IBM reported better-than-expected third-quarter results
IBM (NYSE:IBM) is at the top of the Dow Jones Industrial Average (DJI) today, after the blue-chip tech giant reported strong third-quarter earnings and revenue after the close yesterday. Up 5.3% to trade at $144.35 at last glance, IBM is breaking above several notable moving averages, including its 80-day trendline. Today's jump also has the equity entering positive territory for 2023.
So far, 36,000 calls and 32,000 puts have been exchanged, which is three times the average daily volume. The November 145 call is the most active contract, followed by the weekly 10/27 140-strike put, with new positions currently being opened at the latter.
Analysts are relatively quiet after IBM's results, with only two price-target adjustments. RBC Capital lowered its price objective to $179 from $188, while BMO Capital raised its price target by $3 to $155. Overall, the brokerage bunch is pessimistic toward the stock. Of the 10 analysts in coverage, seven carry a "hold" or worse rating, while the 12-month consensus price target of $145.21 is just a slim premium to current levels.