Donaldson Capital Management LLC boosted its position in International Business Machines by 1,510.3% during the third quarter, acquiring 150,831 additional shares to bring its total to 160,818. That stake now represents approximately 1.4% of the firm’s portfolio and ranks as its 28th largest holding. At quarter end, those shares were valued at $45.4 million. Smaller investors including Winnow Wealth, Mountain Hill, Trifecta Capital and Legacy Wealth also initiated or increased positions, highlighting renewed interest from a broad spectrum of asset managers.

IBM reported fourth-quarter revenue of $19.69 billion, up 12.2% year-over-year, and non-GAAP earnings per share of $4.52, beating consensus by $0.19. Software sales grew 14% and infrastructure revenues jumped 21%, driven by demand for Watsonx and hybrid-cloud deployments. Management raised fiscal 2026 revenue guidance above Street forecasts, citing expanding AI workloads and the recent Confluent acquisition as catalysts for further growth in data-streaming services.

Following the strong quarter, multiple brokerages revised their outlooks: Bank of America raised its price target from $315 to $335 with a buy recommendation, Erste Group upgraded to a buy, and Weiss Ratings reiterated a buy stance. Overall, analysts maintain a consensus “Moderate Buy” rating with an average target near $330. Positive revisions reflect confidence in the company’s AI and software acceleration, while one firm trimmed to a hold, signaling some caution on valuation.

Director David N. Farr acquired 1,000 shares at an average cost of $304, raising his personal holding by over 12% to 9,258 shares. The transaction, valued at $304,000, underscores management’s confidence in the outlook. Meanwhile, the board declared a quarterly dividend of $1.68 per share, representing an annualized yield of roughly 2.2% and signaling commitment to returning capital to investors.