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IBM (IBM - Free Report) closed the most recent trading day at $268.71, moving -1.3% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 1.65% for the day. On the other hand, the Dow registered a gain of 0.92%, and the technology-centric Nasdaq increased by 3.07%.
Heading into today, shares of the technology and consulting company had gained 24.14% over the past month, outpacing the Computer and Technology sector's gain of 0.33% and the S&P 500's gain of 0.48%.
Analysts and investors alike will be keeping a close eye on the performance of IBM in its upcoming earnings disclosure. The company's earnings report is set to go public on July 22, 2026. The company is predicted to post an EPS of $2.95, indicating a 5.36% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $17.86 billion, indicating a 5.2% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $12.38 per share and a revenue of $71.53 billion, demonstrating changes of +6.82% and +5.92%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for IBM. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.11% lower. 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 21.99 right now. This represents a discount compared to its industry average Forward P/E of 27.75.
We can also see that IBM currently has a PEG ratio of 2.82. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Computer - Integrated Systems industry had an average PEG ratio of 0.96.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 17, which puts it in the top 7% of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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IBM (IBM) Stock Sinks As Market Gains: Here's Why
IBM (IBM - Free Report) closed the most recent trading day at $268.71, moving -1.3% from the previous trading session. The stock fell short of the S&P 500, which registered a gain of 1.65% for the day. On the other hand, the Dow registered a gain of 0.92%, and the technology-centric Nasdaq increased by 3.07%.
Heading into today, shares of the technology and consulting company had gained 24.14% over the past month, outpacing the Computer and Technology sector's gain of 0.33% and the S&P 500's gain of 0.48%.
Analysts and investors alike will be keeping a close eye on the performance of IBM in its upcoming earnings disclosure. The company's earnings report is set to go public on July 22, 2026. The company is predicted to post an EPS of $2.95, indicating a 5.36% growth compared to the equivalent quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $17.86 billion, indicating a 5.2% upward movement from the same quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $12.38 per share and a revenue of $71.53 billion, demonstrating changes of +6.82% and +5.92%, respectively, from the preceding year.
Investors should also note any recent changes to analyst estimates for IBM. Such recent modifications usually signify the changing landscape of near-term business trends. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. 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. Over the last 30 days, the Zacks Consensus EPS estimate has moved 0.11% lower. 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 21.99 right now. This represents a discount compared to its industry average Forward P/E of 27.75.
We can also see that IBM currently has a PEG ratio of 2.82. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Computer - Integrated Systems industry had an average PEG ratio of 0.96.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry currently has a Zacks Industry Rank of 17, which puts it in the top 7% of all 250+ industries.
The Zacks Industry Rank is ordered 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.