Due to the plan of International Business Machines Corp. (IBM) to cut cost and repurchase more shares, analysts at BMO Capital have decided to boost its earnings estimates and price target

The firm backed its “Market Perform” rating on IBM, but now see shares reaching $220. This target suggests a +13.3% upside to Friday’s opening price of $194.09. BMO is also increasing IBM estimates through the year.

IBM shares were up slightly during morning trading on Friday. The stock is up +8.29% over the past year.

The Bottom Line
Shares of IBM Corp (IBM) have a 1.76% dividend yield, based on last night’s closing stock price of $193.65. The stock has technical support in the $185-$190 price area. If the shares can firm up, we see overhead resistance around the $200-$201 price levels.

International Business Machines Corp. (IBM) is not recommended at this time, holding a Dividend.com DARS™ Rating of 3.4 out of 5 stars.

Be sure to visit our complete recommended list of the Best Dividend Stocks, as well as a detailed explanation of our ratings system here.