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International Business Machines is an information technology services business based in the US. International Business Machines shares (IBM) are listed on the NYSE and all prices are listed in US Dollars.
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| Latest market close | $134.73 |
|---|---|
| 52-week range | $114.19 - $153.21 |
| 50-day moving average | $143.97 |
| 200-day moving average | $135.60 |
| Wall St. target price | $146.37 |
| PE ratio | 22.1268 |
| Dividend yield | $6.59 (4.91%) |
| Earnings per share (TTM) | $6.09 |
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The technical analysis gauge below displays real-time ratings for the timeframes you select. This is not a recommendation, however. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
This chart is not advice or a guarantee of success. Rather, it gauges the real-time recommendations of three popular technical indicators: moving averages, oscillators and pivots. Finder is not responsible for how your stock performs.
Historical closes compared with the close of $134.73 from 2023-01-31
| 1 week (2023-01-25) | -4.28% |
|---|---|
| 1 month (2022-12-30) | -4.37% |
| 3 months (2022-11-01) | -2.51% |
| 6 months (2022-08-01) | 2.04% |
| 1 year (2022-02-01) | -0.59% |
|---|---|
| 2 years (2021-02-01) | 11.77% |
| 3 years (2020-01-31) | 143.6009 |
| 5 years (2018-02-01) | 162.4 |
Valuing International Business Machines stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of International Business Machines's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
International Business Machines's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 22x. In other words, International Business Machines shares trade at around 22x recent earnings.
That's relatively low compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The low P/E ratio could mean that investors are pessimistic about the outlook for the shares or simply that they're under-valued.
International Business Machines's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 1.2763. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into International Business Machines's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
International Business Machines's EBITDA (earnings before interest, taxes, depreciation and amortisation) is $6.4 billion.
The EBITDA is a measure of a International Business Machines's overall financial performance and is widely used to measure a its profitability.
| Revenue TTM | $60.5 billion |
|---|---|
| Operating margin TTM | 2.69% |
| Gross profit TTM | $32.7 billion |
| Return on assets TTM | 0.78% |
| Return on equity TTM | 8.69% |
| Profit margin | 2.71% |
| Book value | $24.23 |
| Market capitalisation | $120.8 billion |
TTM: trailing 12 months
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like International Business Machines.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
Total ESG risk: 17.23
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and International Business Machines's overall score of 17.23 (as at 01/01/2019) is excellent – landing it in it in the 14th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like International Business Machines is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
Environmental score: 0.91/100
International Business Machines's environmental score of 0.91 puts it squarely in the 1st percentile of companies rated in the same sector. This could suggest that International Business Machines is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
Social score: 7.08/100
International Business Machines's social score of 7.08 puts it squarely in the 1st percentile of companies rated in the same sector. This could suggest that International Business Machines is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
Governance score: 5.75/100
International Business Machines's governance score puts it squarely in the 1st percentile of companies rated in the same sector. That could suggest that International Business Machines is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. International Business Machines scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that International Business Machines has, for the most part, managed to keep its nose clean.
International Business Machines was last rated for ESG on: 2019-01-01.
| Total ESG score | 17.23 |
|---|---|
| Total ESG percentile | 14.12 |
| Environmental score | 0.91 |
| Environmental score percentile | 1 |
| Social score | 7.08 |
| Social score percentile | 1 |
| Governance score | 5.75 |
| Governance score percentile | 1 |
| Level of controversy | 2 |
Dividend payout ratio: 72.26% of net profits
Recently International Business Machines has paid out, on average, around 72.26% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 4.91% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), International Business Machines shareholders could enjoy a 4.91% return on their shares, in the form of dividend payments. In International Business Machines's case, that would currently equate to about $6.59 per share.
International Business Machines's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
International Business Machines's most recent dividend payout was on 10 December 2022. The latest dividend was paid out to all shareholders who bought their shares by 9 November 2022 (the "ex-dividend date").
International Business Machines's shares were split on a 1046:1000 basis on 4 November 2021. So if you had owned 1000 shares the day before before the split, the next day you'd have owned 1046 shares. This wouldn't directly have changed the overall worth of your International Business Machines shares – just the quantity. However, indirectly, the new 4.4% lower share price could have impacted the market appetite for International Business Machines shares which in turn could have impacted International Business Machines's share price.
Over the last 12 months, International Business Machines's shares have ranged in value from as little as $114.1885 up to $153.21. A popular way to gauge a stock's volatility is its "beta".
Beta is a measure of a share's volatility in relation to the market. The market (NYSE average) beta is 1, while International Business Machines's is 0.8811. This would suggest that International Business Machines's shares are less volatile than average (for this exchange).
International Business Machines Corporation provides integrated solutions and services worldwide. The company operates through four business segments: Software, Consulting, Infrastructure, and Financing. The Software segment offers hybrid cloud platform and software solutions, such as Red Hat, an enterprise open-source solutions; software for business automation, AIOps and management, integration, and application servers; data and artificial intelligence solutions; and security software and services for threat, data, and identity. This segment also provides transaction processing software that supports clients' mission-critical and on-premise workloads in banking, airlines, and retail industries. The Consulting segment offers business transformation services, including strategy, business process design and operations, data and analytics, and system integration services; technology consulting services; and application and cloud platform services. The Infrastructure segment provides on-premises and cloud-based server and storage solutions for its clients' mission-critical and regulated workloads; and support services and solutions for hybrid cloud infrastructure, as well as remanufacturing and remarketing services for used equipment. The Financing segment offers lease, installment payment, loan financing, and short-term working capital financing services.
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