International Business Machines Corporation

New York Stock Exchange
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Bullish +55

What is Erste Group Bank's Estimate for IBM FY2026 Earnings?

📉 Erste Group Bank analyst H. Engel lowered FY2026 EPS estimates for IBM to $12.39 from a previous forecast of $12.42.

📈 IBM reported Q1 earnings of $1.91 per share, beating the consensus estimate of $1.81 by $0.10.

💰 The company achieved revenue of $15.92 billion for the quarter, a 9.5% increase compared to the prior year period.

📊 IBM reported a return on equity of 37.23% and a net margin of 15.61% during the latest quarter.

💵 The firm recently paid a quarterly dividend of $1.69, representing an annualized yield of 3.2%.

🏦 Intergy Private Wealth LLC increased its IBM stake by 1.4% in the second quarter to own 3,514 shares.

📈 Cary Street Partners Financial LLC boosted its position by 4.9%, now holding 29,451 shares valued at $8.28 million.

🔍 SeaBridge Investment Advisors LLC grew its holdings by 13.7% to own 5,642 shares of the technology company.

📉 Rosenberg Matthew Hamilton increased its position by 5.6%, adding 105 shares to its existing holding.

🏛️ Central Bank & Trust Co. raised its stake by 2.5% in the second quarter, now owning 2,724 shares.

📉 IBM's stock has a fifty-two week range between $204.44 and $332.46 with a current price of $212.54.

🏢 The company operates in cloud computing, software, infrastructure, consulting, and research and development sectors.

Bullish Signals
  • IBM beat quarterly earnings expectations by $0.10 per share, reporting $1.91 EPS against a consensus of $1.81.
  • The company exceeded revenue forecasts with $15.92 billion in quarterly sales versus an estimated $15.60 billion.
  • Revenue grew 9.5% year-over-year, indicating continued top-line expansion in the technology sector.
  • Strong profitability metrics were reported with a return on equity of 37.23% and a net margin of 15.61%.
  • Multiple hedge funds increased their positions in Q2, including Intergy Private Wealth LLC (+1.4%), Cary Street Partners Financial LLC (+4.9%), and SeaBridge Investment Advisors LLC (+13.7%).
  • The company maintains a healthy dividend yield of 3.2% with a recent quarterly payout of $1.69.
  • Institutional ownership stands at 58.96%, reflecting continued confidence from major investors.
Risk Factors
  • Erste Group Bank analyst H. Engel decreased their FY2026 EPS estimate to $12.39, down from a prior forecast of $12.42.
  • The stock is trading below its fifty-day moving average of $263.84 and 200-day moving average of $263.28.
Full Analysis
Erste Group Bank analyst H. Engel has decreased their full-year 2026 earnings per share (EPS) estimate for International Business Machines (IBM) to $12.39, down from a prior forecast of $12.42. This revised estimate sits slightly above the current market consensus of $12.28 per share, indicating that while one major bank is lowering its specific target, the broader analyst community maintains a similar outlook for the technology giant's fiscal year performance. IBM recently reported strong quarterly results ending April 22nd, posting $1.91 in EPS which beat the consensus estimate of $1.81 by $0.10. The company generated revenue of $15.92 billion, surpassing analyst expectations of $15.60 billion and representing a 9.5% year-over-year increase. Key financial metrics included a return on equity of 37.23% and a net margin of 15.61%, demonstrating robust profitability despite the recent analyst estimate adjustment. The stock currently trades with a market capitalization of $199.76 billion and a price-to-earnings ratio of 18.79, having recently opened at $212.54. IBM maintains a consistent dividend policy with a quarterly payout of $1.69, yielding 3.2% on an annualized basis, supported by a debt-to-equity ratio of 1.75. Institutional ownership remains significant at 58.96%, with several hedge funds increasing their stakes in the second quarter, including Intergy Private Wealth LLC and Cary Street Partners Financial LLC.