IBM

NYSE

INTERNATIONAL BUSINESS MACHINES CORP

Information Technology, IT Consulting & Other Services

$237.28

close 7 Aug 2026

+0.41%

52-week change

$223.55B

market cap

$199.19

$332.46

52-week range

Expected price

$265.66 – $324.69

Current price

$237.28

Signal

Could be undervalued

A historical-multiple reference, never a fair-value claim. The band uses only data public at each date and ends at the latest month — no forward estimates.

Current multiples

P/E (TTM)21.02x

P/S (TTM)3.24x

P/B6.49x

EV/EBITDA (TTM)19.00x

FCF yield (TTM)6.17%

PEG (TTM, GAAP)0.25

Context

P/E, own 5-year average38.97x

P/E, sector median37.34x*

Price at 5-year median P/E$289.42*

Indicated dividend yield2.85%

Forward — analyst consensus

Forward P/E (FY2026)19.25x*

Forward P/E (FY2027)18.01x

Forward PEG2.80*

Consensus EPS FY2026 (24 analysts)$12.33

EPS growth (FY2026→FY2027)6.88%

Revenue growth (FY2026)4.21%

Street view

Price target (mean)$244.16*

Target upside2.90%

Ratings (buy / hold / sell)14 / 9 / 2

FY2026 EPS revisions, 30d (up / down)6 / 12

5-year history

Dashed line: average of month-end values

P/E (TTM)

P/S (TTM)

P/B

FCF yield (TTM)

Dividend yield

period to 30 Jun 2026, filed 23 Jul 2026, close 7 Aug 2026

Discounted cash flow

Ten projected years plus a perpetuity, prefilled from filings — a model to argue with, never a fair-value claim.

Free cash flow, last ten years and TTM

5Y CAGR -4.93%10Y CAGR -1.22%

Assumptions

Growth rate, years 1–10%

Perpetual growth%Discount rate%

Base FCF$M

As filed — not assumptions

Current price$237.28

Cash & equivalents$7.17B

Total debt$61.98B

Shares outstanding942.13M

Result

DCF price per share$95.58

Current price$237.28

Margin of safety-59.72%

PV of years 1–10$73.07B

PV of terminal value$71.80B

Equity value$90.05B

Market-implied growth+3.52%

Projected FCF, years 1–10

Hover for PV and growth

Projection detail

Override growth for any year; blank years use the uniform rate

Year	2026	2027	2028	2029	2030	2031	2032	2033	2034	2035	Terminal
Growth, %											2.5
FCF	$13.11B	$12.46B	$11.85B	$11.27B	$10.71B	$10.18B	$9.68B	$9.20B	$8.75B	$8.32B	$155.01B
PV	$12.14B	$10.69B	$9.41B	$8.28B	$7.29B	$6.42B	$5.65B	$4.97B	$4.38B	$3.85B	$71.80B

period to 30 Jun 2026, filed 23 Jul 2026, close 7 Aug 2026