International Business Machines Corp (NYSE: IBM) is reporting its second-quarter earnings on Wednesday. Wall Street expects $2.19 in EPS and $15.6 billion in revenues as the company reports after market hours.
The stock is up 32.11% over the past year, 12.72% YTD.
Let's look at what the charts indicate for IBM stock, and how the stock currently maps against Wall Street estimates.
IBM's Bullish Trend Ahead Of Q2 Earnings
IBM is currently exhibiting a moderately bullish trend, bolstered by slight buying pressure.
The share price of $184.34 sits above the 8-day simple moving average (SMA) of $184.49, signaling a bullish momentum. Further reinforcing this outlook, IBM's stock price is above the 20-day SMA of $178.93, the 50-day SMA of $173.20, and the 200-day SMA of $170.29, all of which are bullish indicators.
The Moving Average Convergence Divergence (MACD) indicator, at 3.50, supports a bullish stance. However, the Relative Strength Index (RSI) of 65.12 suggests that IBM is nearing overbought territory, indicating caution.
The Bollinger Bands, with a range of $167.03 to $188.18, also point towards a bullish setup, suggesting favorable buying conditions for the stock.
IBM Analysts See 8% Upside
Ratings & Consensus Estimates: The consensus analyst rating on IBM stock stands at an Outperform currently with a price target of $172.27. The latest analyst ratings from Goldman Sachs and RBC Capital indicate a $200 price target, suggesting an 8.67% upside for IBM.
IBM Price Action: IBM stock was trading at $185.03 at the time of publication Tuesday.