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IBM (IBM) Dips More Than Broader Markets: What You Should Know
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In the latest trading session, IBM (IBM - Free Report) closed at $139.18, marking a -1.29% move from the previous day. This move lagged the S&P 500's daily loss of 0.92%. Meanwhile, the Dow lost 0.62%, and the Nasdaq, a tech-heavy index, added 0.05%.
Coming into today, shares of the technology and consulting company had gained 4.36% in the past month. In that same time, the Computer and Technology sector lost 0.73%, while the S&P 500 lost 1%.
IBM will be looking to display strength as it nears its next earnings release. In that report, analysts expect IBM to post earnings of $2.28 per share. This would mark a year-over-year decline of 2.15%. Meanwhile, our latest consensus estimate is calling for revenue of $15.05 billion, down 19.7% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.89 per share and revenue of $61.04 billion. These totals would mark changes of +24.72% and -13.78%, respectively, from last year.
Any recent changes to analyst estimates for IBM should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. IBM is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that IBM has a Forward P/E ratio of 14.26 right now. This represents a discount compared to its industry's average Forward P/E of 31.03.
We can also see that IBM currently has a PEG ratio of 1.58. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Computer - Integrated Systems stocks are, on average, holding a PEG ratio of 1.58 based on yesterday's closing prices.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.
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IBM (IBM) Dips More Than Broader Markets: What You Should Know
In the latest trading session, IBM (IBM - Free Report) closed at $139.18, marking a -1.29% move from the previous day. This move lagged the S&P 500's daily loss of 0.92%. Meanwhile, the Dow lost 0.62%, and the Nasdaq, a tech-heavy index, added 0.05%.
Coming into today, shares of the technology and consulting company had gained 4.36% in the past month. In that same time, the Computer and Technology sector lost 0.73%, while the S&P 500 lost 1%.
IBM will be looking to display strength as it nears its next earnings release. In that report, analysts expect IBM to post earnings of $2.28 per share. This would mark a year-over-year decline of 2.15%. Meanwhile, our latest consensus estimate is calling for revenue of $15.05 billion, down 19.7% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $9.89 per share and revenue of $61.04 billion. These totals would mark changes of +24.72% and -13.78%, respectively, from last year.
Any recent changes to analyst estimates for IBM should also be noted by investors. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. IBM is holding a Zacks Rank of #3 (Hold) right now.
Valuation is also important, so investors should note that IBM has a Forward P/E ratio of 14.26 right now. This represents a discount compared to its industry's average Forward P/E of 31.03.
We can also see that IBM currently has a PEG ratio of 1.58. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. Computer - Integrated Systems stocks are, on average, holding a PEG ratio of 1.58 based on yesterday's closing prices.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 91, which puts it in the top 37% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.