IBM hikes its dividend

Article Excerpt

IBM $142.45 (New York symbol IBM; Shares outstanding: 918.0 million; Market cap: $130.8 billion; TSINetwork Rating: Above Average; Dividend yield: 4.4%; www.ibm.com) is one of the world’s largest computer companies, with its network of global operations in over 175 countries. Starting with the June 2018 payment, IBM will raise its quarterly dividend by 4.7%, to $1.57 a share from $1.50. The new annual rate of $6.28 yields a high 4.4%. The company has paid dividends continuously since 1916 and has raised the annual rate each year for the past 23 years. IBM still expects to earn at least $13.80 per share in 2018. That is below the consensus estimate for $13.84. However, the stock trades at an attractive 10.3 times that new earnings forecast. IBM is a buy. buy…