International Business Machines Corp Stock Research

Market Summary

USD124.70+1.42

Market Closed

1.15%

IBM Stock Price

IBM RSI Chart

IBM Valuation

Market Cap

112.7B

Price/Earnings (Trailing)

68.79

Price/Sales (Trailing)

1.86

EV/EBITDA

21.94

Price/Free Cashflow

12.4

IBM Price/Sales (Trailing)

IBM Profitability

Operating Margin

54.00%

EBT Margin

1.91%

Return on Equity

7.47%

Return on Assets

1.29%

Free Cashflow Yield

8.06%

IBM Fundamentals

IBM Revenue

Revenue (TTM)

60.5B

Revenue Y/Y

-0.02%

Revenue Q/Q

18.31%

IBM Earnings

Earnings (TTM)

1.6B

Earnings Y/Y

16.16%

Earnings Q/Q

184.79%

Price Action

52 Week Range

114.18153.21

(Low)(High)

Last 7 days

-3.7%

Last 30 days

-10.2%

Last 90 days

-13.4%

Trailing 12 Months

1.8%

IBM Financial Health

Current Ratio

0.92

Debt/Equity

2.03

Debt/Cashflow

0.22

IBM Investor Care

Dividend Yield

5.28%

Dividend/Share (TTM)

6.59

Shares Dilution (1Y)

0.78%

Diluted EPS (TTM)

1.8

Peers (Alternatives to International Business Machines)

View All Peers In Detail

Name	Mkt Capsorted ascending	Revenue	Price %, 1M	Returns, 1Y	P/E	P/S	Rev 1-Yr	Inc 1-Yr
LARGE-CAP
MA	335.8B	22.2B	-6.13%	4.21%	33.82	15.1	17.76%	14.31%
ACN	159.4B	62.4B	-14.63%	-21.30%	22.6	2.56	16.08%	13.77%
IBM	112.7B	60.5B	-10.24%	1.76%	68.79	1.86	5.54%	-71.46%
SQ	44.5B	17.5B	-3.58%	-28.15%	-82.3	2.54	-0.73%	-425.19%
BR	16.2B	5.8B	-7.80%	-6.48%	30.38	2.77	8.54%	-1.33%
MID-CAP
DXC	5.4B	14.8B	-21.29%	-25.03%	7.52	0.36	-10.79%	217.70%
EEFT	5.1B	3.4B	-9.00%	-14.62%	22.13	1.52	12.13%	226.60%
WU	4.0B	4.5B	-25.42%	-36.83%	4.4	0.89	-11.74%	13.01%
SMALL-CAP
MARA	891.3M	149.6M	21.20%	-68.36%	-3.32	5.96	61.17%	-407.23%
RPAY	571.5M	279.2M	-30.85%	-51.37%	44.52	2.05	27.35%	125.63%
UEPS	281.1M	417.8M	-8.76%	-7.47%	-10.38	1.26	224.00%	-66.06%
UIS	233.9M	2.0B	-37.32%	-83.97%	-2.21	0.12	-3.63%	76.37%
USIO	40.2M	69.4M	-21.21%	-51.70%	-7.32	0.58	12.09%	-1604.81%

Financials for International Business Machines

* denotes actual numbers (not divided by Millions)
Income Statement (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Revenue	0.0%	60,530	60,533	59,677	58,360	57,350
Cost Of Revenue	-0.5%	27,842	27,980	27,448	26,568	25,865
Gross Profit	0.4%	32,687	32,556	32,232	31,794	31,486
S&GA Expenses	-0.7%	18,609	18,746	18,661	18,655	18,745
R&D Expenses	-0.3%	6,567	6,588	6,583	6,551	6,488
EBITDA	6.1%	4,779	4,505	8,963	8,568	-
EBITDA Margin	6.1%	0.08*	0.07*	0.14*	0.16*	-
Earnings Before Taxes	62.1%	1,156	713	6,027	5,217	4,837
EBT Margin	62.1%	0.02*	0.01*	0.07*	0.07*	-
Interest Expenses	0.8%	1,216	1,206	1,201	1,185	1,155
Net Income	29.9%	1,639	1,262	5,588	5,521	5,743
Net Income Margin	29.9%	0.03*	0.02*	0.09*	0.10*	-
Free Cahsflow	19.2%	9,089	7,627	8,198	9,281	-

* denotes actual numbers (not divided by Millions)
Balance Sheet					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Assets	1.1%	127,243	125,850	127,503	133,275	132,001
Current Assets	0.4%	29,118	28,999	27,896	31,330	29,539
Cash Equivalents	0.9%	7,886	7,816	7,034	9,934	6,650
Inventory	-13.5%	1,552	1,794	1,684	1,776	1,649
Net PPE	3.6%	5,334	5,150	5,275	5,559	5,694
Goodwill	3.2%	55,949	54,218	55,039	56,106	55,643
Liabilities	-0.5%	105,222	105,703	108,026	114,162	113,005
Current Liabilities	3.4%	31,505	30,466	31,844	34,056	33,619
. Short Term Borrowings	-19.8%	4,760	5,937	5,981	7,690	6,787
Long Term Debt	-	44,917	-	-	-	-
LT Debt, Non Current	2.8%	46,189	44,942	44,328	46,545	44,917
Shareholder's Equity	9.3%	21,944	20,076	19,476	19,112	18,901
Retained Earnings	0.8%	149,825	148,611	153,298	153,401	154,209
Accumulated Depreciation	-1.2%	13,361	13,525	13,804	14,448	14,390
Shares Outstanding	0.3%	904	901	899	-	-
Minority Interest	8.5%	77.00	71.00	67.00	62.00	95.00

Cashflow (Last 12 Months)					(In Millions)
Description	(%) Q/Q	2022Q4	2022Q3	2022Q2	2022Q1	2021Q4
Cashflow From Operations	15.8%	10,435	9,014	9,826	11,130	12,796
Share Based Compensation	-1.5%	987	1,002	1,013	1,003	982
Cashflow From Investing	-18.1%	-4,202	-3,558	-2,490	-5,333	-5,975
Cashflow From Financing	-3.3%	-4,958	-4,798	-7,259	-6,194	-13,354
Dividend Payments	0.3%	5,948	5,928	5,908	5,887	5,869

Risks for IBM

What is the probability of a big loss on IBM?

39.2%

Probability that International Business Machines stock will be more than 20% underwater in next one year

20.4%

Probability that International Business Machines stock will be more than 30% underwater in next one year.

Probability that International Business Machines stock will be more than 40% underwater in next one year.

*Calculated based on probability distribution of losses observed in actual data in the last 5 years.

How does IBM drawdown profile look like?

Y-axis is the maximum loss one would have experienced if International Business Machines was unfortunately bought at previous high price.

Drawdowns

Returns for IBM

Cumulative Returns on IBM

-1.3%

10-Year Cumulative Returns

2.7%

7-Year Cumulative Returns

0.2%

5-Year Cumulative Returns

11.0%

3-Year Cumulative Returns

What are the long-term rolling returns for IBM?

FIve years rolling returns for International Business Machines.

Annualized Returns

Which funds bought or sold IBM recently?

View All Details

Datesorted ascending	Fund Name	Type	% Chg	$ Change	$ Held	% Portfolio
2023-03-15	B. Riley Wealth Advisors, Inc.	reduced	-0.09	2,094,610	13,439,600	0.38%
2023-03-13	Claro Advisors LLC	added	9.94	86,682	975,682	0.32%
2023-03-10	VICTORY CAPITAL MANAGEMENT INC	added	3.47	31,550,400	170,509,000	0.19%
2023-03-10	MATHER GROUP, LLC.	reduced	-10.36	36,430	609,430	0.01%
2023-03-08	Capital Asset Advisory Services LLC	reduced	-8.78	81,757	935,757	0.07%
2023-03-06	Rockefeller Capital Management L.P.	reduced	-1.13	6,876,000	46,757,000	0.23%
2023-03-06	NORTH STAR ASSET MANAGEMENT INC	added	2.61	167,863	940,863	0.06%
2023-03-06	BIRMINGHAM CAPITAL MANAGEMENT CO INC/AL	added	2.6	886,188	4,977,190	1.89%
2023-03-03	TIAA, FSB	reduced	-0.85	2,080,210	13,910,200	0.06%
2023-03-02	LORING WOLCOTT & COOLIDGE FIDUCIARY ADVISORS LLP/MA	new	-	1,787,190	1,787,190	0.02%

Latest Funds Activity

Are funds buying IBM calls or puts?

Calls

Puts

Are funds bullish or bearish(Calls - Puts)?

Net Call Options

No. of funds that own IBM

No. of Funds

International Business Machines News

Schedule 13G FIlings of International Business Machines

Date Filed	Name of Filer	Percent of Class	No. of Shares	Form Type
Feb 09, 2023	vanguard group inc	8.86%	80,144,196	SC 13G/A
Feb 03, 2023	blackrock inc.	8.0%	72,337,762	SC 13G/A
Feb 14, 2022	state street corp	5.93%	53,156,014	SC 13G/A
Feb 10, 2022	vanguard group inc	8.42%	75,553,655	SC 13G/A
Feb 01, 2022	blackrock inc.	7.3%	65,452,374	SC 13G/A
Feb 12, 2021	state street corp	5.83%	51,957,682	SC 13G
Feb 10, 2021	vanguard group inc	8.28%	73,806,391	SC 13G/A
Jan 29, 2021	blackrock inc.	7.0%	62,271,273	SC 13G/A
Feb 13, 2020	state street corp	6.16%	54,521,224	SC 13G
Feb 12, 2020	vanguard group inc	8.29%	73,435,581	SC 13G/A

IBM Fair Value

International Business Machines fair value in different scenarios

The table shows the Fair Value estimates for International Business Machines for various scenarios. Disclaimer: These are just estimations from a model. None of the models are good at predicting the future. Please dont buy or sell stocks based on these outputs.

Fair Value	Very Pessimistic	Pessimistic	Base Case	Optimistic	Very Optimistic
Very Low Inflation	38.70 -68.97%	52.36 -58.01%	58.01 -53.48%	76.36 -38.77%	98.34 -21.14%
Current Inflation	36.06 -71.08%	53.86 -56.81%	67.63 -45.77%	81.01 -35.04%	94.65 -24.10%
Very High Inflation	34.34 -72.46%	45.44 -63.56%	50.13 -59.80%	63.93 -48.73%	80.77 -35.23%

Historical International Business Machines Fair Value Estimates

Very Pessimistic Case

Pessimistic Case

Fair Value

Optimistic Case

Very Optimistic Case

Closing Stock Price

Recent SEC filings of International Business Machines

View All Filings

Date Filed	Form Type	Document
Mar 06, 2023	ARS	ARS
Mar 06, 2023	DEF 14A	DEF 14A
Mar 06, 2023	DEFA14A	DEFA14A
Feb 28, 2023	10-K	Annual Report
Feb 23, 2023	4	Insider Trading
Feb 23, 2023	4	Insider Trading
Feb 23, 2023	4	Insider Trading
Feb 23, 2023	4	Insider Trading
Feb 23, 2023	4	Insider Trading
Feb 23, 2023	4	Insider Trading

Latest Insider Trading transactions for IBM

Filter Transactions

Datesorted ascending	Name	Buy/Sell	$ Value	Avg. Price	# Shares	Title
2023-02-21	COHN GARY D	acquired	-	-	2,722	vice chairman
2023-02-21	KRISHNA ARVIND	sold (taxes)	-342,754	133	-2,577	chairman and ceo
2023-02-21	KAVANAUGH JAMES J	acquired	-	-	3,380	sr. vp and cfo
2023-02-21	BROWDY MICHELLE H	acquired	-	-	1,877	senior vice president
2023-02-21	KAVANAUGH JAMES J	sold (taxes)	-225,310	133	-1,694	sr. vp and cfo
2023-02-21	KRISHNA ARVIND	acquired	-	-	5,163	chairman and ceo
2023-02-21	COHN GARY D	sold (taxes)	-200,306	133	-1,506	vice chairman
2023-02-21	LAMOREAUX NICKLE JACLYN	sold (taxes)	-50,408	133	-379	senior vice president
2023-02-21	Rosamilia Thomas W	sold (taxes)	-163,862	133	-1,232	senior vice president
2023-02-21	Fehring Nicolas A.	sold (taxes)	-18,753	133	-141	vp, controller

About International Business Machines

Arvind Krishna

www.ibm.com

65535

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. The company was formerly known as Computing-Tabulating-Recording Co. International Business Machines Corporation was incorporated in 1911 and is headquartered in Armonk, New York.

IBM Income Statement

2022-12-31

CONSOLIDATED INCOME STATEMENT - USD ($) $ in Millions	12 Months Ended
CONSOLIDATED INCOME STATEMENT - USD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021	Dec. 31, 2020
Revenue (Note D)	$ 60,530	$ 57,350	$ 55,179
Cost	27,842	25,865	24,314
Gross profit	32,687	31,486	30,865
Expense and other (income)
Selling, general and administrative	18,609	18,745	20,561
Research, development and engineering (Note G)	6,567	6,488	6,262
Intellectual property and custom development income	(663)	(612)	(620)
Other (income) and expense (Note A)	5,803	873	802
Interest expense (Note P&T)	1,216	1,155	1,288
Total expense and other (income)	31,531	26,649	28,293
Income from continuing operations before income taxes	1,156	4,837	2,572
Provision for/(benefit from) income taxes (Note H)	(626)	124	(1,360)
Income from continuing operations	1,783	4,712	3,932
Income/(loss) from discontinued operations, net of tax (Note C)	(143)	1,030	1,658
Net income	$ 1,639	$ 5,743	$ 5,590
Assuming dilution
Continuing operations (in dollars per share) (Note I)	$ 1.95	$ 5.21	$ 4.38
Discontinued operations (in dollars per share) (Note I)	(0.16)	1.14	1.85
Total (in dollars per share) (Note I)	1.80	6.35	6.23
Basic
Continuing operations (in dollars per share) (Note I)	1.97	5.26	4.42
Discontinued operations (in dollars per share) (Note I)	(0.16)	1.15	1.86
Total (in dollars per share) (Note I)	$ 1.82	$ 6.41	$ 6.28
Weighted-average number of common shares outstanding
Assuming dilution (in shares)	912,269,062	904,641,001	896,563,971
Basic (in shares)	902,664,190	895,990,771	890,348,679
Services
Revenue (Note D)	$ 30,206	$ 29,225	$ 27,626
Cost	21,062	19,147	17,689
Sales
Revenue (Note D)	29,673	27,346	26,569
Cost	6,374	6,184	6,048
Financing.
Revenue (Note D)	651	780	984
Cost	$ 406	$ 534	$ 577

IBM Balance Sheet

2022-12-31

CONSOLIDATED BALANCE SHEET - USD ($) $ in Millions	Dec. 31, 2022	Dec. 31, 2021
Current assets
Cash and cash equivalents	$ 7,886	$ 6,650
Restricted cash	103	307
Marketable securities (Note J)	852	600
Notes and accounts receivable-trade (net of allowances of $233 in 2022 and $218 in 2021)	6,541	6,754
Short-term financing receivables, held for investment (net of allowances of $145 in 2022 and $176 in 2021) (Note L)	6,851	7,221
Short-term financing receivables, held for sale (Note L)	939	793
Other accounts receivable (net of allowances of $89 in 2022 and $24 in 2021)	817	1,002
Inventory (Note K)	1,552	1,649
Deferred costs (Note D)	967	1,097
Prepaid expenses and other current assets	2,611	3,466
Total current assets	29,118	29,539
Property, plant and equipment (Note M)	18,695	20,085
Less: Accumulated depreciation (Note M)	13,361	14,390
Property, plant and equipment - net (Note M)	5,334	5,694
Operating right-of-use assets-net (Note N)	2,878	3,222
Long-term financing receivables (net of allowances of $28 in 2022 and $25 in 2021)	5,806	5,425
Prepaid pension assets (Note V)	8,236	9,850
Deferred costs (Note D)	866	924
Deferred taxes (Note H)	6,256	7,370
Goodwill (Note O)	55,949	55,643
Intangible assets-net (Note O)	11,184	12,511
Investments and sundry assets	1,617	1,823
Total assets	127,243	132,001
Current liabilities
Taxes (Note H)	2,196	2,289
Short-term debt (Note J&P)	4,760	6,787
Accounts payable	4,051	3,955
Compensation and benefits	3,481	3,204
Deferred income	12,032	12,518
Operating lease liabilities (Note N)	874	974
Other accrued expenses and liabilities	4,111	3,892
Total current liabilities	31,505	33,619
Long-term debt (Note J&P)	46,189	44,917
Retirement and nonpension postretirement benefit obligations (Note V)	9,596	14,435
Deferred income	3,499	3,577
Operating lease liabilities (Note N)	2,190	2,462
Other liabilities (Note Q)	12,243	13,996
Total liabilities	105,222	113,005
Commitments and Contingencies (Note R)
IBM stockholders' equity
Common stock, par value $.20 per share, and additional paid-in capital Shares authorized: 4,687,500,000 Shares issued (2022-2,257,116,920; 2021-2,248,577,848)	58,343	57,319
Retained earnings	149,825	154,209
Treasury stock, at cost (shares: 2022-1,351,024,943; 2021-1,350,509,249)	(169,484)	(169,392)
Accumulated other comprehensive income/(loss)	(16,740)	(23,234)
Total IBM stockholders' equity	21,944	18,901
Noncontrolling interests (Note A)	77	95
Total equity	22,021	18,996
Total liabilities and equity	$ 127,243	$ 132,001