International Business Valuation

IBM Stock  USD 294.31  20.42  6.49%   
At this time, the firm appears to be undervalued. International Business retains a regular Real Value of $311.49 per share. The prevalent price of the firm is $294.31. Our model calculates the value of International Business from evaluating the firm fundamentals such as Current Valuation of 336.87 B, return on asset of 0.0508, and Return On Equity of 0.35 as well as inspecting its technical indicators and probability of bankruptcy. Key fundamental drivers impacting International Business' valuation include:
Price Book
8.781
Enterprise Value
336.9 B
Enterprise Value Ebitda
19.4905
Price Sales
4.3561
Forward PE
24.8756
Undervalued
Today
294.31
Please note that International Business' price fluctuation is very steady at this time. Calculation of the real value of International Business is based on 3 months time horizon. Increasing International Business' time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
The fair value of the International stock is determined by what a typical buyer is willing to pay for full or partial control of International Business Machines. Since International Business is currently traded on the exchange, buyers and sellers on that exchange determine the market value of International Stock. However, International Business' intrinsic value may or may not be the same as its current market price, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value.
Historical Market  294.31 Real  311.49 Target  324.95 Hype  294.31 Naive  297.95
The intrinsic value of International Business' stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence International Business' stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
264.88
Downside
311.49
Real Value
313.44
Upside
Estimating the potential upside or downside of International Business Machines helps investors to forecast how International stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of International Business more accurately as focusing exclusively on International Business' fundamentals will not take into account other important factors:
Earnings
Estimates
LowProjectedHigh
1.761.811.85
Details
Hype
Prediction
LowEstimatedHigh
292.36294.31296.26
Details
Potential
Annual Dividend
LowForecastedHigh
3.813.914.01
Details
22 Analysts
Consensus
LowTarget PriceHigh
295.70324.95360.69
Details
Traditionally, analysts and sophisticated investors use multiple methods for valuing a cash-flow-generating entity or its stock. For example, some money managers use International Business' intrinsic value based on its ongoing forecasts of International Business' financial statements. In contrast, other private, professional wealth advisors use a multiplier approach by looking to relative value analysis against International Business' closest peers.

International Business Cash

9.22 Billion

International Revenue by Product

International Business Total Value Analysis

International Business Machines is currently forecasted to have company total value of 336.87 B with market capitalization of 294.19 B, debt of 119.23 B, and cash on hands of 13.59 B. Please note that company total value may be misleading and is a subject to accounting gimmicks. We encourage investors to carefully check all of the International Business fundamentals before making security assessment based on enterprise value of the company
  Takeover PriceMarket CapDebt ObligationsCash
336.87 B
294.19 B
119.23 B
13.59 B

International Business Investor Information

About 64.0% of the company shares are owned by institutional investors. The company has Price/Earnings To Growth (PEG) ratio of 2.64. International Business recorded earning per share (EPS) of 11.14. The entity last dividend was issued on the 10th of February 2026. The firm had 1046:1000 split on the 4th of November 2021. Based on the key indicators related to International Business' liquidity, profitability, solvency, and operating efficiency, International Business Machines is performing exceptionally good at this time. It has a great probability to report excellent financial results in March.
Current ValueLast YearChange From Last Year 10 Year Trend
Operating Profit Margin0.110.1565
Way Down
Slightly volatile
Total Cash From Operating Activities15 B13.2 B
Fairly Up
Slightly volatile
Operating Income11.9 B10.3 B
Fairly Up
Slightly volatile

International Business Asset Utilization

The asset utilization indicator refers to the revenue earned for every dollar of assets a company currently reports. International Business has an asset utilization ratio of 44.47 percent. This suggests that the Company is making $0.44 for each dollar of assets. An increasing asset utilization means that International Business Machines is more efficient with each dollar of assets it utilizes for everyday operations.
 
Black Monday
 
Oil Shock
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes

International Business Profitability Analysis

Based on International Business' profitability indicators, International Business' profitability may be sliding down. It has an above-average probability of reporting lower numbers next quarter. Profitability indicators assess International Business' ability to earn profits and add value for shareholders.
 
Net Income  
First Reported
1985-09-30
Previous Quarter
1.7 B
Current Value
5.6 B
Quarterly Volatility
1.7 B
 
Black Monday
 
Oil Shock
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
As of the 4th of February 2026, Net Profit Margin is likely to grow to 0.16, while Gross Profit is likely to drop about 40 B.
Current ValueLast YearChange From Last Year 10 Year Trend
Gross Profit Margin0.530.5819
Significantly Down
Slightly volatile
Net Profit Margin0.160.1569
Fairly Up
Slightly volatile
Operating Profit Margin0.110.1565
Way Down
Slightly volatile
Pretax Profit Margin0.0960.1529
Way Down
Slightly volatile
Return On Assets0.05510.0395
Significantly Up
Slightly volatile
Return On Equity0.270.2
Significantly Up
Slightly volatile
For International Business profitability analysis, we use financial ratios and fundamental drivers that measure the ability of International Business to generate income relative to revenue, assets, operating costs, and current equity. These fundamental indicators attest to how well International Business utilizes its assets to generate profit and value for its shareholders. The profitability module also shows relationships between International Business's most relevant fundamental drivers. It provides multiple suggestions of what could affect the performance of International Business over time as well as its relative position and ranking within its peers.

International Business Earnings per Share Projection vs Actual

The next projected EPS of International Business is estimated to be 1.81 with future projections ranging from a low of 1.76 to a high of 1.85. International Business' most recent 12-month trailing earnings per share (EPS TTM) is at 11.14. Please be aware that the consensus of earnings estimates for International Business Machines is based on EPS before non-recurring items and includes expenses related to employee stock options.
 
Dot-com Bubble
 
Housing Crash
 
Credit Downgrade
 
Yuan Drop
 
Covid
 
Interest Hikes
International Business is projected to generate 1.81 in earnings per share on the 31st of March 2026. International Business earnings estimates show analyst consensus about projected International Business EPS (Earning Per Share). It derives the highest and the lowest estimates based on International Business' historical volatility. Many public companies, such as International Business, manage the perception of their earnings on a regular basis to make sure that analyst estimates are accurate. Future earnings calculations are also an essential input when attempting to value a firm.

International Business Earnings Estimation Breakdown

The calculation of International Business' earning per share is based on the data from the past 12 consecutive months, used for reporting the company's financial figures. The next projected EPS of International Business is estimated to be 1.81 with the future projection ranging from a low of 1.76 to a high of 1.85. Please be aware that this consensus of annual earnings estimates for International Business Machines is based on EPS before non-recurring items and includes expenses related to employee stock options.
Last Reported EPS
4.52
1.76
Lowest
Expected EPS
1.81
1.85
Highest

International Business Earnings Projection Consensus

Suppose the current estimates of International Business' value are higher than the current market price of the International Business stock. In this case, investors may conclude that International Business is overpriced and will exhibit bullish sentiment. On the other hand, if the present value is lower than the stock price, analysts may conclude that the market undervalues the equity. These scenarios may suggest that the market is not as efficient as it should be at the estimation time, and International Business' stock will quickly adjusts to the new information provided by the consensus estimate.
Number of AnalystsHistorical AccuracyLast Reported EPSEstimated EPS for 31st of March 1226Current EPS (TTM)
2195.0%
4.52
1.81
11.14

International Business Ownership Allocation

International Business Machines has a total of 934.74 Million outstanding shares. Over half of International Business' outstanding shares are owned by outside corporations. These outside corporations are typically referred to as corporate investors that purchase positions in a given instrument to benefit from reduced trade commissions. Please note that on January 22, 2026, Representative David Taylor of US Congress acquired under $15k worth of International Business's common stock.

International Business Profitability Analysis

The company reported the last year's revenue of 67.53 B. Total Income to common stockholders was 10.57 B with profit before taxes, overhead, and interest of 39.3 B.

International Business Past Distributions to stockholders

About International Business Valuation

We use absolute and relative valuation methodologies to arrive at the intrinsic value of International Business Machines. In general, an absolute valuation paradigm, as applied to this company, attempts to find the value of International Business based exclusively on its fundamental and basic technical indicators. By analyzing International Business's financials, quarterly and monthly indicators, and their related drivers, we attempt to find the most accurate representation of International Business's intrinsic value. As compared to an absolute model, our relative valuation model uses a comparative analysis of International Business. We calculate exposure to International Business's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of International Business's related companies.
Last ReportedProjected for Next Year
Gross Profit40.2 B40 B
Pretax Profit Margin 0.15  0.10 
Operating Profit Margin 0.16  0.11 
Net Profit Margin 0.16  0.16 
Gross Profit Margin 0.58  0.53 

International Business Quarterly Retained Earnings

155.65 Billion

International Business' stock price is the clearest measure of market expectations about its performance. Without stock valuation, investors cannot independently discern whether International Business' value is low or high relative to the company's performance and growth projections. Determining the market value of International Business can be done in different ways, such as multiplying its stock price by its outstanding shares.
A single share of International Business represents a small ownership stake in the entity. As a stockholder of International, your percentage of company ownership is determined by dividing the number of shares you own by the total number of shares outstanding and then multiplying that amount by 100. Owning stock in a company generally confers both corporate voting rights and income from any dividends paid to the stock owner.

International Business Dividends Analysis For Valuation

As of the 4th of February 2026, Dividend Payout Ratio is likely to grow to 0.62, while Dividends Paid is likely to drop about 3.4 B. . As of the 4th of February 2026, Price Earnings To Growth Ratio is likely to grow to 0.37, while Retained Earnings are likely to drop about 82.3 B.
Last ReportedProjected for Next Year
Dividends Paid6.3 B3.4 B
Dividend Yield 0.02  0.02 
Dividend Payout Ratio 0.59  0.62 
Dividend Paid And Capex Coverage Ratio 2.11  1.46 
There are various types of dividends International Business can pay to its shareholders, and the actual value of the dividend is determined on a per-share basis. It is to be paid equally to all of International shareholders on a specific date, known as the payable date. The cash dividend is the most common type of dividend payment - it is the payment of actual cash from International Business Machines directly to its shareholders. There are other types of dividends that companies can issue, such as stock dividends or asset dividends. When International pays a dividend, it has no impact on its enterprise value. It does, however, lowers the Equity Value of International Business by the value of the dividends paid out.

International Business Growth Indicators

Investing in growth stocks can be very risky. If the company such as International Business does not do well, investors take a loss on the stock when it is time to sell. Also, because growth stocks typically do not pay dividends, the only opportunity an investor has to make money on their investment is when they eventually sell their shares.
Common Stock Shares Outstanding948.7 M
Quarterly Earnings Growth Y O Y0.9
Forward Price Earnings24.8756

International Business Current Valuation Indicators

International Business' valuation analysis is a process of estimating the intrinsic value of all assets and outstanding equities. There are different methodologies and models we use to develop the final International Business' valuation. The techniques such as discounted cash flow and fundamental indicators such as book value per share or market capitalization are well known and widely used across most financial advisers and money managers.
Valuations are an essential part of business, for companies themselves, but also for investors. For companies, such as International Business, valuations can help measure their progress and success and can help them track their performance in the market compared to others. In addition, investors can use International Business' valuations to help determine the worth of potential investments. They can do this by using data and information made public by a company. Regardless of who the valuation is for, it essentially describes International Business' worth.
When determining whether International Business is a strong investment it is important to analyze International Business' competitive position within its industry, examining market share, product or service uniqueness, and competitive advantages. Beyond financials and market position, potential investors should also consider broader economic conditions, industry trends, and any regulatory or geopolitical factors that may impact International Business' future performance. For an informed investment choice regarding International Stock, refer to the following important reports:
Check out Risk vs Return Analysis to better understand how to build diversified portfolios, which includes a position in International Business Machines. Also, note that the market value of any company could be closely tied with the direction of predictive economic indicators such as signals in bureau of labor statistics.
You can also try the USA ETFs module to find actively traded Exchange Traded Funds (ETF) in USA.
Will IT Consulting & Other Services sector continue expanding? Could International diversify its offerings? Factors like these will boost the valuation of International Business. Market participants price International higher when confident in its future expansion prospects. Accurate valuation requires analyzing both current fundamentals and future growth trajectories. Every International Business data point contributes insight, yet successful analysis hinges on identifying the most consequential variables.
Quarterly Earnings Growth
0.9
Dividend Share
6.71
Earnings Share
11.14
Revenue Per Share
72.439
Quarterly Revenue Growth
0.122
International Business's market price often diverges from its book value, the accounting figure shown on International's balance sheet. Smart investors calculate International Business' intrinsic value - its true economic worth - which may differ significantly from both market price and book value. Seasoned market participants apply comprehensive analytical frameworks to derive fundamental worth and identify mispriced opportunities. Since International Business' trading price responds to investor sentiment, macroeconomic conditions, and market psychology, it can swing far from fundamental value.
Please note, there is a significant difference between International Business' value and its price as these two are different measures arrived at by different means. Investors typically determine if International Business is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, International Business' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.