Price to Book Value (P/BV)
since 2005
Calculation
International Business Machines Corp., P/BV, long-term trends, calculation
| P/BV | = | Share price1, 2, 3 | ÷ | Book value per share1 (BVPS) | BVPS1 | = | Total IBM stockholders’ equity1 (in millions) |
÷ | No. shares of common stock outstanding2 | ||
|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 25, 2025 | 8.75 | = | 257.75 | ÷ | 29.45 | 29.45 | = | 27,307 | ÷ | 927,264,332 | |
| Feb 26, 2024 | 7.49 | = | 184.13 | ÷ | 24.58 | 24.58 | = | 22,533 | ÷ | 916,744,848 | |
| Feb 28, 2023 | 5.34 | = | 129.30 | ÷ | 24.19 | 24.19 | = | 21,944 | ÷ | 907,105,611 | |
| Feb 22, 2022 | 5.90 | = | 123.92 | ÷ | 21.02 | 21.02 | = | 18,901 | ÷ | 899,309,986 | |
| Feb 23, 2021 | 5.24 | = | 120.71 | ÷ | 23.05 | 23.05 | = | 20,597 | ÷ | 893,594,090 | |
| Feb 25, 2020 | 6.04 | = | 141.71 | ÷ | 23.46 | 23.46 | = | 20,841 | ÷ | 888,408,023 | |
| Feb 26, 2019 | 7.40 | = | 139.72 | ÷ | 18.87 | 18.87 | = | 16,796 | ÷ | 889,866,256 | |
| Feb 27, 2018 | 8.20 | = | 156.55 | ÷ | 19.10 | 19.10 | = | 17,594 | ÷ | 921,167,894 | |
| Feb 28, 2017 | 9.30 | = | 179.82 | ÷ | 19.34 | 19.34 | = | 18,246 | ÷ | 943,212,551 | |
| Feb 23, 2016 | 8.92 | = | 132.40 | ÷ | 14.84 | 14.84 | = | 14,262 | ÷ | 960,880,915 | |
| Feb 24, 2015 | 13.73 | = | 164.83 | ÷ | 12.01 | 12.01 | = | 11,868 | ÷ | 988,424,172 | |
| Feb 25, 2014 | 8.37 | = | 183.23 | ÷ | 21.89 | 21.89 | = | 22,792 | ÷ | 1,041,340,758 | |
| Feb 26, 2013 | 11.77 | = | 199.14 | ÷ | 16.92 | 16.92 | = | 18,860 | ÷ | 1,114,509,771 | |
| Feb 28, 2012 | 11.39 | = | 197.98 | ÷ | 17.38 | 17.38 | = | 20,138 | ÷ | 1,158,661,712 | |
| Feb 22, 2011 | 8.57 | = | 161.95 | ÷ | 18.90 | 18.90 | = | 23,046 | ÷ | 1,219,536,250 | |
| Feb 23, 2010 | 7.26 | = | 126.46 | ÷ | 17.43 | 17.43 | = | 22,637 | ÷ | 1,299,003,390 | |
| Feb 24, 2009 | 8.61 | = | 86.40 | ÷ | 10.04 | 10.04 | = | 13,465 | ÷ | 1,341,677,786 | |
| Feb 26, 2008 | 5.56 | = | 114.38 | ÷ | 20.57 | 20.57 | = | 28,470 | ÷ | 1,384,330,881 | |
| Feb 27, 2007 | 4.96 | = | 93.96 | ÷ | 18.93 | 18.93 | = | 28,506 | ÷ | 1,505,528,922 | |
| Feb 28, 2006 | 3.80 | = | 80.24 | ÷ | 21.12 | 21.12 | = | 33,098 | ÷ | 1,567,313,082 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
1 US$
2 Data adjusted for splits and stock dividends.
3 Closing price as at the filing date of International Business Machines Corp. Annual Report.
- Share Price Trends
- The share price exhibited significant fluctuations over the analyzed period. Beginning at $80.24 in early 2006, it generally ascended to a peak of $199.14 by early 2013. Following this peak, a decline was observed, reaching a low of $120.71 in early 2021. Subsequently, the share price recovered robustly, increasing to $257.75 by early 2025, the highest value within the dataset.
- Book Value per Share (BVPS) Trends
- BVPS demonstrated uneven movements across the years. Initially recorded at $21.12 in 2006, it declined notably to $10.04 in 2009. After this dip, BVPS showed a recovery trend with fluctuations, reaching a value of $29.45 by 2025. This overall increase indicates growth in underlying net asset value per share over the long term.
- Price-to-Book Value (P/BV) Ratio Analysis
- The P/BV ratio started at 3.8 in 2006 and increased sharply, peaking at 13.73 in 2014. This suggests the market valuation relative to book value reached elevated levels during this period. Following this peak, a downtrend ensued, with the ratio lowering to 5.24 in 2021. However, a renewed rise was evident, reaching 8.75 by 2025. The fluctuations in this ratio reflect varying investor sentiment and market valuation relative to the company's book value.
- Insights and Patterns
- The share price movements appear influenced by both book value changes and varying market sentiment, as implied by the P/BV ratio volatility. The notable drop in BVPS in 2009 likely relates to adverse financial events or write-downs, coinciding with a high P/BV ratio, indicating possible market overvaluation prior to correction. The strong recovery in share price and BVPS post-2021 suggests renewed investor confidence and improved company fundamentals. Despite price volatility, the long-term growth in BVPS supports an underlying strengthening of net assets per share.
Comparison to Competitors
International Business Machines Corp., P/BV, long-term trends, comparison to competitors
| International Business Machines Corp. | Accenture PLC | Adobe Inc. | Cadence Design Systems Inc. | CrowdStrike Holdings Inc. | Fair Isaac Corp. | Intuit Inc. | Microsoft Corp. | Oracle Corp. | Palantir Technologies Inc. | Palo Alto Networks Inc. | Salesforce Inc. | ServiceNow Inc. | Synopsys Inc. | Workday Inc. | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| Feb 25, 2025 | 8.75 | 7.98 | 12.61 | 15.15 | 34.61 | — | 9.47 | 11.71 | 45.25 | 58.42 | 21.15 | 4.94 | 21.71 | 8.48 | 8.63 |
| Feb 26, 2024 | 7.49 | 7.44 | 16.31 | 24.05 | 19.61 | — | 8.92 | 11.92 | 308.71 | 14.90 | 42.84 | 3.13 | 20.60 | 14.02 | 8.58 |
| Feb 28, 2023 | 5.34 | 7.13 | 11.22 | 18.46 | 42.67 | — | 7.20 | 12.38 | — | 6.94 | 252.00 | 3.37 | 18.36 | 9.24 | 12.68 |
| Feb 22, 2022 | 5.90 | 11.06 | 15.94 | 13.68 | 48.91 | — | 15.71 | 15.16 | 41.57 | 10.48 | 71.88 | 4.73 | 30.36 | 10.50 | 18.38 |
| Feb 23, 2021 | 5.24 | 8.51 | 16.53 | 14.90 | 14.78 | 40.58 | 17.71 | 13.11 | 14.01 | 28.60 | 20.61 | 4.48 | 40.91 | 7.57 | 15.54 |
| Feb 25, 2020 | 6.04 | 8.15 | 16.03 | 9.51 | — | 33.14 | 20.00 | 10.30 | 8.59 | — | 12.91 | 7.66 | 31.48 | 5.16 | 21.26 |
| Feb 26, 2019 | 7.40 | 9.44 | 12.76 | 12.50 | — | 21.55 | 24.12 | 10.02 | 3.84 | — | 22.92 | 9.93 | 39.04 | 3.68 | 18.62 |
| Feb 27, 2018 | 8.20 | 10.08 | 11.50 | 11.49 | — | 10.81 | 26.72 | 7.69 | 3.90 | — | 17.37 | 7.78 | 48.15 | 3.99 | 14.93 |
| Feb 28, 2017 | 9.30 | 9.83 | 7.37 | 11.10 | — | 7.84 | 24.96 | 6.08 | 3.49 | — | 16.91 | 9.45 | 37.74 | 2.81 | 12.36 |
| Feb 23, 2016 | 8.92 | 11.33 | 6.35 | 4.61 | — | 6.20 | 10.00 | 4.66 | 3.66 | — | 32.11 | 10.57 | 15.42 | 2.20 | 13.98 |
| Feb 24, 2015 | 13.73 | 8.96 | 5.26 | 4.06 | — | 5.00 | 7.79 | 3.96 | 3.82 | — | 16.81 | 12.79 | 26.77 | 2.12 | 14.17 |
| Feb 25, 2014 | 8.37 | 10.06 | 4.49 | 3.74 | — | 3.70 | 5.28 | 3.36 | 3.13 | — | 12.19 | 11.74 | 24.36 | 2.19 | 17.51 |
| Feb 26, 2013 | 11.77 | 11.05 | 2.84 | 4.38 | — | 3.03 | 6.46 | 3.68 | 3.11 | — | 19.49 | 12.73 | 19.87 | 1.93 | — |
| Feb 28, 2012 | 11.39 | 10.33 | 2.66 | 7.87 | — | 2.64 | 5.46 | 4.07 | 4.12 | — | — | 12.71 | — | 1.84 | — |
| Feb 22, 2011 | 8.57 | 11.06 | 3.29 | 9.33 | — | 1.98 | 5.05 | 4.84 | 3.52 | — | — | 9.19 | — | 1.93 | — |
| Feb 23, 2010 | 7.26 | 9.61 | 3.68 | 14.21 | — | 1.56 | 3.50 | 5.36 | 4.29 | — | — | 5.65 | — | 1.71 | — |
| Feb 24, 2009 | 8.61 | 9.15 | 2.34 | 10.30 | — | 1.17 | 4.76 | 6.47 | 4.66 | — | — | 15.76 | — | 1.68 | — |
| Feb 26, 2008 | 5.56 | 14.69 | 4.24 | 1.49 | — | 3.35 | 4.74 | 33.73 | 5.96 | — | — | 17.53 | — | 2.67 | — |
| Feb 27, 2007 | 4.96 | 13.85 | 4.39 | 3.45 | — | 3.11 | 6.56 | 19.86 | 5.28 | — | — | 21.98 | — | 3.34 | — |
| Feb 28, 2006 | 3.80 | 13.33 | 12.48 | 2.78 | — | 3.55 | 4.73 | 17.90 | 6.31 | — | — | 10.50 | — | 2.57 | — |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Sector (Software & Services)
International Business Machines Corp., P/BV, long-term trends, comparison to sector (software & services)
| International Business Machines Corp. | Software & Services | |
|---|---|---|
| Feb 25, 2025 | 8.75 | 11.99 |
| Feb 26, 2024 | 7.49 | 11.44 |
| Feb 28, 2023 | 5.34 | 10.73 |
| Feb 22, 2022 | 5.90 | 13.58 |
| Feb 23, 2021 | 5.24 | 11.64 |
| Feb 25, 2020 | 6.04 | 10.07 |
| Feb 26, 2019 | 7.40 | 8.77 |
| Feb 27, 2018 | 8.20 | 7.22 |
| Feb 28, 2017 | 9.30 | 6.29 |
| Feb 23, 2016 | 8.92 | 5.39 |
| Feb 24, 2015 | 13.73 | 5.16 |
| Feb 25, 2014 | 8.37 | 4.46 |
| Feb 26, 2013 | 11.77 | 4.88 |
| Feb 28, 2012 | 11.39 | 5.39 |
| Feb 22, 2011 | 8.57 | 5.31 |
| Feb 23, 2010 | 7.26 | 5.44 |
| Feb 24, 2009 | 8.61 | 6.07 |
| Feb 26, 2008 | 5.56 | 15.42 |
| Feb 27, 2007 | 4.96 | 11.37 |
| Feb 28, 2006 | 3.80 | 11.07 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).
Comparison to Industry (Information Technology)
International Business Machines Corp., P/BV, long-term trends, comparison to industry (information technology)
| International Business Machines Corp. | Information Technology | |
|---|---|---|
| Feb 25, 2025 | 8.75 | 13.25 |
| Feb 26, 2024 | 7.49 | 11.50 |
| Feb 28, 2023 | 5.34 | 10.49 |
| Feb 22, 2022 | 5.90 | 12.53 |
| Feb 23, 2021 | 5.24 | 11.10 |
| Feb 25, 2020 | 6.04 | 8.52 |
| Feb 26, 2019 | 7.40 | 7.05 |
| Feb 27, 2018 | 8.20 | 5.49 |
| Feb 28, 2017 | 9.30 | 4.55 |
| Feb 23, 2016 | 8.92 | 4.33 |
| Feb 24, 2015 | 13.73 | 4.38 |
| Feb 25, 2014 | 8.37 | 3.52 |
| Feb 26, 2013 | 11.77 | 3.77 |
| Feb 28, 2012 | 11.39 | 4.01 |
| Feb 22, 2011 | 8.57 | 4.18 |
| Feb 23, 2010 | 7.26 | 4.34 |
| Feb 24, 2009 | 8.61 | 4.02 |
| Feb 26, 2008 | 5.56 | 8.70 |
| Feb 27, 2007 | 4.96 | 7.25 |
| Feb 28, 2006 | 3.80 | 7.43 |
Based on: 10-K (reporting date: 2024-12-31), 10-K (reporting date: 2023-12-31), 10-K (reporting date: 2022-12-31), 10-K (reporting date: 2021-12-31), 10-K (reporting date: 2020-12-31), 10-K (reporting date: 2019-12-31), 10-K (reporting date: 2018-12-31), 10-K (reporting date: 2017-12-31), 10-K (reporting date: 2016-12-31), 10-K (reporting date: 2015-12-31), 10-K (reporting date: 2014-12-31), 10-K (reporting date: 2013-12-31), 10-K (reporting date: 2012-12-31), 10-K (reporting date: 2011-12-31), 10-K (reporting date: 2010-12-31), 10-K (reporting date: 2009-12-31), 10-K (reporting date: 2008-12-31), 10-K (reporting date: 2007-12-31), 10-K (reporting date: 2006-12-31), 10-K (reporting date: 2005-12-31).