IBM Stock Tickeron detected bearish Stock Pattern: Head-and-Shoulders Top IBM on December 30, 2025, netting in a 3.16% gain over 1 month

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IBM - International Business Machines Corp

Ticker: IBM

Company: International Business Machines

Gain from shorting: +3.16%

Confirmed: 12/30/25

Succeeded: 02/02/26

Total length: 38 days

On December 26, 2025, A.I.dvisor detected a Head-and-Shoulders Top Pattern (Bearish) for International Business Machines Corp (IBM, $305.09). 4 days later, on December 30, 2025, A.I.dvisor confirmed the Bearish pattern, setting a target price of the stock. On February 02, 2026, the stock hit the target price of $289.56 – resulting in a gain for traders who shorted the stock on the pattern detection date.

IBM sees MACD Histogram just turned negative

IBM saw its Moving Average Convergence Divergence Histogram (MACD) turn negative on February 04, 2026. This is a bearish signal that suggests the stock could decline going forward. Tickeron's A.I.dvisor looked at 37 instances where the indicator turned negative. In of the 37 cases the stock moved lower in the days that followed. This puts the odds of a downward move at .

Technical Analysis (Indicators)

Bearish Trend Analysis

The Momentum Indicator moved below the 0 level on February 04, 2026. You may want to consider selling the stock, shorting the stock, or exploring put options on IBM as a result. In of 78 cases where the Momentum Indicator fell below 0, the stock fell further within the subsequent month. The odds of a continued downward trend are .

IBM moved below its 50-day moving average on February 03, 2026 date and that indicates a change from an upward trend to a downward trend.

The 10-day moving average for IBM crossed bearishly below the 50-day moving average on December 31, 2025. This indicates that the trend has shifted lower and could be considered a sell signal. In of 15 past instances when the 10-day crossed below the 50-day, the stock continued to move higher over the following month. The odds of a continued downward trend are .

Following a 3-day decline, the stock is projected to fall further. Considering past instances where IBM declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .

IBM broke above its upper Bollinger Band on January 12, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.

Bullish Trend Analysis

The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where IBM's RSI Indicator exited the oversold zone, of 23 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .

The Stochastic Oscillator suggests the stock price trend may be in a reversal from a downward trend to an upward trend. of 54 cases where IBM's Stochastic Oscillator exited the oversold zone resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .

Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where IBM advanced for three days, in of 368 cases, the price rose further within the following month. The odds of a continued upward trend are .

The Aroon Indicator entered an Uptrend today. In of 298 cases where IBM Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .

Fundamental Analysis (Ratings)

The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating low risk on high returns. The average Profit vs. Risk Rating rating for the industry is 89, placing this stock better than average.

The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (8.278) is normal, around the industry mean (9.484). P/E Ratio (25.947) is within average values for comparable stocks, (46.470). IBM's Projected Growth (PEG Ratio) (2.464) is slightly higher than the industry average of (1.430). Dividend Yield (0.023) settles around the average of (0.024) among similar stocks. P/S Ratio (4.060) is also within normal values, averaging (33.166).

The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.

The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating steady price growth. IBM’s price grows at a higher rate over the last 12 months as compared to S&P 500 index constituents.

The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to worse than average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.