Skip to main content

Market Overview

UPDATE: Barclays Downgrades International Business Machines Awaiting Meaningful Revenue Growth

Share:

In a report published Monday, Barclays Capital analyst Ben A. Reitzes downgraded the rating on International Business Machines Corp. (NYSE: IBM) from Overweight to Equal-Weight, and lowered the price target from $215.00 to $190.00.

In the report, Barclays Capital noted, “It is increasingly clear to us that investors will evaluate IBM on cash flow more than earnings until revenue starts to grow meaningfully. As a result, we are moving our rating for IBM to Equal Weight from Overweight even though shares have been down over the past several months. The mainframe ‘catalyst' has passed and positive benefits from analytics seem to be offset by secular shits to SaaS and Cloud, which seem to adversely impact all of IBM's segments in some way. We have recently performed several surveys that show the disruptive impact of cloud and SaaS are only in the early innings and are set to be more disruptive in 2014 for our whole sector.”

International Business Machines Corp. closed on Friday at $184.10.

Latest Ratings for IBM

DateFirmActionFromTo
Apr 2021Credit SuisseMaintainsOutperform
Apr 2021BMO CapitalMaintainsMarket Perform
Apr 2021Morgan StanleyMaintainsEqual-Weight

View More Analyst Ratings for IBM
View the Latest Analyst Ratings

 

Related Articles (IBM)

View Comments and Join the Discussion!

Posted-In: Barclays Capital Ben A. ReitzesAnalyst Color Downgrades Analyst Ratings

Latest Ratings

StockFirmActionPT
NETIJefferiesMaintains22.0
ATUSB of A SecuritiesDowngrades38.0
CNIVertical ResearchUpgrades
LINVertical ResearchUpgrades330.0
SITEBerenbergUpgrades207.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com