International Business Machines (IBM) Stock Overview
Provides integrated solutions and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. More details
| Snowflake Score | |
|---|---|
| Valuation | 3/6 |
| Future Growth | 2/6 |
| Past Performance | 5/6 |
| Financial Health | 3/6 |
| Dividends | 5/6 |
IBM Community Fair Values
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Analyst Price Targets
Top Community Narratives
US$256.08
FV
1.2% undervalued intrinsic discount6.00%
Revenue growth p.a.
283
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International Business Machines Corporation Competitors
Price History & Performance
| Historical stock prices | |
|---|---|
| Current Share Price | US$252.97 |
| 52 Week High | US$324.90 |
| 52 Week Low | US$212.34 |
| Beta | 0.58 |
| 1 Month Change | -1.06% |
| 3 Month Change | -1.63% |
| 1 Year Change | -2.09% |
| 3 Year Change | 99.57% |
| 5 Year Change | 75.89% |
| Change since IPO | 1,549.36% |
Recent News & Updates
Seeking Alpha • 14h
Wall Street Lunch: Washington Advances Quantum Race With $2B CHIPS Funding
Summary The U.S. government is investing over $2B in quantum computing firms, taking minority stakes and accelerating domestic quantum chip manufacturing. IBM is launching Anderson, a standalone quantum foundry, while GlobalFoundries receives $375M to expand its quantum unit. Walmart issues cautious guidance below consensus, while Ralph Lauren posts strong Q4 results and upbeat outlook. OpenAI may pursue a record-breaking $1T IPO, and SpaceX claims a $28.5T total addressable market driven by AI. Read the full article on Seeking Alpha
Narrative Update • May 18
IBM: Hybrid Cloud And AI Momentum Will Support Rebalanced Risk Profile
IBM's updated analyst price target of $335, down from $390, reflects a mix of reduced fair value and revenue growth assumptions, along with slightly lower discount rate and future P/E expectations, as analysts weigh recent target cuts against more balanced risk/reward views and valuation upgrades. Analyst Commentary Recent research on International Business Machines points to a split view, with several firms revising price targets lower while others highlight more balanced risk/reward and pockets of support for the stock.
New Narrative • May 12
IBM has transitioned from a traditional IT services provider into a hybrid cloud and AI platform leader
Below is a sell‑side / investment banking–style Investment Memorandum (IM) on International Business Machines Corporation (IBM) , structured as it would appear in a professional transaction or equity capital markets context. Investment Memorandum International Business Machines Corporation (NYSE: IBM) 1.Recent updates
Seeking Alpha • 14h
Wall Street Lunch: Washington Advances Quantum Race With $2B CHIPS Funding
Summary The U.S. government is investing over $2B in quantum computing firms, taking minority stakes and accelerating domestic quantum chip manufacturing. IBM is launching Anderson, a standalone quantum foundry, while GlobalFoundries receives $375M to expand its quantum unit. Walmart issues cautious guidance below consensus, while Ralph Lauren posts strong Q4 results and upbeat outlook. OpenAI may pursue a record-breaking $1T IPO, and SpaceX claims a $28.5T total addressable market driven by AI. Read the full article on Seeking AlphaNarrative Update • May 18
IBM: Hybrid Cloud And AI Momentum Will Support Rebalanced Risk Profile
IBM's updated analyst price target of $335, down from $390, reflects a mix of reduced fair value and revenue growth assumptions, along with slightly lower discount rate and future P/E expectations, as analysts weigh recent target cuts against more balanced risk/reward views and valuation upgrades. Analyst Commentary Recent research on International Business Machines points to a split view, with several firms revising price targets lower while others highlight more balanced risk/reward and pockets of support for the stock.New Narrative • May 12
IBM has transitioned from a traditional IT services provider into a hybrid cloud and AI platform leader
Below is a sell‑side / investment banking–style Investment Memorandum (IM) on International Business Machines Corporation (IBM) , structured as it would appear in a professional transaction or equity capital markets context. Investment Memorandum International Business Machines Corporation (NYSE: IBM) 1.
Narrative Update • Apr 30
IBM: Slowing Mainframe And Consulting Momentum Will Pressure AI Expectations
The analyst price target for International Business Machines has been reset lower to reflect a fair value move from about $223.21 to $201.51. Analysts factor in recent price target cuts, slightly softer modeled revenue growth and margins, and a more moderate future P/E, alongside several rating upgrades that cite more balanced risk and reasonable valuation.Narrative Update • Apr 15
IBM: Hybrid Cloud And AI Will Offset Mainframe And Consulting Concerns
Analysts have trimmed their average price target for International Business Machines by a mid double digit dollar amount, reflecting a mix of reduced expectations for mainframe and consulting momentum, alongside continued interest in IBM's hybrid cloud and AI opportunities. Analyst Commentary Recent Street research on International Business Machines shows a mix of reduced price targets alongside pockets of more constructive commentary, especially around hybrid cloud, AI and mainframe resilience.
New Narrative • Apr 06
International Business Machines (IBM): The "Blue Chip" Transformation into the AI Hybrid Backbone
International Business Machines (IBM) , the foundational architect of the computing age, closed the April 2, 2026, session at $248.16 USD on the NYSE. As of today, April 6, 2026, IBM has shed its "legacy" label to emerge as a dominant force in the enterprise AI and hybrid cloud sectors.Narrative Update • Apr 01
IBM: Hybrid Cloud And AI Platforms Will Reshape Mainframe Reliance
Analysts have trimmed their average price targets on IBM by a wide range, including cuts of $34 and $60 alongside multiple earlier increases of $5 to $52, while keeping fair value at $390.0. They are weighing slower mainframe and consulting trends against broader hybrid cloud and AI opportunities, as well as a slightly lower assumed discount rate and P/E multiple in current models. Analyst Commentary Recent research on International Business Machines shows a mix of caution on mainframe and consulting trends alongside clear pockets of optimism around hybrid cloud, AI and the company’s broader software franchise.Narrative Update • Mar 18
IBM: Hybrid Cloud And AI Execution Will Drive Repricing Potential
Analysts have kept the average price target for International Business Machines steady at $390.00. Recent research points to a more balanced risk/reward profile, as AI related competitive concerns around the Z mainframe platform and slower expectations for mainframe and consulting growth are weighed against ongoing interest in IBM's hybrid cloud, AI, automation and data offerings.Narrative Update • Mar 04
IBM: Mainframe And Consulting Execution Will Shape AI Upside And Downside
The analyst price target for International Business Machines has been reduced by about $9 to reflect a slightly higher discount rate and only modest adjustments to long term growth and margin assumptions, as analysts balance recent upgrades and target increases with concerns about slower mainframe and consulting momentum. Analyst Commentary Recent research on International Business Machines reflects a mixed backdrop, with some firms turning more constructive after earlier target hikes and a sharp 2026 share price pullback, and others flagging execution and growth risks around key businesses such as mainframe infrastructure and consulting.Narrative Update • Feb 17
IBM: Execution Risks Around Confluent Integration Will Define Future Downside
Analysts have raised their price targets on International Business Machines, supporting a fair value increase from $198.00 to approximately $232.21. They attribute this change to updated assumptions regarding revenue growth, margins, and future P/E multiples.Narrative Update • Feb 03
IBM: Broad Price Reset Will Highlight Confluent Deal And AI Initiatives
The analyst price target for International Business Machines has been raised from US$350 to US$390, reflecting updated assumptions around discount rates, margins and future P/E, alongside a broad wave of recent price target increases from multiple research firms. Analyst Commentary Bullish analysts have been lifting their price targets on International Business Machines in quick succession, with several moves clustered around the same dates.
Narrative Update • Jan 20
IBM: Quantum And Software Execution Will Drive Returns Through Workforce Shift
Analysts have nudged their fair value estimate for International Business Machines higher to about $302 from roughly $294, citing updated long term assumptions on revenue growth, profitability, and future P/E multiples that reflect recent price target moves and emerging views on quantum computing and software performance. Analyst Commentary Recent Street research on International Business Machines highlights a split view, with some analysts leaning into upside tied to quantum computing and recent acquisitions, while others focus on execution risks in core software and the timeline needed to support higher valuation multiples.Narrative Update • Jan 06
IBM: Quantum Potential And Software Execution Will Shape Returns Through Workforce Shift
Analysts made only a modest adjustment to their price targets on International Business Machines, balancing mixed views on near term software momentum with the longer term potential in areas such as quantum computing and higher margin revenue streams. Analyst Commentary Recent research paints a mixed picture for International Business Machines, with some analysts more focused on long term optionality in quantum and others keying in on near term software execution and valuation.Narrative Update • Dec 17
IBM: Quantum Optionality And Software Execution Will Drive Returns Amid Workforce Shift
Analysts have nudged their fair value estimate for International Business Machines slightly higher, lifting the price target by about $3 to reflect steady core software execution, improving long term quantum revenue optionality, and modestly richer earnings multiples, despite only incremental changes to growth and margin assumptions. Analyst Commentary Recent Street research presents a mixed but generally constructive view on IBM, with several bullish analysts lifting price targets on the back of solid execution in software, consulting, and emerging quantum capabilities, while more cautious voices point to valuation and growth hurdles that still need to be cleared.Narrative Update • Dec 03
IBM: Quantum And Software Execution Will Shape Returns Amid Workforce Shift
Analysts have nudged their fair value estimate for International Business Machines slightly higher to about $291 per share, reflecting modestly faster projected revenue growth, a small expansion in profit margins, and increasing conviction in IBM's long term quantum computing and software execution potential despite mixed near term business trends. Analyst Commentary Street research around IBM highlights a nuanced backdrop in which near term fundamental questions, particularly in core software, coexist with rising confidence in the longer term quantum and automation opportunity set.Narrative Update • Nov 18
IBM: Prospects Will Depend On Execution In Quantum And Software Amid Restructuring
The average analyst price target for International Business Machines has been adjusted slightly upward. This change reflects a combination of improved software performance, solid consulting and margin results, and a more optimistic view of IBM's long-term prospects in quantum computing and automation technologies.Narrative Update • Nov 04
IBM: Quantum Leadership And Software Execution Will Shape Performance Amid Key Challenges
The consensus analyst price target for International Business Machines has decreased slightly by $0.61. Analysts point to moderating software growth and persistent challenges in key segments, despite continued leadership in quantum computing.Narrative Update • Oct 21
Analysts Raise IBM Price Target Citing Software Growth and Quantum Computing Leadership Amid Mixed Outlook
Analysts have raised their fair value estimate for International Business Machines from $281.32 to $287.70 per share. This change reflects expectations for stronger organic software growth and IBM's ongoing leadership in quantum computing, despite concerns about valuation and industry-average revenue growth.Analysis Article • Aug 20
Estimating The Intrinsic Value Of International Business Machines Corporation (NYSE:IBM)
Key Insights International Business Machines' estimated fair value is US$271 based on 2 Stage Free Cash Flow to Equity...Seeking Alpha • Apr 24
Wall Street Breakfast Podcast: Big Slide For Big Blue
Summary IBM's Q1 results showed strong software revenue growth but were overshadowed by consulting declines and DOGE-related concerns. Gold steadied after a significant drop, presenting a dip buying opportunity, with central banks likely to support prices. Tesla's supervised FSD ride-hailing service is live for employees in Austin and the Bay Area. Read the full article on Seeking AlphaSeeking Alpha • Apr 18
IBM Acquiring Hakkoda Enhances Its Transformation From It's Legacy Businesses
Summary IBM's transformation into a leader in cloud, consulting, and AI has driven strong returns, with the Hakkoda acquisition enhancing its data transformation services. Despite competition from giants like Amazon, Microsoft, and Alphabet, IBM's strategic focus on AI and cloud positions it well for future growth. IBM's financial health is robust, with increasing revenue, profitability, and a strong dividend yield, making it an attractive investment. Projected EPS growth of 14.3% over the next two years and strategic acquisitions suggest IBM is undervalued and poised for continued success. Read the full article on Seeking AlphaNew Narrative • Apr 08
Generative AI And Z17 Launch Will Mitigate Geopolitical Risks
Geopolitical tensions and supply chain issues may hinder IBM's revenue growth and margins due to global business uncertainties.New Narrative • Apr 08
Generative AI And Z17 Launch Will Unlock New Potential
IBM's AI initiatives and strategic acquisitions are set to drive substantial revenue growth in its Software and Consulting segments.Seeking Alpha • Apr 05
IBM: Is The Stock Price Overvalued?
Summary IBM's valuation ratios indicate potential overvaluation, but expected revenue recovery and improving FCF growth may justify higher P/S multiples. Our DCF model shows a 19% upside for IBM, driven by hybrid cloud expansion, watsonx AI, and synergies between hybrid cloud and consulting. Despite historical underperformance, IBM's Software segment and hybrid cloud business are projected to support higher profitability margins and sustained growth. We upgraded IBM's price target to $299.57, reflecting higher margin growth and terminal value based on a 5-year average EV/EBITDA. Read the full article on Seeking AlphaSeeking Alpha • Mar 16
IBM: Steady In A Downturn
Summary IBM's strategic pivot under CEO Arvind Krishna has positioned it in growth areas like AI and hybrid cloud, enhancing its business performance and investor appeal. IBM's stock has shown resilience and outperformance, offering a defensive hedge against broader tech sector volatility, with a 14% YTD return versus Nasdaq's 7% decline. Impressive Q4 earnings with solid revenue growth, margin expansion, and a $12.7B FCF, alongside a strong AI business, bolster IBM's investment case. Despite a high valuation and leverage concerns, IBM's structural shift to software and recurring revenue supports a buy rating due to sustained performance and growth potential. Read the full article on Seeking AlphaShareholder Returns
| IBM | US IT | US Market | |
|---|---|---|---|
| 7D | 15.8% | 6.7% | -0.8% |
| 1Y | -2.1% | -6.7% | 27.1% |
Return vs Industry: IBM exceeded the US IT industry which returned -6.7% over the past year.
Return vs Market: IBM underperformed the US Market which returned 27.1% over the past year.
Price Volatility
| IBM volatility | |
|---|---|
| IBM Average Weekly Movement | 6.9% |
| IT Industry Average Movement | 10.8% |
| Market Average Movement | 7.2% |
| 10% most volatile stocks in US Market | 16.3% |
| 10% least volatile stocks in US Market | 3.2% |
Stable Share Price: IBM has not had significant price volatility in the past 3 months compared to the US market.
Volatility Over Time: IBM's weekly volatility (7%) has been stable over the past year.
About the Company
| Founded | Employees | CEO | Website |
|---|---|---|---|
| 1911 | 264,300 | Arvind Krishna | www.ibm.com |
International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers hybrid cloud and AI platforms that allow clients to realize their digital and AI transformations across the applications, data, and environments in which they operate.
International Business Machines Corporation Fundamentals Summary
| IBM fundamental statistics | |
|---|---|
| Market cap | US$211.47b |
| Earnings (TTM) | US$10.73b |
| Revenue (TTM) | US$68.91b |
22.2x
P/E Ratio3.5x
P/S RatioIs IBM overvalued?
See Fair Value and valuation analysisEarnings & Revenue
| IBM income statement (TTM) | |
|---|---|
| Revenue | US$68.91b |
| Cost of Revenue | US$28.27b |
| Gross Profit | US$40.22b |
| Other Expenses | US$29.48b |
| Earnings | US$10.73b |
Last Reported Earnings
Mar 31, 2026
Next Earnings Date
Jul 22, 2026
| Earnings per share (EPS) | 11.42 |
| Gross Margin | 58.36% |
| Net Profit Margin | 15.58% |
| Debt/Equity Ratio | 197.3% |
How did IBM perform over the long term?
See historical performance and comparisonDividends
2.7%
Current Dividend Yield59%
Payout RatioDoes IBM pay a reliable dividends?
See IBM dividend history and benchmarks| International Business Machines dividend dates | |
|---|---|
| Ex Dividend Date | May 08 2026 |
| Dividend Pay Date | Jun 10 2026 |
| Days until Ex dividend | 14 days |
| Days until Dividend pay date | 19 days |
Does IBM pay a reliable dividends?
See IBM dividend history and benchmarksCompany Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2026/05/21 09:24 |
| End of Day Share Price | 2026/05/21 00:00 |
| Earnings | 2026/03/31 |
| Annual Earnings | 2025/12/31 |
Data Sources
The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.
| Package | Data | Timeframe | Example US Source * |
|---|---|---|---|
| Company Financials | 10 years |
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| Analyst Consensus Estimates | +3 years |
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| Market Prices | 30 years |
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| Ownership | 10 years |
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| Management | 10 years |
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| Key Developments | 10 years |
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* Example for US securities, for non-US equivalent regulatory forms and sources are used.
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more.
Analysis Model and Snowflake
Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.
Learn about the world class team who designed and built the Simply Wall St analysis model.
Industry and Sector Metrics
Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on Github.
Analyst Sources
International Business Machines Corporation is covered by 51 analysts. 20 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.
| Analyst | Institution |
|---|---|
| James Kelleher | Argus Research Company |
| Benjamin Reitzes | Barclays |
| Josep Bori | Berenberg |