IBM(US:IBM) ZACKS·2025-07-11 22:46Company Performance - IBM's stock closed at $283.59, down 1.34% from the previous session, underperforming the S&P 500's loss of 0.33% [1] - Over the past month, IBM shares gained 2.28%, lagging behind the Computer and Technology sector's gain of 5.24% and the S&P 500's gain of 4.07% [1] Earnings Projections - IBM is set to release its earnings report on July 23, 2025, with projected earnings per share (EPS) of $2.64, indicating an 8.64% increase year-over-year [2] - Revenue is expected to reach $16.59 billion, reflecting a 5.2% increase compared to the same quarter last year [2] Full-Year Estimates - The Zacks Consensus Estimates for IBM's full-year earnings are $10.95 per share and revenue of $66.21 billion, representing year-over-year changes of +6% and +5.5%, respectively [3] - Recent adjustments to analyst estimates for IBM may indicate changing near-term business trends, with positive revisions seen as a favorable sign for the business outlook [3][4] Zacks Rank and Valuation - IBM currently holds a Zacks Rank of 2 (Buy), with a historical track record of outperforming, as stocks rated 1 have produced an average annual return of +25% since 1988 [5] - The company is trading at a Forward P/E ratio of 26.25, which is a premium compared to the industry average of 19.54 [6] PEG Ratio - IBM has a PEG ratio of 6.04, higher than the Computer - Integrated Systems industry's average PEG ratio of 4.3 [7] Industry Context - The Computer - Integrated Systems industry, part of the Computer and Technology sector, holds a Zacks Industry Rank of 32, placing it in the top 13% of over 250 industries [8]