IBM Experiences a Larger Decline Compared to the Overall Market: Key Insights to Consider
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Dec 16 2025
0mins
Should l Buy IBM?
Source: NASDAQ.COM
IBM Stock Performance: IBM closed at $303.18, down 1.78%, underperforming the S&P 500 and Dow, but has gained 3.87% over the past month, surpassing sector and index gains.
Upcoming Earnings Report: Analysts expect IBM to report an EPS of $4.33 and revenue of $19.21 billion, reflecting significant year-over-year growth, with annual estimates showing similar positive trends.
Analyst Estimates and Zacks Rank: Recent upward revisions in analyst estimates indicate optimism about IBM's business, with the company currently holding a Zacks Rank of #3 (Hold), suggesting stable performance.
Valuation Metrics: IBM's Forward P/E ratio is 27.11, higher than the industry average, and its PEG ratio of 3.07 indicates a premium valuation compared to the Computer - Integrated Systems industry.
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Analyst Views on IBM
Wall Street analysts forecast IBM stock price to rise
16 Analyst Rating
11 Buy
4 Hold
1 Sell
Moderate Buy
Current: 259.520
Low
210.00
Averages
315.80
High
375.00
Current: 259.520
Low
210.00
Averages
315.80
High
375.00
About IBM
International Business Machines Corporation is a provider of global hybrid cloud and artificial intelligence (AI) and consulting expertise. The Company’s segments include Software, Consulting, Infrastructure and Financing. The Software segment includes hybrid cloud and AI platforms, which allow clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. The Consulting segment focuses on integrating skills on strategy, experience, technology and operations by domain and industry. The Infrastructure segment is focused on the hybrid cloud infrastructure market, providing on-premises and cloud-based server and storage solutions. In addition, it offers a portfolio of life-cycle services for hybrid cloud infrastructure deployment. The Financing segment provides client and commercial financing, facilitating its clients’ acquisition of hardware, software and services. It helps clients in more than 175 countries.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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See More
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- Surge in Trading Volume: The trading volume reached 73.4 million shares, which is 61% above the three-month average of 45.6 million shares, indicating a significant increase in market interest in Palantir's stock despite the price decline.
- Strong Performance: Despite facing pressure, Palantir's fourth-quarter revenue increased by 70% year-over-year, with U.S. commercial revenue soaring by 137%, demonstrating robust demand for its AI platforms among enterprise and government clients, while management's guidance exceeded Wall Street expectations.
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- Super Bowl Showcase: Datavault showcased its 'ADIO' data-over-sound and holographic technologies during Super Bowl LX in partnership with NFL Alumni, demonstrating immersive data transmission on one of the world's largest stages, enhancing brand visibility.
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