IBM: dividend announcement expected tomorrow.

(CercleFinance.com) - IBM shares are up slightly on Monday before a dividend announcement which is expected tomorrow.


The stock is currently inching up 0.4% at 161.1 dollars, while the Dow Jones index is up over 1 percent.

Analysts at Wells Fargo Securities expect the dividend to be increased to 1.50 dollar per share, from 1.40 dollar per share, up 7.1%, in line with the consensus.

"The 0.10 dollar increase would be consistent with the 0.10 dollar increase in April 2016 but lower than the 0.20 dollar increase in 2015 and 0.15 dollar in 2014," the brokerage firm said.

"We believe IBM should be able to support a 0.10 dollar increase based on our current forecasts and given the dividend yield (absent a change in our forecasts) think shares may stay largely range bound," it added.

For the record, Wells Fargo has a "market perform" rating on IBM shares.

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