Is International Business Machines Corp.’s Fuel For Real? The Stock Was Bought By Option Traders

 Is International Business Machines Corp.'s Fuel For Real? The Stock Was Bought By Option Traders

In today’s session International Business Machines Corp. (IBM) registered an unusually high (1,393) contracts volume of call trades. Someone, most probably a professional was a very active buyer of the April, 2017 call, expecting serious IBM increase. With 1,393 contracts traded and 13374 open interest for the Apr, 17 contract, it seems this is a quite bullish bet. The option with symbol: IBM170421C00160000 closed last at: $9.15 or 1.6% down. The stock decreased 0.42% or $0.69 on November 23, hitting $161.98. About 2.26M shares traded hands. International Business Machines Corp. (NYSE:IBM) has risen 9.08% since April 22, 2016 and is uptrending. It has outperformed by 3.67% the S&P500.

Analysts await International Business Machines Corp. (NYSE:IBM) to report earnings on January, 17. They expect $4.92 EPS, up 1.65% or $0.08 from last year’s $4.84 per share. IBM’s profit will be $4.68 billion for 8.23 P/E if the $4.92 EPS becomes a reality. After $3.29 actual EPS reported by International Business Machines Corp. for the previous quarter, Wall Street now forecasts 49.54% EPS growth.

International Business Machines Corp. (NYSE:IBM) Ratings Coverage

Out of 22 analysts covering International Business Machines (NYSE:IBM), 7 rate it a “Buy”, 3 “Sell”, while 12 “Hold”. This means 32% are positive. $186 is the highest target while $110 is the lowest. The $152.20 average target is -6.04% below today’s ($161.98) stock price. International Business Machines has been the topic of 61 analyst reports since July 21, 2015 according to StockzIntelligence Inc. The stock has “Neutral” rating given by Citigroup on Wednesday, October 21. Barclays Capital maintained International Business Machines Corp. (NYSE:IBM) on Tuesday, July 19 with “Underweight” rating. The stock of International Business Machines Corp. (NYSE:IBM) earned “Neutral” rating by Citigroup on Tuesday, July 19. The rating was maintained by BMO Capital Markets on Tuesday, July 19 with “Market Perform”. The company was maintained on Tuesday, April 19 by Drexel Hamilton. Goldman Sachs maintained the stock with “Neutral” rating in Tuesday, September 22 report. Stifel Nicolaus maintained it with “Buy” rating and $155.0 target price in Friday, January 8 report. The firm has “Sector Perform” rating given on Friday, January 15 by RBC Capital Markets. The stock has “Buy” rating given by S&P Research on Wednesday, October 21. The firm has “Buy” rating given on Tuesday, October 20 by Stifel Nicolaus.

According to Zacks Investment Research, “IBM is an information technology (IT) company. The company operates in five segments: Global Technology Services, Global Business Services, Software, Systems and Technology, and Global Financing. The Global Technology Services segment provides IT infrastructure services and business process services. The Global Business Services segment offers professional services and application management services. The Software segment consists primarily of middleware and operating systems software. The Systems and Technology segment provides computing power and storage solutions; and semiconductor technology products and packaging solutions. The Global Financing segment invests in financing assets, leverages with debt and manages the associated risks. IBM is headquartered in Armonk, New York.”

Insitutional Activity: The institutional sentiment increased to 0.91 in 2016 Q2. Its up 0.10, from 0.81 in 2016Q1. The ratio is positive, as 70 funds sold all International Business Machines Corp. shares owned while 663 reduced positions. 85 funds bought stakes while 507 increased positions. They now own 540.67 million shares or 8.01% less from 587.72 million shares in 2016Q1.
Moors & Cabot accumulated 12,575 shares or 0.34% of the stock. Reik & Ltd has invested 0.24% of its portfolio in International Business Machines Corp. (NYSE:IBM). Connor Clark Lunn Invest Management Limited has 269,538 shares for 0.3% of their US portfolio. The Kentucky-based Stock Yards Bank & Trust & Tru Company has invested 0.48% in International Business Machines Corp. (NYSE:IBM). Signaturefd Limited Co, a Georgia-based fund reported 8,805 shares. Legacy Cap Prns Inc holds 1.12% or 11,809 shares in its portfolio. Bellecapital International owns 1,485 shares or 0.25% of their US portfolio. Oakworth holds 0.48% or 8,305 shares in its portfolio. Comerica Bank, a Michigan-based fund reported 338,156 shares. Honeywell Intll owns 100,000 shares or 0.39% of their US portfolio. Ontario Teachers Pension Plan Board last reported 0.11% of its portfolio in the stock. Ipswich Inv Inc holds 0.6% or 7,972 shares in its portfolio. Jpmorgan Chase & Co has 0.14% invested in the company for 3.72 million shares. Firstmerit Bank & Trust N A Trustee reported 36,291 shares or 0.44% of all its holdings. Beese Fulmer Invest Management holds 0.98% or 22,691 shares in its portfolio.

Insider Transactions: Since August 2, 2016, the stock had 1 buy, and 15 selling transactions for $10.37 million net activity. $961,695 worth of International Business Machines Corp. (NYSE:IBM) was sold by Clementi Erich on Tuesday, August 23. On Thursday, November 3 the insider Rhodin Michael D. sold $152,310. $607,865 worth of International Business Machines Corp. (NYSE:IBM) shares were sold by JETTER MARTIN. van Kralingen Bridget A had sold 330 shares worth $50,177 on Thursday, October 20. 2,809 shares with value of $427,761 were sold by KELLY JOHN E III on Thursday, October 27. IWATA JON C had sold 19,866 shares worth $3.15 million. FARR DAVID N bought 1,300 shares worth $194,904.

International Business Machines Corporation is a technology company. The company has a market cap of $153.92 billion. The Firm operates through five divisions: Global Technology Services (GTS), Global Business Services (GBS), Software, Systems Hardware and Global Financing. It has a 13.21 P/E ratio. The Company’s GTS segment offers services, including strategic outsourcing, integrated technology services, cloud and technology support services (maintenance services).

IBM Company Profile

International Business Machines Corporation (IBM), incorporated on June 16, 1911, is a technology company. The Firm operates through five divisions: Global Technology Services (GTS), Global Business Services (GBS), Software, Systems Hardware and Global Financing.

More important recent International Business Machines Corp. (NYSE:IBM) news were published by: Profitconfidential.com which released: “IBM Stock: International Business Machines Corp.’s Big Bet” on November 23, 2016, also Fool.com published article titled: “Better Buy: International Business Machines Corporation vs. Oracle”, Forbes.com published: “International Business Machines Reaches Analyst Target Price” on November 11, 2016. More interesting news about International Business Machines Corp. (NYSE:IBM) was released by: Fool.com and their article: “International Business Machines Corp: 3 Things You Need to Know” with publication date: October 27, 2016.

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