雅虎香港財經 IBM (IBM) Rises But Trails Market: What Investors Should Know
IBM (IBM) closed the latest trading day at $169.50, indicating a +0.17% change from the previous session's end. The stock's performance was behind the S&P 500's daily gain of 0.77%. On the other hand, the Dow registered a gain of 0.49%, and the technology-centric Nasdaq increased by 0.95%.
The technology and consulting company's stock has climbed by 0.11% in the past month, exceeding the Computer and Technology sector's loss of 3.05% and lagging the S&P 500's gain of 3.71%.
The upcoming earnings release of IBM will be of great interest to investors. The company's earnings report is expected on July 24, 2024. It is anticipated that the company will report an EPS of $2.17, marking a 0.46% fall compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $15.58 billion, indicating a 0.67% growth compared to the corresponding quarter of the prior year.
IBM's full-year Zacks Consensus Estimates are calling for earnings of $9.90 per share and revenue of $63.04 billion. These results would represent year-over-year changes of +2.91% and +1.91%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for IBM. Recent revisions tend to reflect the latest near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the past month, the Zacks Consensus EPS estimate has remained steady. IBM is currently sporting a Zacks Rank of #3 (Hold).
With respect to valuation, IBM is currently being traded at a Forward P/E ratio of 17.09. This indicates a premium in contrast to its industry's Forward P/E of 14.69.
One should further note that IBM currently holds a PEG ratio of 4.17. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. As the market closed yesterday, the Computer - Integrated Systems industry was having an average PEG ratio of 2.6.
The Computer - Integrated Systems industry is part of the Computer and Technology sector. At present, this industry carries a Zacks Industry Rank of 157, placing it within the bottom 38% of over 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.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
International Business Machines Corporation (IBM) : Free Stock Analysis Report
