International Business Machines Corporation
IBM
$248.16
+2.06%
International Business Machines Corporation (IBM) is a global technology company providing software, IT consulting services, and hardware. It is a long-established leader in enterprise technology, with core advantages in hybrid cloud, AI, and serving a vast Fortune 500 client base.…
IBM
International Business Machines Corporation
$248.16
Related headlines
IBM 12-Month Price Forecast
Wall Street consensus
Most Wall Street analysts maintain a constructive view on International Business Machines Corporation's 12-month outlook, with a consensus price target around $322.61 and implied upside of +30.0% versus the current price.
Average Target
$322.61
5 analysts
Implied Upside
+30.0%
vs. current price
Analyst Count
5
covering this stock
Price Range
$199 - $323
Analyst target range
No sufficient analyst coverage available.
IBM Technical Analysis
The stock has experienced significant weakness over the past six months, declining 15.46% from October 2025 levels. This downtrend accelerated in the last three months, with the price falling 18.17%, underperforming the broader market significantly as indicated by a -13.54% relative strength. The stock is currently trading at $242.39, which is near the lower end of its 52-week range of $214.50 to $324.90, representing a drawdown of approximately 29.09% from its high. While the stock showed a modest gain of 0.91% over the past month, this short-term bounce has not reversed the dominant bearish trend established since late 2025.
Beta
0.71
0.71x market volatility
Max Drawdown
-29.1%
Largest decline past year
52-Week Range
$215-$325
Price range past year
Annual Return
-0.7%
Cumulative gain past year
| Period | IBM Return | S&P 500 |
|---|---|---|
| 1m | +1.2% | -3.6% |
| 3m | -14.9% | -4.0% |
| 6m | -13.9% | -2.0% |
| 1y | -0.7% | +16.2% |
| ytd | -14.9% | -3.8% |
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IBM Fundamental Analysis
Revenue in Q4 2025 was $19.69 billion, showing a 12.15% year-over-year growth from the prior-year quarter. Profitability has improved significantly, with the net income margin reaching 28.45% in Q4 2025, a substantial recovery from the -2.20% margin in Q3 2024. The company's financial health shows a high degree of leverage, with a debt-to-equity ratio of 2.06, but it maintains a strong trailing twelve-month free cash flow of $12.28 billion. Operational efficiency is robust, with a return on equity (ROE) of 32.45% and a return on assets (ROA) of 5.44% as of the latest data, indicating effective use of capital.
Quarterly Revenue
$19.7B
2025-12
Revenue YoY Growth
+0.12%
YoY Comparison
Gross Margin
+0.61%
Latest Quarter
Free Cash Flow
$12.3B
Last 12 Months
Revenue & Net Income Trends (2 Years)
Revenue Breakdown
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Valuation Analysis: Is IBM Overvalued?
Given the company's positive net income, the primary valuation metric is the price-to-earnings (P/E) ratio. IBM's trailing P/E ratio is 26.07, while its forward P/E is 18.09, suggesting the market expects earnings growth. The price-to-sales (P/S) ratio is 4.09, and the enterprise value-to-sales (EV/Sales) is 4.11. Peer comparison data is not available in the provided inputs.
PE
26.1x
Latest Quarter
vs. Historical
High-End
5-Year PE Range -155x~55x
vs. Industry Avg
N/A
Industry PE ~N/A*
EV/EBITDA
19.1x
Enterprise Value Multiple

