(IBM) International Business - Overview

Sector: Technology | Industry: Information Technology Services | Exchange: NYSE (USA) | Market Cap: 226.851m USD | Total Return: 3% in 12m

Software, Consulting, Infrastructure, Financing
Total Rating 57
Safety 83
Buy Signal -0.90
Information Technology Services
Industry Rotation: -19.1
Market Cap: 227B
Avg Turnover: 1.07B USD
ATR: 3.18%
Peers RS (IBD): 65.0
Risk 5d forecast
Volatility37.7%
Rel. Tail Risk-12.9%
Reward TTM
Sharpe Ratio0.05
Alpha-23.54
Character TTM
Beta0.769
Beta Downside0.497
Drawdowns 3y
Max DD28.69%
CAGR/Max DD0.91
EPS (Earnings per Share) EPS (Earnings per Share) of IBM over the last years for every Quarter: "2021-03": 1.77, "2021-06": 2.33, "2021-09": 2.52, "2021-12": 3.35, "2022-03": 1.4, "2022-06": 2.31, "2022-09": 1.81, "2022-12": 3.6, "2023-03": 1.36, "2023-06": 2.18, "2023-09": 2.2, "2023-12": 3.87, "2024-03": 1.68, "2024-06": 2.43, "2024-09": 2.3, "2024-12": 3.09, "2025-03": 1.12, "2025-06": 2.8, "2025-09": 1.84, "2025-12": 4.52,
EPS CAGR: 36.69%
EPS Trend: 12.1%
Last SUE: 1.19
Qual. Beats: 1
Revenue Revenue of IBM over the last years for every Quarter: 2021-03: 13187, 2021-06: 14218, 2021-09: 13251, 2021-12: 16695, 2022-03: 14197, 2022-06: 15535, 2022-09: 14106, 2022-12: 16691, 2023-03: 14252, 2023-06: 15475, 2023-09: 14752, 2023-12: 17380, 2024-03: 14461, 2024-06: 15769, 2024-09: 14967, 2024-12: 17553, 2025-03: 14541, 2025-06: 16977, 2025-09: 16331, 2025-12: 19686,
Rev. CAGR: 9.11%
Rev. Trend: 56.4%
Last SUE: 2.95
Qual. Beats: 1

Warnings

No concerns identified

Tailwinds

No distinct edge detected

Description: IBM International Business

International Business Machines Corp. (IBM – NYSE:IBM) delivers integrated technology solutions across Software, Consulting, Infrastructure, and Financing segments, serving clients in the Americas, EMEA, and APAC. Its Software arm focuses on hybrid-cloud and AI platforms, Consulting blends strategy and technology expertise, Infrastructure offers on-premises and cloud server/storage services, and Financing helps customers acquire IBM hardware, software, and services.

In FY 2023 IBM generated $60.5 billion in revenue, a 6% year-over-year increase, with the Cloud & Cognitive Software segment contributing $23 billion and posting a 13% operating margin. The company’s free cash flow reached $7.2 billion, and earnings per share rose to $6.20, reflecting steady profitability amid a competitive cloud market.

Key drivers for IBM include rising enterprise spending on hybrid-cloud and AI solutions-global IT spend on these services is expected to grow ~9% annually through 2027-and strategic alliances with hyperscalers such as Amazon Web Services, Microsoft Azure, and Google Cloud, which expand IBM’s reach in AI-enabled workloads. Additionally, the firm’s financing arm benefits from higher capital-expenditure cycles as businesses upgrade legacy infrastructure.

For deeper insights, you might explore ValueRay’s analyst notes.

Headlines to Watch Out For
  • Hybrid cloud and AI software adoption drives recurring revenue growth
  • Consulting services demand impacts project pipeline and margins
  • Mainframe and server sales influence infrastructure segment performance
  • Financing segment profitability sensitive to interest rate fluctuations
Piotroski VR‑10 (Strict) 6.0
Net Income: 10.59b TTM > 0 and > 6% of Revenue
FCF/TA: 0.08 > 0.02 and ΔFCF/TA -0.49 > 1.0
NWC/Revenue: -4.14% < 20% (prev 2.14%; Δ -6.28% < -1%)
CFO/TA 0.09 > 3% & CFO 13.19b > Net Income 10.59b
Net Debt (53.51b) to EBITDA (17.29b): 3.10 < 3
Current Ratio: 0.93 > 1.5 & < 3
Outstanding Shares: last quarter (952.4m) vs 12m ago 1.06% < -2%
Gross Margin: 58.81% > 18% (prev 0.57%; Δ 5.82k% > 0.5%)
Asset Turnover: 46.73% > 50% (prev 45.74%; Δ 0.98% > 0%)
Interest Coverage Ratio: 6.34 > 6 (EBITDA TTM 17.29b / Interest Expense TTM 1.94b)
Altman Z'' 5.58
A: -0.02 (Total Current Assets 35.86b - Total Current Liabilities 38.66b) / Total Assets 151.88b
B: 1.02 (Retained Earnings 155.65b / Total Assets 151.88b)
C: 0.08 (EBIT TTM 12.27b / Avg Total Assets 144.53b)
D: 1.71 (Book Value of Equity 203.25b / Total Liabilities 119.14b)
Altman-Z'' Score: 5.58 = AAA
Beneish M -2.86
DSRI: 1.17 (Receivables 17.64b/14.01b, Revenue 67.53b/62.75b)
GMI: 0.96 (GM 58.81% / 56.65%)
AQI: 1.03 (AQ_t 0.70 / AQ_t-1 0.68)
SGI: 1.08 (Revenue 67.53b / 62.75b)
TATA: -0.02 (NI 10.59b - CFO 13.19b) / TA 151.88b)
Beneish M-Score: -2.86 (Cap -4..+1) = A
What is the price of IBM shares? As of April 11, 2026, the stock is trading at USD 230.76 with a total of 4,648,438 shares traded.
Over the past week, the price has changed by -6.48%, over one month by -7.77%, over three months by -25.66% and over the past year by +3.03%.
Is IBM a buy, sell or hold? International Business has received a consensus analysts rating of 3.55. Therefor, it is recommend to hold IBM.
  • StrongBuy: 8
  • Buy: 2
  • Hold: 8
  • Sell: 2
  • StrongSell: 2
What are the forecasts/targets for the IBM price?
Analysts Target Price 313.4 35.8%
International Business (IBM) - Fundamental Data Overview as of 10 April 2026
P/E Trailing = 21.6807
P/E Forward = 20.0803
P/S = 3.359
P/B = 7.1329
P/EG = 2.3202
Revenue TTM = 67.53b USD
EBIT TTM = 12.27b USD
EBITDA TTM = 17.29b USD
Long Term Debt = 54.84b USD (from longTermDebt, last quarter)
Short Term Debt = 7.22b USD (from shortTermDebt, last quarter)
Debt = 67.15b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 53.51b USD (from netDebt column, last quarter)
Enterprise Value = 280.42b USD (226.85b + Debt 67.15b - CCE 13.59b)
Interest Coverage Ratio = 6.34 (Ebit TTM 12.27b / Interest Expense TTM 1.94b)
EV/FCF = 22.83x (Enterprise Value 280.42b / FCF TTM 12.28b)
FCF Yield = 4.38% (FCF TTM 12.28b / Enterprise Value 280.42b)
FCF Margin = 18.19% (FCF TTM 12.28b / Revenue TTM 67.53b)
Net Margin = 15.69% (Net Income TTM 10.59b / Revenue TTM 67.53b)
Gross Margin = 58.81% ((Revenue TTM 67.53b - Cost of Revenue TTM 27.82b) / Revenue TTM)
Gross Margin QoQ = 61.56% (prev 58.73%)
Tobins Q-Ratio = 1.85 (Enterprise Value 280.42b / Total Assets 151.88b)
Interest Expense / Debt = 0.71% (Interest Expense 478.0m / Debt 67.15b)
Taxrate = 21.0% (US default 21%)
NOPAT = 9.69b (EBIT 12.27b * (1 - 21.00%))
Current Ratio = 0.93 (Total Current Assets 35.86b / Total Current Liabilities 38.66b)
Debt / Equity = 2.06 (Debt 67.15b / totalStockholderEquity, last quarter 32.65b)
Debt / EBITDA = 3.10 (Net Debt 53.51b / EBITDA 17.29b)
Debt / FCF = 4.36 (Net Debt 53.51b / FCF TTM 12.28b)
Total Stockholder Equity = 28.74b (last 4 quarters mean from totalStockholderEquity)
RoA = 7.33% (Net Income 10.59b / Total Assets 151.88b)
RoE = 36.86% (Net Income TTM 10.59b / Total Stockholder Equity 28.74b)
RoCE = 14.68% (EBIT 12.27b / Capital Employed (Equity 28.74b + L.T.Debt 54.84b))
RoIC = 10.57% (NOPAT 9.69b / Invested Capital 91.69b)
WACC = 6.83% (E(226.85b)/V(294.01b) * Re(8.69%) + D(67.15b)/V(294.01b) * Rd(0.71%) * (1-Tc(0.21)))
Discount Rate = 8.69% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: 100.0 | Cagr: 1.34%
[DCF] Terminal Value 83.68% ; FCFF base≈12.07b ; Y1≈12.86b ; Y5≈15.48b
[DCF] Fair Price = 323.6 (EV 357.22b - Net Debt 53.51b = Equity 303.71b / Shares 938.4m; r=6.83% [WACC]; 5y FCF grow 7.24% → 3.0% )
EPS Correlation: 12.11 | EPS CAGR: 36.69% | SUE: 1.19 | # QB: 1
Revenue Correlation: 56.40 | Revenue CAGR: 9.11% | SUE: 2.95 | # QB: 1
EPS next Quarter (2026-06-30): EPS=2.94 | Chg7d=-0.086 | Chg30d=-0.086 | Revisions Net=+1 | Analysts=2
EPS current Year (2026-12-31): EPS=12.38 | Chg7d=+0.003 | Chg30d=-0.029 | Revisions Net=+1 | Growth EPS=+6.8% | Growth Revenue=+5.4%
EPS next Year (2027-12-31): EPS=13.40 | Chg7d=+0.003 | Chg30d=-0.022 | Revisions Net=+1 | Growth EPS=+8.2% | Growth Revenue=+4.6%
[Analyst] Revisions Ratio: +1.00 (1 Up / 0 Down within 30d for Next Quarter)
[Growth] Implied Growth Rate = 4.1% (Discount Rate 8.7% - Earnings Yield 4.6%)
[Growth] Growth Spread = -0.4% (Analyst 3.7% - Implied 4.1%)
External Resources
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