International Business Machines Corporation (IBM)

Information Technology Services · Technology · $255.9B

undervalued
Intrinsic Value (Consensus)
$310.89
Current Price
$272.24
Margin of Safety
+14.2%
14.2% Below Intrinsic Value
Value: $311
Price: $272

Valuation Model Estimates

Current Price: $272.24
DCF (Discounted Cash Flow)
$605.71
Graham Number
$93.58
Earnings Power Value
$108.45
Relative Value (P/E)
$223.40
Dividend Discount Model
$523.33
Consensus Value
$310.89

Model Assumptions

Discount Rate
10.3%
Growth Rate
20.0%
Terminal Growth
2.5%
Risk-Free Rate
4.3%

Discount rate derived from CAPM (risk-free rate + beta × market risk premium). Growth rate based on trailing earnings growth, capped at 20%.

Key Financials

EPS (TTM)
$11.17
EPS (Forward)
$13.40
Book Value
$34.84
P/E Ratio
24.6
Forward P/E
20.5
PEG Ratio
ROE
32.4%
Debt/Equity
131%
Revenue Growth
7.6%
Earnings Growth
20.0%
Dividend Yield
0.6%
Beta
0.67

Data last updated: 2026-06-12

Source: Yahoo Finance