock.

About 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.

Further Reading: Price to Earnings Ratio (PE)

Analyst Recommendations for IBM (NYSE:IBM)

Receive News & Ratings for IBM Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for IBM and related companies with MarketBeat.com's FREE daily email newsletter.