UBS Group Downgrades IBM (NYSE:IBM) to Neutral

IBM (NYSE:IBM) was downgraded by UBS Group from a “buy” rating to a “neutral” rating in a research note issued to investors on Monday, MarketBeat reports. They currently have a $140.00 price target on the technology company’s stock, down from their prior price target of $170.00. UBS Group’s price target would suggest a potential upside of 4.51% from the stock’s previous close.

A number of other analysts have also recently weighed in on the company. JPMorgan Chase & Co. reiterated a “neutral” rating and set a $152.00 price target on shares of IBM in a research report on Monday, August 12th. BMO Capital Markets dropped their price target on IBM from $157.00 to $152.00 and set a “market perform” rating on the stock in a research report on Thursday, October 17th. KeyCorp reiterated a “hold” rating on shares of IBM in a research report on Monday, August 26th. Credit Suisse Group reiterated a “buy” rating and set a $173.00 price target on shares of IBM in a research report on Friday, July 19th. Finally, Wells Fargo & Co reiterated a “market perform” rating and set a $140.00 price target (down from $147.00) on shares of IBM in a research report on Thursday, October 17th. One equities research analyst has rated the stock with a sell rating, twelve have given a hold rating and seven have issued a buy rating to the company. IBM presently has an average rating of “Hold” and a consensus price target of $154.38.

Shares of NYSE IBM opened at $133.96 on Monday. The stock’s 50 day moving average price is $140.87 and its two-hundred day moving average price is $139.16. IBM has a 52-week low of $105.94 and a 52-week high of $152.95. The stock has a market capitalization of $117.45 billion, a P/E ratio of 9.70, a PEG ratio of 2.10 and a beta of 1.33. The company has a quick ratio of 1.04, a current ratio of 1.09 and a debt-to-equity ratio of 3.40.

IBM (NYSE:IBM) last announced its quarterly earnings data on Wednesday, October 16th. The technology company reported $2.68 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $2.67 by $0.01. The firm had revenue of $18.03 billion for the quarter, compared to analysts’ expectations of $18.29 billion. IBM had a return on equity of 67.12% and a net margin of 10.00%. IBM’s revenue for the quarter was down 3.9% compared to the same quarter last year. During the same quarter in the prior year, the firm posted $3.42 earnings per share. On average, analysts anticipate that IBM will post 12.8 EPS for the current year.

Institutional investors and hedge funds have recently bought and sold shares of the stock. Next Capital Management LLC increased its position in IBM by 50.0% in the 2nd quarter. Next Capital Management LLC now owns 213 shares of the technology company’s stock valued at $29,000 after acquiring an additional 71 shares during the period. Motco increased its position in IBM by 15.6% in the 2nd quarter. Motco now owns 1,665 shares of the technology company’s stock valued at $230,000 after acquiring an additional 225 shares during the period. Sonora Investment Management LLC increased its position in IBM by 11.5% in the 2nd quarter. Sonora Investment Management LLC now owns 1,802 shares of the technology company’s stock valued at $248,000 after acquiring an additional 186 shares during the period. Noesis Capital Mangement Corp acquired a new stake in IBM in the 2nd quarter valued at approximately $291,000. Finally, Wealthcare Advisory Partners LLC increased its position in IBM by 10.5% in the 2nd quarter. Wealthcare Advisory Partners LLC now owns 2,185 shares of the technology company’s stock valued at $301,000 after acquiring an additional 208 shares during the period. Hedge funds and other institutional investors own 55.44% of the company’s stock.

IBM Company Profile

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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Analyst Recommendations for IBM (NYSE:IBM)

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