What International Business Machines (IBM) Investors Need to Know

By Harris Dyer • Friday, December 15 10:45 • Permanent Link

More and more people are talking about International Business Machines over the last few weeks. Is it worth buying the Computer Hardware stock at a price of $163.37? Only time will tell. The information below will give you a basic idea of what this investment may entail:

International Business Machines has moved 16.2% over the last year, and the S&P 500 logged a change of 22.5%
IBM has an average analyst rating of hold and is 11.23% away from its mean target price of $146.87 per share
Its trailing earnings per share (EPS) is $7.75
International Business Machines has a trailing 12 month Price to Earnings (P/E) ratio of 21.1 while the S&P 500 average is 15.97
Its forward earnings per share (EPS) is $9.92 and its forward P/E ratio is 16.5
The company has a Price to Book (P/B) ratio of 6.46 in contrast to the S&P 500's average ratio of 2.95
International Business Machines is part of the Technology sector, which has an average P/E ratio of 35.0 and an average P/B of 7.92
The company has a free cash flow of $10.81 Billion, which refers to the total sum of all its inflows and outflows of cash over the last quarter
International Business Machines Corporation, together with its subsidiaries, 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; 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 has collaboration agreement with Siemens Digital Industri Software to develop a combined software solution. 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.

The above analysis is intended for educational purposes only and was performed on the basis of publicly available data. It is not to be construed as a recommendation to buy or sell any security. Any buy, sell, or other recommendations mentioned in the article are direct quotations of consensus recommendations from the analysts covering the stock, and do not represent the opinions of Market Inference or its writers. Past performance, accounting data, and inferences about market position and corporate valuation are not reliable indicators of future price movements. Market Inference does not provide financial advice. Investors should conduct their own review and analysis of any company of interest before making an investment decision.