IBM shares closed Friday's session with a solid 3.1% gain, reaching $298.93, as the technology giant benefited from a broad market rally. The Dow Jones Industrial Average, of which IBM is a component, rose 2.47% on the day.
The stock's trading volume of approximately 3.7 million shares fell below its 50-day average. IBM remains roughly 8% below its 52-week peak.
Dividend and Economic Calendar in Focus
Investors are looking ahead to Monday, February 10, when IBM shares will trade ex-dividend. Shareholders of record by that date will be eligible for the upcoming quarterly cash distribution of $1.68 per share, scheduled for payment on March 10.
Market attention is also turning to a busy week of U.S. economic indicators. The Bureau of Labor Statistics is set to release the January Consumer Price Index report on Friday, February 13, at 8:30 a.m. ET. This inflation data, along with delayed employment figures, could significantly influence interest rate expectations and market sentiment toward rate-sensitive technology stocks.
Corporate Performance and Outlook
IBM recently reaffirmed its financial targets, aiming for constant-currency revenue growth exceeding 5% in 2026. The company also projects its free cash flow will increase by approximately $1 billion over 2025 levels. CFO James Kavanaugh highlighted the company's "durability, resilience and differentiation" in 2025.
However, potential headwinds exist. The company noted that a previous federal government shutdown reduced growth at its Red Hat unit by several percentage points, with the federal government accounting for about 15% of IBM's hybrid cloud bookings. IBM also stated it will cease reporting its specific "AI book of business" metric, which recently reached $12.5 billion.
With IBM's next earnings report scheduled for April 22, near-term stock movement will likely be driven by macroeconomic developments and results from sector peers like Cisco Systems, which provides insight into enterprise IT and AI infrastructure spending.
