Company Of The Day: IBM

-6.08%
Downside
188
Market
177
Trefis
IBM: International Business Machines logo
IBM
International Business Machines

What?

IBM (NYSE:IBM) posted a stronger than expected set of Q4 2021 earnings, with revenue rising 6% year-over-year to $16.70 billion and EPS coming in at $3.35.

Why?

Relevant Articles
  1. Up 21% In The Last Six Months, Will IBM Stock See Further Gains Post Q4?
  2. IBM Stock Gains 10% Over The Last Month On Strong Earnings, AI Progress. What’s Next?
  3. With Stock Down 1% YTD, Will Lackluster IT Spending Impact IBM’s Q3 Results?
  4. How Will IBM Stock Trend Post Q2 Earnings?
  5. How Will IBM Stock Trend Post Q1 Earnings?
  6. Forecast Of The Day: IBM Infrastructure Revenues

Growth was driven by the stronger performance of the software and consulting businesses.

So What?

We estimate IBM valuation at $142 per share, about 10% ahead of the current market price. This represents a P/EBITDA multiple of 12x for the company based on our forecast for IBM EBITDA for the current fiscal year.

See Our Complete Analysis For IBM

What if you’re looking for a more balanced portfolio instead? Here’s a high-quality portfolio that’s beaten the market consistently since the end of 2016.

 Returns Jan 2022
MTD [1]
2022
YTD [1]
2017-22
Total [2]
 IBM Return -4% -4% -22%
 S&P 500 Return -7% -7% 97%
 Trefis MS Portfolio Return -10% -10% 252%

[1] Month-to-date and year-to-date as of 1/25/2022
[2] Cumulative total returns since the end of 2016

Invest with Trefis Market Beating Portfolios
See all Trefis Price Estimates