Armonk, New York-based International Business Machines Corporation (IBM) is a global technology and consulting company that provides enterprise software, cloud computing, artificial intelligence, and IT services. Valued at a market cap of $226.4 billion, the company is scheduled to announce its fiscal 2026 Q1 earnings after the market closes on Wednesday, Apr. 22.
Ahead of this event, analysts expect this tech company to report a profit of $1.78 per share, up 11.3% from $1.60 per share in the year-ago quarter. The company has surpassed Wall Street’s bottom-line estimates in each of the last four quarters.
For the current fiscal year, ending in December, analysts expect IBM to report a profit of $12.37 per share, up 6.7% from $11.59 per share in fiscal 2025. Furthermore, its EPS is expected to grow 7.5% year-over-year to $13.30 in fiscal 2027.
IBM has dipped 3.5% over the past 52 weeks, underperforming both the S&P 500 Index's ($SPX) 13.4% return and the State Street Technology Select Sector SPDR ETF’s (XLK) 24.1% uptick over the same time period.
On Mar. 17, IBM shares popped 2.8% after the company completed its acquisition of Confluent to strengthen its AI and data capabilities. The combined offering creates a unified, real-time data platform that enables enterprises to deliver clean, governed, and continuously updated data across hybrid and on-premise environments. This integration aims to eliminate data silos and support the growing demand for AI-driven applications by providing scalable, real-time data access essential for deploying AI models and automated workflows effectively.
Wall Street analysts are moderately optimistic about IBM’s stock, with a "Moderate Buy" rating overall. Among 22 analysts covering the stock, nine recommend "Strong Buy," two indicate a “Moderate Buy,” 10 suggest "Hold,” and one advises “Strong Sell.” Its mean price target of $313.90 suggests a 29.9% premium to its current price levels.
On the date of publication, Kritika Sarmah did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
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