AlphaStocks
3.4
Weak

INTERNATIONAL BUSINESS MACHINES CORP (IBM)

Information Technology / IT Consulting & Other Services

S&P 500

$229.00

Scores poorly across most models. Proceed with caution.

Weak

Score based on 4 of 5 models — moderate confidence

#950out of 1126 in Information Technology

Is INTERNATIONAL BUSINESS MACHINES CORP a Good Investment in 2026?

INTERNATIONAL BUSINESS MACHINES CORP (IBM) scores 3.4 out of 10 on AlphaStocks' composite model, earning a Weak rating. The Piotroski model rates INTERNATIONAL BUSINESS MACHINES CORP as Attractive (5/9). However, the Graham model rates it Caution — Significantly above fair value. INTERNATIONAL BUSINESS MACHINES CORP currently trades below its estimated fair value of $343, suggesting potential upside. INTERNATIONAL BUSINESS MACHINES CORP ranks #950 out of 1126 stocks in the Information Technology sector.

This summary is algorithmically generated and is not financial advice.

Key Metrics

P/E20.5ROE35.0Market Cap218BDiv Yield2.8

Estimated Fair Value

$343.4733% below

Fair value above market price. EPS grew 74% year-over-year. ROE of 35% signals strong profitability. P/E of 21x is moderate for this quality level.

Model-based estimate, not a price target.

5-Model Analysis

Each model evaluates this stock from a different angle. Combined, they form the composite score above.

Piotroski

Attractive

5/9

Buffett

Attractive

Business quality & competitive moat

Graham

Caution

Significantly above fair value

Lynch

Neutral

Growth rate vs price (PEG)

Greenblatt

Attractive

Top half (rank 40%)

Frequently Asked Questions

Is INTERNATIONAL BUSINESS MACHINES CORP (IBM) a good investment?
Based on AlphaStocks' composite analysis, INTERNATIONAL BUSINESS MACHINES CORP (IBM) scores 3.4 out of 10, earning a Weak rating. This score is below average, suggesting caution. Fair value above market price. EPS grew 74% year-over-year. ROE of 35% signals strong profitability. P/E of 21x is moderate for this quality level.
What is INTERNATIONAL BUSINESS MACHINES CORP's Piotroski F-Score?
INTERNATIONAL BUSINESS MACHINES CORP's Piotroski F-Score status is Attractive. The raw score is 5/9. The Piotroski F-Score evaluates financial health using 9 fundamental signals including profitability, leverage, and operating efficiency.
Is IBM overvalued or undervalued?
Based on AlphaStocks' model-based fair value estimate of $343, IBM appears undervalued. The stock currently trades 33% below its estimated fair value. Fair value above market price. EPS grew 74% year-over-year. ROE of 35% signals strong profitability. P/E of 21x is moderate for this quality level.
How does IBM compare to other Information Technology stocks?
INTERNATIONAL BUSINESS MACHINES CORP ranks #950 out of 1126 stocks in the Information Technology sector, placing it in the top 84% of its sector by composite score. There are higher-ranked alternatives in this sector worth exploring.
What do investment models say about IBM?
AlphaStocks evaluates IBM using five proven investment models. Piotroski: Attractive; Buffett: Attractive; Graham: Caution; Lynch: Neutral; Greenblatt Magic Formula: Attractive. These models are combined into a single composite score of 3.4/10.

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Scores are algorithm-generated research tools, not investment recommendations. Past performance does not guarantee future results. Always do your own due diligence. Full disclaimer