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The latest trading session saw IBM (IBM - Free Report) ending at $198.90, denoting a +0.22% adjustment from its last day's close. On the other hand, the Dow registered a gain of 0.59%, and the technology-centric Nasdaq decreased by 0.23%.
Shares of the technology and consulting company witnessed a gain of 3.29% over the previous month, beating the performance of the Computer and Technology sector with its gain of 1.79% and the S&P 500's gain of 2.55%.
The upcoming earnings release of IBM will be of great interest to investors. The company's upcoming EPS is projected at $2.25, signifying a 2.27% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $15.12 billion, indicating a 2.5% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $10.09 per share and a revenue of $63.25 billion, indicating changes of +4.89% and +2.25%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for IBM. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.24% upward. Currently, IBM is carrying a Zacks Rank of #3 (Hold).
With respect to valuation, IBM is currently being traded at a Forward P/E ratio of 19.67. This valuation marks a premium compared to its industry's average Forward P/E of 15.39.
It's also important to note that IBM currently trades at a PEG ratio of 4.42. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Computer - Integrated Systems industry held an average PEG ratio of 3.71.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 191, putting it in the bottom 25% of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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IBM (IBM) Stock Moves 0.22%: What You Should Know
The latest trading session saw IBM (IBM - Free Report) ending at $198.90, denoting a +0.22% adjustment from its last day's close. On the other hand, the Dow registered a gain of 0.59%, and the technology-centric Nasdaq decreased by 0.23%.
Shares of the technology and consulting company witnessed a gain of 3.29% over the previous month, beating the performance of the Computer and Technology sector with its gain of 1.79% and the S&P 500's gain of 2.55%.
The upcoming earnings release of IBM will be of great interest to investors. The company's upcoming EPS is projected at $2.25, signifying a 2.27% increase compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $15.12 billion, indicating a 2.5% growth compared to the corresponding quarter of the prior year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $10.09 per share and a revenue of $63.25 billion, indicating changes of +4.89% and +2.25%, respectively, from the former year.
Investors should also note any recent changes to analyst estimates for IBM. These latest adjustments often mirror the shifting dynamics of short-term business patterns. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has shifted 0.24% upward. Currently, IBM is carrying a Zacks Rank of #3 (Hold).
With respect to valuation, IBM is currently being traded at a Forward P/E ratio of 19.67. This valuation marks a premium compared to its industry's average Forward P/E of 15.39.
It's also important to note that IBM currently trades at a PEG ratio of 4.42. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Computer - Integrated Systems industry held an average PEG ratio of 3.71.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This group has a Zacks Industry Rank of 191, putting it in the bottom 25% of all 250+ industries.
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.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.