IBM

International Business Machines Corp

Add to Watchlist

Advanced Chart

259.720

-0.79(-0.303%)1D

Overview
Forecast
Valuation
Earnings

Line

Candle

YTD

High

260.800

Open

260.020

VWAP

258.96

Vol

7.76M

Mkt Cap

241.93B

Low

256.350

Amount

2.01B

EV/EBITDA(TTM)

19.80

Total Shares

918.60M

290.73B

EV/OCF(TTM)

21.89

P/S(TTM)

3.81

International Business Machines Corporation is a provider of global hybrid cloud and artificial intelligence (AI) and consulting expertise. The Company’s segments include Software, Consulting, Infrastructure and Financing. The Software segment includes hybrid cloud and AI platforms, which allow clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. The Consulting segment focuses on integrating skills on strategy, experience, technology and operations by domain and industry. The Infrastructure segment is focused on the hybrid cloud infrastructure market, providing on-premises and cloud-based server and storage solutions. In addition, it offers a portfolio of life-cycle services for hybrid cloud infrastructure deployment. The Financing segment provides client and commercial financing, facilitating its clients’ acquisition of hardware, software and services. It helps clients in more than 175 countries.

Market Estimates

Earnings Estimates

Revenue

YoY Chg

EPS

YoYChg

FY2026Q1

FY2025Q4

FY2025Q3

15.36B

+5.66%

1.849

+15.54%

19.16B

+9.13%

4.324

+10.31%

16.11B

+7.64%

2.450

+6.52%

Estimates Revision

The market is revising Upward the revenue expectations for International Business Machines Corporation (IBM) for FY2025, with the revenue forecasts being adjusted by 0.93% over the past three months. During the same period, the stock price has changed by 9.98%.

Revenue Estimates for FY2025

Revise Upward

+0.93%

In Past 3 Month

EPS Estimates for FY2025

Revise Upward

+1.23%

In Past 3 Month

Stock Price

Go Up

+9.98%

In Past 3 Month

15 Analyst Rating

4.87% Upside

Wall Street analysts forecast IBM stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for IBM is 272.36 USD with a low forecast of 170.00 USD and a high forecast of 325.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.

8 Buy

5 Hold

2 Sell

Moderate Buy

4.87% Upside

Current: 259.720

Low

170.00

Averages

272.36

High

325.00

4.87% Upside

Current: 259.720

Low

170.00

Averages

272.36

High

325.00

UBS

Sell

maintain

$195 -> $200

2025-07-24

New

Reason

UBS

Price Target

$195 -> $200

2025-07-24

New

maintain

Sell

Reason

UBS raised the firm's price target on IBM to $200 from $195 and keeps a Sell rating on the shares. IBM reported mixed Q2 results with pressure across verticals like Federal impacting "Consulting" offset by the widely expected launch of the z17 late in the quarter that effectively nets each other out, the analyst tells investors in a research note. UBS is concerned 5% growth in 2026 could be tougher to achieve without software M&A going forward.

BofA

Buy

downgrade

$320 -> $310

2025-07-24

New

Reason

BofA

Price Target

$320 -> $310

2025-07-24

New

downgrade

Buy

Reason

BofA lowered the firm's price target on IBM to $310 from $320 and keeps a Buy rating on the shares following "a mixed quarter" in which organic software deceleration was offset by strong contribution from better-than-expected Infrastructure results. While estimates are "likely headed higher," the more cyclical business doing better will likely constrain valuation in the near-term, the analyst tells investors in a post-earnings note. The firm thinks this has "turned into a show me story on software" in the second half, but remains bullish on the overall company trajectory, the analyst added.

JPMorgan

Neutral

maintain

$244 -> $290

2025-07-24

New

Reason

JPMorgan

Price Target

$244 -> $290

2025-07-24

New

maintain

Neutral

Reason

JPMorgan raised the firm's price target on IBM to $290 from $244 and keeps a Neutral rating on the shares. The firm raised the target following the Q2 report.

Jefferies

Hold

maintain

$265 -> $285

2025-07-21

New

Reason

Jefferies

Price Target

$265 -> $285

2025-07-21

New

maintain

Hold

Reason

Jefferies raised the firm's price target on IBM to $285 from $265 and keeps a Hold rating on the shares. The firm views the company's Q2 estimates as achievable due to accelerating software growth and improving fundamentals. Jefferies remains remain bullish on IBM's ability to sustain its software momentum but sees "mixed segment dynamics" for the company.

Jefferies

Brent Thill

Hold

maintain

$265 -> $280

2025-07-21

New

Reason

Jefferies

Brent Thill

Price Target

$265 -> $280

2025-07-21

New

maintain

Hold

Reason

Jefferies analyst Brent Thill raised the firm's price target on IBM to $280 from $265 and keeps a Hold rating on the shares. The firm views the company's Q2 estimates as achievable due to accelerating software growth and improving fundamentals. Jefferies remains remain bullish on IBM's ability to sustain its software momentum but sees "mixed segment dynamics" for the company.

BMO Capital

Market Perform

upgrade

$260 -> $300

2025-07-18

Reason

BMO Capital

Price Target

$260 -> $300

2025-07-18

upgrade

Market Perform

Reason

BMO Capital raised the firm's price target on IBM to $300 from $260 and keeps a Market Perform rating on the shares. The new Z17 can help drive growth over the next two fiscal years, the analyst tells investors in a research note. Over the longer term, BMO continues to think mainframe will have limited growth, as the firm does not envision IBM winning meaningful AI workloads.

See All Ratings

Valuation Metrics

The current forward P/E ratio for International Business Machines Corp (IBM.N) is 22.45, compared to its 5-year average forward P/E of 15.88. For a more detailed relative valuation and DCF analysis to assess International Business Machines Corp 's fair value, click here.

Forward PE

The forward P/E ratio is a valuation metric that divides a company's current stock price by its estimated future earnings per share over the next 12 months.

Overvalued

5Y Average PE

15.88

Current PE

22.45

Overvalued PE

19.56

Undervalued PE

12.19

Forward EV/EBITDA

The forward EV/EBITDA ratio is a valuation metric that divides a company's enterprise value (EV) by its estimated future earnings before interest, taxes, depreciation, and amortization (EBITDA) over the next 12 months.

Overvalued

5Y Average EV/EBITDA

11.50

Current EV/EBITDA

15.75

Overvalued EV/EBITDA

13.82

Undervalued EV/EBITDA

9.18

Forward PS

The forward P/S ratio is a valuation metric that divides a company's current stock price by its estimated future sales (or revenue) per share over the next 12 months.

Strongly Overvalued

5Y Average PS

2.24

Current PS

3.55

Overvalued PS

2.87

Undervalued PS

1.61