IBM IBM has been analyzed by 13 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.
The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.
| Bullish | Somewhat Bullish | Indifferent | Somewhat Bearish | Bearish | |
|---|---|---|---|---|---|
| Total Ratings | 3 | 2 | 6 | 1 | 1 |
| Last 30D | 1 | 0 | 0 | 0 | 0 |
| 1M Ago | 0 | 0 | 0 | 0 | 0 |
| 2M Ago | 1 | 2 | 5 | 1 | 0 |
| 3M Ago | 1 | 0 | 1 | 0 | 1 |
Analysts provide deeper insights through their assessments of 12-month price targets, revealing an average target of $182.23, a high estimate of $210.00, and a low estimate of $130.00. Experiencing a 2.5% decline, the current average is now lower than the previous average price target of $186.91.
Understanding Analyst Ratings: A Comprehensive Breakdown
The standing of IBM among financial experts becomes clear with a thorough analysis of recent analyst actions. The summary below outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.
| Analyst | Analyst Firm | Action Taken | Rating | Current Price Target | Prior Price Target |
|---|---|---|---|---|---|
| James Schneider | Goldman Sachs | Announces | Buy | $200.00 | - |
| Matthew Swanson | RBC Capital | Maintains | Outperform | $200.00 | $200.00 |
| Matthew Swanson | RBC Capital | Maintains | Outperform | $200.00 | $200.00 |
| David Grossman | Stifel | Maintains | Buy | $190.00 | $190.00 |
| Stefan Slowinski | Exane BNP Paribas | Announces | Underperform | $145.00 | - |
| Erik Woodring | Morgan Stanley | Lowers | Equal-Weight | $179.00 | $186.00 |
| Brian Essex | JP Morgan | Lowers | Neutral | $185.00 | $190.00 |
| Keith Bachman | BMO Capital | Lowers | Market Perform | $190.00 | $210.00 |
| Moshe Katri | Wedbush | Raises | Neutral | $160.00 | $140.00 |
| Brent Thill | Jefferies | Lowers | Hold | $190.00 | $210.00 |
| Brent Thill | Jefferies | Lowers | Hold | $210.00 | $215.00 |
| David Vogt | UBS | Raises | Sell | $130.00 | $125.00 |
| David Grossman | Stifel | Maintains | Buy | $190.00 | $190.00 |
Key Insights:
- Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to IBM. This information provides a snapshot of how analysts perceive the current state of the company.
- Rating: Unveiling insights, analysts deliver qualitative insights into stock performance, from 'Outperform' to 'Underperform'. These ratings convey expectations for the relative performance of IBM compared to the broader market.
- Price Targets: Delving into movements, analysts provide estimates for the future value of IBM's stock. This analysis reveals shifts in analysts' expectations over time.
Navigating through these analyst evaluations alongside other financial indicators can contribute to a holistic understanding of IBM's market standing. Stay informed and make data-driven decisions with our Ratings Table.
Stay up to date on IBM analyst ratings.
Discovering IBM: A Closer Look
IBM looks to be a part of every aspect of an enterprise's IT needs. The company primarily sells software, IT services, consulting, and hardware. IBM operates in 175 countries and employs approximately 350,000 people. The company has a robust roster of 80,000 business partners to service 5,200 clients—which includes 95% of all Fortune 500. While IBM is a B2B company, IBM's outward impact is substantial. For example, IBM manages 90% of all credit card transactions globally and is responsible for 50% of all wireless connections in the world.
IBM: Financial Performance Dissected
Market Capitalization: Boasting an elevated market capitalization, the company surpasses industry averages. This signals substantial size and strong market recognition.
Revenue Growth: IBM's revenue growth over a period of 3 months has been noteworthy. As of 31 March, 2024, the company achieved a revenue growth rate of approximately 1.47%. This indicates a substantial increase in the company's top-line earnings. As compared to competitors, the company surpassed expectations with a growth rate higher than the average among peers in the Information Technology sector.
Net Margin: The company's net margin is a standout performer, exceeding industry averages. With an impressive net margin of 11.1%, the company showcases strong profitability and effective cost control.
Return on Equity (ROE): IBM's ROE stands out, surpassing industry averages. With an impressive ROE of 7.01%, the company demonstrates effective use of equity capital and strong financial performance.
Return on Assets (ROA): IBM's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 1.18%, the company showcases efficient use of assets and strong financial health.
Debt Management: The company faces challenges in debt management with a debt-to-equity ratio higher than the industry average. With a ratio of 2.7, caution is advised due to increased financial risk.
How Are Analyst Ratings Determined?
Analyst ratings serve as essential indicators of stock performance, provided by experts in banking and financial systems. These specialists diligently analyze company financial statements, participate in conference calls, and engage with insiders to generate quarterly ratings for individual stocks.
Analysts may supplement their ratings with predictions for metrics like growth estimates, earnings, and revenue, offering investors a more comprehensive outlook. However, investors should be mindful that analysts, like any human, can have subjective perspectives influencing their forecasts.
This article was generated by Benzinga's automated content engine and reviewed by an editor.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
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