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IBM (IBM) Gains As Market Dips: What You Should Know
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IBM (IBM - Free Report) closed at $148.13 in the latest trading session, marking a +0.13% move from the prior day. This change outpaced the S&P 500's 0.42% loss on the day. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 0.08%.
Heading into today, shares of the technology and consulting company had gained 1.2% over the past month, lagging the Computer and Technology sector's gain of 2.78% and outpacing the S&P 500's gain of 1.02% in that time.
IBM will be looking to display strength as it nears its next earnings release. In that report, analysts expect IBM to post earnings of $2.13 per share. This would mark year-over-year growth of 17.68%. Our most recent consensus estimate is calling for quarterly revenue of $14.82 billion, up 5.02% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.43 per share and revenue of $61.49 billion, which would represent changes of +3.29% and +1.58%, respectively, from the prior year.
Any recent changes to analyst estimates for IBM should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. IBM is currently a Zacks Rank #3 (Hold).
Investors should also note IBM's current valuation metrics, including its Forward P/E ratio of 15.68. This represents a discount compared to its industry's average Forward P/E of 17.23.
We can also see that IBM currently has a PEG ratio of 3.76. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Computer - Integrated Systems stocks are, on average, holding a PEG ratio of 2.13 based on yesterday's closing prices.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow IBM in the coming trading sessions, be sure to utilize Zacks.com.
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IBM (IBM) Gains As Market Dips: What You Should Know
IBM (IBM - Free Report) closed at $148.13 in the latest trading session, marking a +0.13% move from the prior day. This change outpaced the S&P 500's 0.42% loss on the day. Elsewhere, the Dow lost 0.56%, while the tech-heavy Nasdaq lost 0.08%.
Heading into today, shares of the technology and consulting company had gained 1.2% over the past month, lagging the Computer and Technology sector's gain of 2.78% and outpacing the S&P 500's gain of 1.02% in that time.
IBM will be looking to display strength as it nears its next earnings release. In that report, analysts expect IBM to post earnings of $2.13 per share. This would mark year-over-year growth of 17.68%. Our most recent consensus estimate is calling for quarterly revenue of $14.82 billion, up 5.02% from the year-ago period.
For the full year, our Zacks Consensus Estimates are projecting earnings of $9.43 per share and revenue of $61.49 billion, which would represent changes of +3.29% and +1.58%, respectively, from the prior year.
Any recent changes to analyst estimates for IBM should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, 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. The Zacks Consensus EPS estimate remained stagnant within the past month. IBM is currently a Zacks Rank #3 (Hold).
Investors should also note IBM's current valuation metrics, including its Forward P/E ratio of 15.68. This represents a discount compared to its industry's average Forward P/E of 17.23.
We can also see that IBM currently has a PEG ratio of 3.76. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. Computer - Integrated Systems stocks are, on average, holding a PEG ratio of 2.13 based on yesterday's closing prices.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 170, putting it in the bottom 33% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow IBM in the coming trading sessions, be sure to utilize Zacks.com.