IBM - International Business Machines Corporation
A century-old technology giant reinventing itself as a hybrid cloud and AI services provider, with a focus on enterprise consulting through its Watson and Red Hat platforms.
Finlify Score
30.9 / 100
Data Quality
FULL
Penalty
0.0
Sector
Information Technology
Close Price
$221.74
-2.08%
52W Range
$199.19 - $332.46
Market Cap
$264.3B
-2.1%Compared to previous day
2026 Q1 Revenue
$15.9B
-19.1%Changes from last reporting quarter
2026 Q1 EPS
$1.28
Diluted shares
Analyst Rating
29 analysts in latest ratings feed
RSI
24.9
<40 oversold
2Y Range Position
27%
-33.3% from high / +22.0% from low
Beta
0.72
Relative to market benchmark
MACD
-0.53
MACD line -13.82 / signal line -13.29
Fundamental Trend
Growth 11.1Financial Health
Quality 38.8Data Quality
FULLValuation Reference
Price Chart
Close price, two-year source window
Finlify Score
AVOID30.9 / 100
Score History
Finlify Score and component trend
Financial Statements
Calendar year view. Figures are estimates only. For official figures, refer to the company website.
| 2026 Q1 | 2025 Q4 | 2025 Q3 | 2025 Q2 | |
|---|---|---|---|---|
| Revenue | $15.9B-19.1% | $19.7B+20.6% | $16.3B-3.8% | $17.0B+16.8% |
| Gross Profit | $8.9B-25.0% | $11.9B+27.4% | $9.4B-6.2% | $10.0B+24.2% |
| Operating Income | - | - | - | - |
| Net Income | $1.2B-78.3% | $5.6B+221.1% | $1.7B-20.5% | $2.2B+108.0% |
Columns use the calendar quarter of each reported period end date. QoQ is shown for adjacent company reporting quarters only.
AI Signal
Generated Jul 25, 2026
The Finlify signal for IBM is "AVOID," with a Finlify Score of 30.3 out of 100. This stance appears to be primarily driven by very low scores in Relative Strength (8.7/100) and Fundamental Trend (11.1/100), despite a strong Accumulation / Volume score.
Technical
The asset's technical posture appears weak, indicated by a very low Relative Strength score of 8.7/100. Recent performance shows a significant 20-day return of -21.4% and a 60-day return of -9.4%, suggesting downward momentum. The stock is also trading 37.2% below its 52-week high, with an RSI of 30.3, which may indicate it is approaching oversold conditions.
Fundamentals
Fundamental indicators suggest caution, with a very low Fundamental Trend score of 11.1/100 and a Financial Quality score of 38.8/100. While the asset offers a dividend yield of 3.27% and has a relatively low Beta of 0.7, its valuation metrics such as a P/E of 19.0x and P/B of 8.5x may warrant scrutiny given the weak fundamental trend.
Macro Context
The current macro environment, characterized by an elevated 10Y Treasury Yield of 4.7% and a narrow but positive yield spread of 0.4%, may present a challenging backdrop for growth-oriented or dividend-paying assets like IBM. Persistent inflation, with CPI YoY at 3.7%, could also impact corporate profitability and consumer spending, potentially affecting IBM's business outlook.
Key Risks
- Weak Price Momentum: The asset exhibits very low Relative Strength (8.7/100) and significant recent price declines, including a -21.4% 20-day return.
- Deteriorating Fundamental Trend: A very low Fundamental Trend score of 11.1/100 suggests potential concerns regarding the company's underlying business performance.
- Post-Earnings Market Reaction: The asset's earnings were released on 2026-07-22, the day prior to this analysis, suggesting that market reaction to these results may still be unfolding.