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IBM (IBM) Outpaces Stock Market Gains: What You Should Know
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IBM (IBM - Free Report) closed the most recent trading day at $235.26, moving +0.86% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.77% for the day. Meanwhile, the Dow experienced a rise of 0.47%, and the technology-dominated Nasdaq saw an increase of 0.87%.
Shares of the technology and consulting company witnessed a gain of 8.6% over the previous month, beating the performance of the Computer and Technology sector with its gain of 6.36% and the S&P 500's gain of 4.87%.
Investors will be eagerly watching for the performance of IBM in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on October 23, 2024. The company's earnings per share (EPS) are projected to be $2.25, reflecting a 2.27% increase from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $15.12 billion, indicating a 2.5% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $10.10 per share and a revenue of $63.25 billion, indicating changes of +4.99% and +2.25%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for IBM. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. IBM is holding a Zacks Rank of #2 (Buy) right now.
In the context of valuation, IBM is at present trading with a Forward P/E ratio of 23.09. Its industry sports an average Forward P/E of 17.36, so one might conclude that IBM is trading at a premium comparatively.
It is also worth noting that IBM currently has a PEG ratio of 4.88. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Computer - Integrated Systems industry was having an average PEG ratio of 3.37.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 66, finds itself in the top 27% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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IBM (IBM) Outpaces Stock Market Gains: What You Should Know
IBM (IBM - Free Report) closed the most recent trading day at $235.26, moving +0.86% from the previous trading session. The stock exceeded the S&P 500, which registered a gain of 0.77% for the day. Meanwhile, the Dow experienced a rise of 0.47%, and the technology-dominated Nasdaq saw an increase of 0.87%.
Shares of the technology and consulting company witnessed a gain of 8.6% over the previous month, beating the performance of the Computer and Technology sector with its gain of 6.36% and the S&P 500's gain of 4.87%.
Investors will be eagerly watching for the performance of IBM in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on October 23, 2024. The company's earnings per share (EPS) are projected to be $2.25, reflecting a 2.27% increase from the same quarter last year. Meanwhile, the latest consensus estimate predicts the revenue to be $15.12 billion, indicating a 2.5% increase compared to the same quarter of the previous year.
In terms of the entire fiscal year, the Zacks Consensus Estimates predict earnings of $10.10 per share and a revenue of $63.25 billion, indicating changes of +4.99% and +2.25%, respectively, from the former year.
Investors should also pay attention to any latest changes in analyst estimates for IBM. These revisions typically reflect the latest short-term business trends, which can change frequently. With this in mind, we can consider positive estimate revisions a sign of optimism about the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has remained unchanged. IBM is holding a Zacks Rank of #2 (Buy) right now.
In the context of valuation, IBM is at present trading with a Forward P/E ratio of 23.09. Its industry sports an average Forward P/E of 17.36, so one might conclude that IBM is trading at a premium comparatively.
It is also worth noting that IBM currently has a PEG ratio of 4.88. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. As the market closed yesterday, the Computer - Integrated Systems industry was having an average PEG ratio of 3.37.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 66, finds itself in the top 27% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.