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IBM (IBM - Free Report) closed the most recent trading day at $163.46, moving +0.15% from the previous trading session. This change outpaced the S&P 500's 0.14% gain on the day. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq gained 0.16%.
Prior to today's trading, shares of the technology and consulting company had gained 4.86% over the past month. This has lagged the Computer and Technology sector's gain of 4.87% and the S&P 500's gain of 4.89% in that time.
Analysts and investors alike will be keeping a close eye on the performance of IBM in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $3.73, marking a 3.61% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $17.06 billion, up 2.21% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.45 per share and a revenue of $61.54 billion, signifying shifts of +3.5% and +1.67%, respectively, from the last 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. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. IBM presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, IBM is holding a Forward P/E ratio of 17.27. This signifies a discount in comparison to the average Forward P/E of 18.12 for its industry.
It's also important to note that IBM currently trades at a PEG ratio of 4.44. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Computer - Integrated Systems industry was having an average PEG ratio of 2.75.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 162, this industry ranks in the bottom 36% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.
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Why IBM (IBM) Outpaced the Stock Market Today
IBM (IBM - Free Report) closed the most recent trading day at $163.46, moving +0.15% from the previous trading session. This change outpaced the S&P 500's 0.14% gain on the day. At the same time, the Dow added 0.3%, and the tech-heavy Nasdaq gained 0.16%.
Prior to today's trading, shares of the technology and consulting company had gained 4.86% over the past month. This has lagged the Computer and Technology sector's gain of 4.87% and the S&P 500's gain of 4.89% in that time.
Analysts and investors alike will be keeping a close eye on the performance of IBM in its upcoming earnings disclosure. It is anticipated that the company will report an EPS of $3.73, marking a 3.61% rise compared to the same quarter of the previous year. Our most recent consensus estimate is calling for quarterly revenue of $17.06 billion, up 2.21% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.45 per share and a revenue of $61.54 billion, signifying shifts of +3.5% and +1.67%, respectively, from the last 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. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. 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, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Within the past 30 days, our consensus EPS projection remained stagnant. IBM presently features a Zacks Rank of #3 (Hold).
Looking at its valuation, IBM is holding a Forward P/E ratio of 17.27. This signifies a discount in comparison to the average Forward P/E of 18.12 for its industry.
It's also important to note that IBM currently trades at a PEG ratio of 4.44. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. As the market closed yesterday, the Computer - Integrated Systems industry was having an average PEG ratio of 2.75.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. With its current Zacks Industry Rank of 162, this industry ranks in the bottom 36% of all industries, numbering over 250.
The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.