Key takeaways
- IBM is a global IT company with stocks listed in the US on the New York Stock Exchange (NYSE).
- To buy shares in IBM you'll need to choose a platform that offers acccess to US stock markets, and ideally with low exchange fees.
- Track IBM’s share performance, dividends and ESG ratings regularly to make informed long-term portfolio decisions.
International Business Machines is an information technology services business with stocks listed in the US. IBM shares (IBM) are listed on the NYSE and all prices are listed in US Dollars. Its last market close was US$302.62 – a decrease of 0.19% over the previous week. Here's how to invest if you're based in Australia.
How to buy shares in IBM
- Compare share trading platforms. To buy shares in a company listed in the US from Australia you'll need to find a trading platform that offers access to US stock markets. Look for a platform with low brokerage and foreign exchange fees.
- Open and fund your brokerage account. Complete an application with your personal and financial details, which will typically include your ID and tax file number. Fund your account with a bank transfer, credit card or debit card.
- Search for IBM. Find the share by name or ticker symbol: IBM. Research its history to confirm it's a solid investment that matches your financial goals.
- Purchase now or later. Buy today with a market order or use a limit order to delay your purchase until IBM reaches your desired price. To spread out your risk, look into dollar-cost averaging, which smooths out buying using consistent intervals and amounts.
- Decide on how many to buy. At last close price of US$302.62, weigh your budget against a diversified portfolio that can minimise risk through the market's ups and downs. You may be able to buy a fractional share of IBM, depending on your broker.
- Check in on your investment. Congratulations, you own a part of IBM. Optimise your portfolio by tracking how your stock — and even the business — performs with an eye on the long term. You may be eligible for dividends and shareholder voting rights.
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Have IBM's shares ever split?
IBM's shares were split on a 1046:1000 basis on 3 November 2021. So if you had owned 1000 shares the day before the split, the next day you would own 1046 shares. This wouldn't directly have changed the overall worth of your IBM shares – just the quantity. However, indirectly, the new 4.4% lower share price could have impacted the market appetite for IBM shares which in turn could have impacted IBM's share price.
IBM shares at a glance
| 52-week range | US$209.2047 - US$324.9 |
|---|---|
| 50-day moving average | US$293.1484 |
| 200-day moving average | US$266.3734 |
| Target price | US$290.8889 |
| PE ratio | 36.7795 |
| Dividend yield | US$6.7 (2.21%) |
| Earnings per share (TTM) | US$8.39 |
Use the fields above to explore the returns from a historical investment. Please refer to the charts further up this page to see performance over 5 years, or other periods. Past performance doesn't indicate future results. Capital is at risk.
IBM price performance over time
Historical closes compared with the last close of $302.62
| 1 week (2025-11-25) | -0.61% |
|---|---|
| 1 month (2025-11-05) | -1.35% |
| 3 months (2025-09-05) | 21.76% |
| 6 months (2025-06-05) | 13.40% |
| 1 year (2024-12-05) | 28.91% |
|---|---|
| 2 years (2023-12-05) | 87.51% |
| 3 years (2022-12-05) | 105.29% |
| 5 years (2020-12-04) | 148.85% |
Is it a good time to buy IBM stock?
The technical analysis gauge below displays real-time ratings for the timeframes you select. However, this is not a recommendation. It represents a technical analysis based on the most popular technical indicators: Moving Averages, Oscillators and Pivots. Finder might not concur and takes no responsibility.
Is it worth buying IBM stock?
Valuing IBM stock is incredibly difficult, and any metric has to be viewed as part of a bigger picture of IBM's overall performance. However, analysts commonly use some key metrics to help gauge the value of a stock.
IBM's P/E ratio
IBM's current share price divided by its per-share earnings (EPS) over a 12-month period gives a "trailing price/earnings ratio" of roughly 37x. In other words, IBM shares trade at around 37x recent earnings.
That's relatively high compared to, say, the trailing 12-month P/E ratio for the NASDAQ 100 at the end of 2019 (27.29). The high P/E ratio could mean that investors are optimistic about the outlook for the shares or simply that they're over-valued.
IBM's PEG ratio
IBM's "price/earnings-to-growth ratio" can be calculated by dividing its P/E ratio by its growth – to give 2.1117. A low ratio can be interpreted as meaning the shares offer better value, while a higher ratio can be interpreted as meaning the shares offer worse value.
The PEG ratio provides a broader view than just the P/E ratio, as it gives more insight into IBM's future profitability. By accounting for growth, it could also help you if you're comparing the share prices of multiple high-growth companies.
IBM's EBITDA
IBM's EBITDA (earnings before interest, taxes, depreciation and amortisation) is US$17.8 billion (£13.4 billion).
The EBITDA is a measure of a IBM's overall financial performance and is widely used to measure stock profitability.
IBM share price volatility
Over the last 12 months, IBM's shares have ranged in value from as little as US$209.2047 up to US$324.9. A popular way to gauge a stock's volatility is its "beta".
Beta measures a share's volatility in relation to the market. The market (NYSE average) beta is 1, while IBM's is 0.688. This would suggest that IBM's shares are less volatile than average (for this exchange).
IBM financials
| Revenue TTM | US$65.4 billion |
|---|---|
| Operating margin TTM | 17.17% |
| Gross profit TTM | US$37.8 billion |
| Return on assets TTM | 6.35% |
| Return on equity TTM | 30.16% |
| Profit margin | 12.09% |
| Book value | 29.853 |
| Market capitalisation | US$288.4 billion |
| EBITDA | US$17.8 billion |
TTM: trailing 12 months
IBM share dividends
Dividend payout ratio: 61.17% of net profits
Recently IBM has paid out, on average, around 61.17% of net profits as dividends. That has enabled analysts to estimate a "forward annual dividend yield" of 2.18% of the current stock value. This means that over a year, based on recent payouts (which are sadly no guarantee of future payouts), IBM shareholders could enjoy a 2.18% return on their shares, in the form of dividend payments. In IBM's case, that would currently equate to about $6.7 per share.
IBM's payout ratio would broadly be considered high, and as such this stock could appeal to those looking to generate an income. Bear in mind however that companies should normally also look to re-invest a decent amount of net profits to ensure future growth.
IBM's most recent dividend payout was on 9 December 2025. The latest dividend was paid out to all shareholders who bought their shares by 9 November 2025 (the "ex-dividend date").
IBM's environmental, social and governance track record
Environmental, social and governance (known as ESG) criteria are a set of three factors used to measure the sustainability and social impact of companies like IBM.
When it comes to ESG scores, lower is better, and lower scores are generally associated with lower risk for would-be investors.
IBM's total ESG risk score
Total ESG risk: 17.23
Socially conscious investors use ESG scores to screen how an investment aligns with their worldview, and IBM's overall score of 17.23 (as at 12/31/2018) is excellent – landing it in it in the 14th percentile of companies rated in the same sector.
ESG scores are increasingly used to estimate the level of risk a company like IBM is exposed to within the areas of "environmental" (carbon footprint, resource use etc.), "social" (health and safety, human rights etc.), and "governance" (anti-corruption, tax transparency etc.).
IBM's environmental score
Environmental score: 0.91/100
IBM's environmental score of 0.91 puts it squarely in the 1st percentile of companies rated in the same sector. This could suggest that IBM is a leader in its sector terms of its environmental impact, and exposed to a lower level of risk.
IBM's social score
Social score: 7.08/100
IBM's social score of 7.08 puts it squarely in the 1st percentile of companies rated in the same sector. This could suggest that IBM is a leader in its sector when it comes to taking good care of its workforce and the communities it impacts.
IBM's governance score
Governance score: 5.75/100
IBM's governance score puts it squarely in the 1st percentile of companies rated in the same sector. That could suggest that IBM is a leader in its sector when it comes to responsible management and strategy, and exposed to a lower level of risk.
IBM's controversy score
Controversy score: 2/5
ESG scores also evaluate any incidences of controversy that a company has been involved in. IBM scored a 2 out of 5 for controversy – the second-highest score possible, reflecting that IBM has, for the most part, managed to keep its nose clean.
Environmental, social, and governance (ESG) summary
International Business Machines was last rated for ESG on: 2019-01-01.
| Total ESG score | 17.23 |
|---|---|
| Total ESG percentile | 14.12 |
| Environmental score | 0.91 |
| Environmental score percentile | 1 |
| Social score | 7.08 |
| Social score percentile | 1 |
| Governance score | 5.75 |
| Governance score percentile | 1 |
| Level of controversy | 2 |
IBM overview
International Business Machines Corporation, together with its subsidiaries, provides integrated solutions and services in the Americas, Europe, the Middle East, Africa, and the Asia Pacific. It operates through Software, Consulting, Infrastructure, and Financing segments. The Software segment offers hybrid cloud and AI platforms that allows clients to realize their digital and AI transformations across the applications, data, and environments in which they operate. Its Consulting segment focuses on skills integration for strategy, experience, technology, and operations by domain and industry. The Infrastructure segment provides on-premises and cloud based server, and storage solutions, as well as life-cycle services for hybrid cloud infrastructure deployment. Its Financing segment offers client and commercial financing, facilitates IBM clients' acquisition of hardware, software, and services. It has strategic partnership with various companies, including hyperscalers, service providers, system integrators, and software and hardware vendors that includes Adobe, Amazon Web services, Microsoft, Oracle, Salesforce, Samsung Electronics and SAP, and others. The company was formerly known as Computing-Tabulating-Recording Co. International Business Machines Corporation was incorporated in 1911 and is headquartered in Armonk, New York.
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