International Business Machines Balance Sheet Health
Financial Health criteria checks 4/6
International Business Machines has a total shareholder equity of $24.1B and total debt of $55.7B, which brings its debt-to-equity ratio to 231.1%. Its total assets and total liabilities are $133.8B and $109.7B respectively. International Business Machines's EBIT is $10.0B making its interest coverage ratio 10.5. It has cash and short-term investments of $13.7B.
Key information
231.1%
Debt to equity ratio
US$55.71b
Debt
| Interest coverage ratio | 10.5x |
| Cash | US$13.69b |
| Equity | US$24.10b |
| Total liabilities | US$109.75b |
| Total assets | US$133.85b |
Recent financial health updates
No updates
Recent updates
Financial Position Analysis
Short Term Liabilities: IBM's short term assets ($33.3B) exceed its short term liabilities ($29.6B).
Long Term Liabilities: IBM's short term assets ($33.3B) do not cover its long term liabilities ($80.1B).
Debt to Equity History and Analysis
Debt Level: IBM's net debt to equity ratio (174.3%) is considered high.
Reducing Debt: IBM's debt to equity ratio has reduced from 410.5% to 231.1% over the past 5 years.
Debt Coverage: IBM's debt is well covered by operating cash flow (24.7%).
Interest Coverage: IBM's interest payments on its debt are well covered by EBIT (10.5x coverage).