Maridea Wealth Management Increases Stake in IBM by 130%
Maridea Wealth Management LLC has significantly increased its investment in International Business Machines Corporation (NYSE:IBM), boosting its holdings by 130% in the first quarter of 2023. According to the latest filing with the Securities and Exchange Commission (SEC), the firm now owns 2,307 shares of IBM, having acquired an additional 1,304 shares during this period. The value of Maridea’s holdings is approximately $574,000 based on the most recent SEC data.
Several other institutional investors have also altered their positions in IBM. For instance, Christopher J. Hasenberg Inc initiated a new stake valued at about $27,000 in the first quarter. Similarly, Measured Risk Portfolios Inc, Park Square Financial Group LLC, and Mascagni Wealth Management Inc each purchased new positions worth $43,000 during the fourth quarter. Harel Insurance Investments & Financial Services Ltd also acquired a stake in the first quarter, valued at approximately $45,000. Collectively, institutional investors now hold 58.96% of IBM’s shares.
Analyst Ratings and Market Performance
Recent evaluations from research analysts indicate a positive outlook for IBM shares. Wall Street Zen upgraded the company’s rating from “hold” to “buy,” while Citigroup reaffirmed an “outperform” rating. Additionally, Wedbush raised its target price for IBM from $300.00 to $325.00, and Royal Bank of Canada increased its target from $285.00 to $315.00. Stifel Nicolaus also adjusted its price objective upward from $290.00 to $310.00, maintaining a “buy” rating.
Currently, one analyst has assigned a sell rating, eight hold ratings, nine buy ratings, and two strong buy ratings to IBM. According to data from MarketBeat, the company holds an average rating of “Moderate Buy” and an average target price of $268.75.
On the trading floor, IBM shares opened at $259.70 on Monday, experiencing a slight decrease of 0.3%. The company boasts a market capitalization of $241.36 billion and a price-to-earnings ratio of 42.16. Its debt-to-equity ratio stands at 2.00, with a current ratio of 0.91 and a quick ratio of 0.87. Over the past year, IBM’s stock has fluctuated between a low of $181.81 and a high of $296.16.
Recent Earnings and Dividend Increase
IBM reported its quarterly earnings on July 23, 2023, announcing an earnings per share (EPS) of $2.80, surpassing analysts’ expectations of $2.65 by $0.15. The company’s net margin was 9.11%, and it achieved a return on equity of 37.62%. For the quarter, IBM generated $16.98 billion in revenue, exceeding forecasts of $16.58 billion. This figure marks a year-over-year revenue increase of 7.7% from the same quarter in the previous year.
In a move to reward shareholders, IBM recently announced an increase in its quarterly dividend, which was paid on June 10, 2023. Shareholders on record as of May 9, 2023 received a dividend of $1.68 per share, reflecting an annualized dividend of $6.72 and a yield of 2.59%. This adjustment represents an increase from the prior quarterly dividend of $1.67. IBM’s current dividend payout ratio stands at 109.09%.
International Business Machines Corporation, along with its subsidiaries, provides integrated solutions and services globally, operating across various segments including Software, Consulting, Infrastructure, and Financing. The Software segment specializes in hybrid cloud and artificial intelligence platforms, enabling clients to undergo digital transformations across their operational environments.
