Three institutional funds reported changes to their IBM holdings in the third quarter SEC filings. Cullen Frost Bankers Inc. increased its position by 3.8%, purchasing 3,227 additional shares to hold 88,856 shares valued at $25.07 million. Global Assets Advisory LLC boosted its stake by 33.5%, adding 3,024 shares to reach 12,044 shares worth $3.40 million, making IBM its 17th largest holding. Conversely, First Citizens Bank & Trust Co. sold 2,693 shares, trimming its position by 9.4% to 26,064 shares, a stake valued at $7.35 million at quarter end. These moves illustrate ongoing portfolio rebalancing among diversified asset managers.

IBM reported third-quarter earnings per share of $2.65, exceeding the consensus estimate of $2.45 by $0.20. Revenue reached $16.33 billion, topping the forecasted $16.10 billion and representing a 9.1% year-over-year increase. The company achieved a net margin of 12.09% and generated a return on equity of 37.76%. This performance continues a trend of modest top-line growth and improving profitability following investments in cloud computing, software and consulting services.

Following the quarterly release, several research firms updated their assessments. Royal Bank of Canada upgraded its rating to Outperform and increased its target from $300 to $350. Jefferies Financial Group raised its rating to Buy and lifted its price objective to $360. BMO Capital Markets maintained a Market Perform rating but nudged its target from $300 to $305. These adjustments reflect growing confidence in IBM’s cloud and AI strategy, with the consensus target now clustering around the mid-$300s.