Dow Today: International Business Machines (IBM) Leads The Day Higher, Chevron (CVX) Lags

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model.

The Dow Jones Industrial Average (^DJI) closed up eight points at 13,981. During the day, 628.3 million shares of the 30 Dow components have changed hands vs. an average daily trading volume of 619.1 million. The NYSE advances/declines ratio closed at 1,435 issues advancing vs. 1,536 declining with 130 unchanged.

• EXCLUSIVE OFFER: Jim Cramer's Protégé, Dave Peltier, only buys Stocks Under $10 that he thinks could potentially double. See what he's trading today with a 14-day FREE pass.

The Dow component that led the way higher today was International Business Machines (NYSE:IBM), which sported a $1.33 gain (+0.7%) bringing the stock to $200.98. This single gain lifted the Dow Jones Industrial Average by 10.07 points or roughly accounting for 125.9% of the Dow's overall gain. Volume for International Business Machines ended the day at 3.6 million shares traded vs. an average daily trading volume of 3.9 million shares.

International Business Machines has a market cap of $226.09 billion and is part of the technology sector and computer hardware industry. Shares are up 4.5% year to date as of Thursday's close. The stock's dividend yield sits at 1.7%.

International Business Machines Corporation provides information technology (IT) products and services worldwide. The company operates in five segments: Global Technology Services, Global Business Services, Software, Systems and Technology, and Global Financing. The company has a P/E ratio of 13.1, below the S&P 500 P/E ratio of 17.7.

TheStreet Ratings rates International Business Machines as a buy. The company's strengths can be seen in multiple areas, such as its growth in earnings per share, increase in net income, notable return on equity and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had generally high debt management risk by most measures that we evaluated.

• You can view the full International Business Machines Ratings Report.

Holding the Dow back today was Chevron (NYSE:CVX), which lagged the broader Dow index with a 75-cent decline (-0.7%) bringing the stock to $114.96. Volume for Chevron ended the day at 6.3 million shares traded vs. an average daily trading volume of 5.7 million shares.

• See our dividend calendar or top-yielding stocks list.

Chevron has a market cap of $226.11 billion and is part of the basic materials sector and energy industry. Shares are up 6.8% year to date as of Thursday's close. The stock's dividend yield sits at 3.1%.

Chevron Corporation, through its subsidiaries, engages in petroleum, chemicals, mining, power generation, and energy operations worldwide. It operates in two segments, Upstream and Downstream. The company has a P/E ratio of 8.7, below the S&P 500 P/E ratio of 17.7.

TheStreet Ratings rates Chevron as a buy. The company's strengths can be seen in multiple areas, such as its increase in stock price during the past year, increase in net income, largely solid financial position with reasonable debt levels by most measures and attractive valuation levels. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity.

• You can view the full Chevron Ratings Report.

It's Official: Action Alerts PLUS beats the S&P 500 with Dividends Reinvested! Cramer and Link were up 16.72% in 2012. Were you? See what they are trading for 14-days FREE.

 

For more information on International Business Machines Corp click any of the following:

• International Business Machines Corp Stock Price

• International Business Machines Corp Analyst Ratings

• International Business Machines Corp Key Stats & Profile

• International Business Machines Corp Earnings

• International Business Machines Corp Ratio Comparison

• International Business Machines Corp Growth Rates

• International Business Machines Corp Balance Sheet

• International Business Machines Corp Cash Flow

• International Business Machines Corp Income Statement