International Business Machines Valuation
Is IBM * undervalued compared to its fair value, analyst forecasts and its price relative to the market?
Valuation Score
3/6Valuation Score 3/6
Below Fair Value
Significantly Below Fair Value
Price-To-Earnings vs Peers
Price-To-Earnings vs Industry
Price-To-Earnings vs Fair Ratio
Analyst Forecast
Share Price vs Fair Value
What is the Fair Price of IBM * when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.
Below Fair Value: IBM * (MX$2890) is trading below our estimate of fair value (MX$3132.06)
Significantly Below Fair Value: IBM * is trading below fair value, but not by a significant amount.
Key Valuation Metric
Which metric is best to use when looking at relative valuation for IBM *?
Other financial metrics that can be useful for relative valuation.
What is IBM *'s n/a Ratio? | |
---|---|
n/a | 0x |
n/a | n/a |
Market Cap | US$152.22b |
Key Statistics | |
---|---|
Enterprise Value/Revenue | 3.2x |
Enterprise Value/EBITDA | 13.6x |
PEG Ratio | 3.5x |
Price to Earnings Ratio vs Peers
How does IBM *'s PE Ratio compare to its peers?
Company | Forward PE | Estimated Growth | Market Cap |
---|---|---|---|
Peer Average | 26x | ||
TCS Tata Consultancy Services | 30.9x | 9.2% | ₹14.2t |
ACN Accenture | 27.4x | 10.3% | US$192.4b |
INFY Infosys | 22.4x | 5.7% | ₹5.9t |
HCLTECH HCL Technologies | 23.2x | 9.2% | ₹3.7t |
IBM * International Business Machines | 19x | 5.4% | Mex$152.2b |
Price-To-Earnings vs Peers: IBM * is good value based on its Price-To-Earnings Ratio (19x) compared to the peer average (26x).
Price to Earnings Ratio vs Industry
How does IBM *'s PE Ratio compare vs other companies in the Global IT Industry?
Price-To-Earnings vs Industry: IBM * is good value based on its Price-To-Earnings Ratio (19x) compared to the Global IT industry average (22.2x).
Price to Earnings Ratio vs Fair Ratio
What is IBM *'s PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.
Fair Ratio | |
---|---|
Current PE Ratio | 19x |
Fair PE Ratio | n/a |
Price-To-Earnings vs Fair Ratio: Insufficient data to calculate IBM *'s Price-To-Earnings Fair Ratio for valuation analysis.
Analyst Price Targets
What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?
Date | Share Price | Average 1Y Price Target | Dispersion | High | Low | 1Y Actual price | Analysts |
---|---|---|---|---|---|---|---|
Current | Mex$2,890.00 | Mex$3,058.63 +5.8% | 13.9% | Mex$3,648.66 | Mex$2,206.17 | n/a | 18 |
Apr ’25 | Mex$3,100.00 | Mex$3,097.40 -0.08% | 15.6% | Mex$3,731.62 | Mex$2,082.38 | n/a | 18 |
Mar ’25 | Mex$3,200.00 | Mex$3,092.78 -3.4% | 15.2% | Mex$3,828.94 | Mex$2,136.69 | n/a | 19 |
Feb ’25 | Mex$3,160.00 | Mex$3,050.06 -3.5% | 16.3% | Mex$3,827.38 | Mex$2,135.81 | n/a | 19 |
Jan ’25 | Mex$2,768.00 | Mex$2,574.00 -7.0% | 14.9% | Mex$3,565.84 | Mex$1,867.82 | n/a | 17 |
Dec ’24 | Mex$2,720.80 | Mex$2,558.48 -6.0% | 11.2% | Mex$3,126.06 | Mex$1,921.04 | n/a | 16 |
Nov ’24 | Mex$2,594.56 | Mex$2,654.86 +2.3% | 11.3% | Mex$3,252.14 | Mex$1,998.52 | n/a | 16 |
Oct ’24 | Mex$2,525.00 | Mex$2,510.12 -0.6% | 12.0% | Mex$3,212.96 | Mex$1,879.92 | n/a | 16 |
Sep ’24 | Mex$2,514.80 | Mex$2,473.33 -1.6% | 10.3% | Mex$2,996.07 | Mex$1,883.24 | n/a | 15 |
Aug ’24 | Mex$2,420.00 | Mex$2,435.59 +0.6% | 10.0% | Mex$2,947.12 | Mex$1,852.48 | n/a | 16 |
Jul ’24 | Mex$2,288.20 | Mex$2,398.13 +4.8% | 8.4% | Mex$2,787.92 | Mex$1,893.03 | n/a | 14 |
Jun ’24 | Mex$2,250.00 | Mex$2,470.63 +9.8% | 8.3% | Mex$2,884.04 | Mex$1,958.30 | n/a | 14 |
May ’24 | Mex$2,329.40 | Mex$2,508.20 +7.7% | 8.3% | Mex$2,912.74 | Mex$1,977.79 | Mex$2,890.00 | 14 |
Apr ’24 | Mex$2,350.90 | Mex$2,715.56 +15.5% | 9.0% | Mex$3,105.83 | Mex$2,070.55 | Mex$3,100.00 | 15 |
Mar ’24 | Mex$2,327.00 | Mex$2,693.84 +15.8% | 8.9% | Mex$3,072.47 | Mex$2,048.31 | Mex$3,200.00 | 15 |
Feb ’24 | Mex$2,501.55 | Mex$2,693.84 +7.7% | 8.9% | Mex$3,072.47 | Mex$2,048.31 | Mex$3,160.00 | 15 |
Jan ’24 | Mex$2,725.00 | Mex$2,782.34 +2.1% | 9.2% | Mex$3,255.47 | Mex$2,190.04 | Mex$2,768.00 | 15 |
Dec ’23 | Mex$2,865.00 | Mex$2,784.37 -2.8% | 8.5% | Mex$3,174.13 | Mex$2,202.05 | Mex$2,720.80 | 15 |
Nov ’23 | Mex$2,698.31 | Mex$2,784.37 +3.2% | 8.5% | Mex$3,174.13 | Mex$2,202.05 | Mex$2,594.56 | 15 |
Oct ’23 | Mex$2,404.10 | Mex$2,879.60 +19.8% | 8.9% | Mex$3,280.05 | Mex$2,253.78 | Mex$2,525.00 | 15 |
Sep ’23 | Mex$2,584.00 | Mex$2,872.26 +11.2% | 7.7% | Mex$3,241.48 | Mex$2,346.60 | Mex$2,514.80 | 15 |
Aug ’23 | Mex$2,692.55 | Mex$2,922.22 +8.5% | 7.5% | Mex$3,275.01 | Mex$2,415.32 | Mex$2,420.00 | 17 |
Jul ’23 | Mex$2,864.00 | Mex$2,901.71 +1.3% | 9.2% | Mex$3,338.21 | Mex$2,372.94 | Mex$2,288.20 | 17 |
Jun ’23 | Mex$2,751.00 | Mex$2,901.71 +5.5% | 9.2% | Mex$3,338.21 | Mex$2,372.94 | Mex$2,250.00 | 17 |
May ’23 | Mex$2,710.00 | Mex$2,897.53 +6.9% | 9.2% | Mex$3,319.87 | Mex$2,359.91 | Mex$2,329.40 | 17 |
Analyst Forecast: Target price is less than 20% higher than the current share price.