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IBM (International Business Machines) EV-to-EBIT : 35.71 (As of Apr. 30, 2025)


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What is International Business Machines EV-to-EBIT?

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, International Business Machines's Enterprise Value is $271,930 Mil. International Business Machines's EBIT for the trailing twelve months (TTM) ended in Mar. 2025 was $7,616 Mil. Therefore, International Business Machines's EV-to-EBIT for today is 35.71.

The historical rank and industry rank for International Business Machines's EV-to-EBIT or its related term are showing as below:

IBM' s EV-to-EBIT Range Over the Past 10 Years
Min: 8.34   Med: 19.49   Max: 93.14
Current: 35.71

During the past 13 years, the highest EV-to-EBIT of International Business Machines was 93.14. The lowest was 8.34. And the median was 19.49.

IBM's EV-to-EBIT is ranked worse than
71.35% of 1752 companies
in the Software industry
Industry Median: 16.87 vs IBM: 35.71

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %. International Business Machines's Enterprise Value for the quarter that ended in Mar. 2025 was $280,546 Mil. International Business Machines's EBIT for the trailing twelve months (TTM) ended in Mar. 2025 was $7,616 Mil. International Business Machines's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2025 was 2.71%.


International Business Machines EV-to-EBIT Historical Data

The historical data trend for International Business Machines's EV-to-EBIT can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

International Business Machines EV-to-EBIT Chart

International Business Machines Annual Data
Trend Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23 Dec24
EV-to-EBIT
Get a 7-Day Free Trial Premium Member Only Premium Member Only 41.13 28.04 72.94 19.06 32.96

International Business Machines Quarterly Data
Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24 Dec24 Mar25
EV-to-EBIT Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 21.13 19.39 31.59 32.96 36.84

Competitive Comparison of International Business Machines's EV-to-EBIT

For the Information Technology Services subindustry, International Business Machines's EV-to-EBIT, along with its competitors' market caps and EV-to-EBIT data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


International Business Machines's EV-to-EBIT Distribution in the Software Industry

For the Software industry and Technology sector, International Business Machines's EV-to-EBIT distribution charts can be found below:

* The bar in red indicates where International Business Machines's EV-to-EBIT falls into.


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International Business Machines EV-to-EBIT Calculation

International Business Machines's EV-to-EBIT for today is calculated as:

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=271930.246/7616
=35.71

International Business Machines's current Enterprise Value is $271,930 Mil.
International Business Machines's EBIT for the trailing twelve months (TTM) ended in Mar. 2025 adds up the quarterly data reported by the company within the most recent 12 months, which was $7,616 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


International Business Machines  (NYSE:IBM) EV-to-EBIT Explanation

This is a more accurate valuation of companies' operation because it considers the debt and cash on its balance sheet, and non-operating items such as interest payment, tax, and one-time items are not included in the Operating Income.

Joel Greenblatt calls the inversion of this ratio Earnings Yield (Joel Greenblatt) %.

International Business Machines's Earnings Yield (Joel Greenblatt) % for the quarter that ended in Mar. 2025 is calculated as:

Earnings Yield (Joel Greenblatt) % (Q: Mar. 2025 ) =EBIT / Enterprise Value (Q: Mar. 2025 )
=7616/280545.85802
=2.71 %

International Business Machines's Enterprise Value for the quarter that ended in Mar. 2025 was $280,546 Mil.
International Business Machines's EBIT for the trailing twelve months (TTM) ended in Mar. 2025 adds up the quarterly data reported by the company within the most recent 12 months, which was $7,616 Mil.

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.


International Business Machines EV-to-EBIT Related Terms

Thank you for viewing the detailed overview of International Business Machines's EV-to-EBIT provided by GuruFocus.com. Please click on the following links to see related term pages.


International Business Machines Business Description

Address
One New Orchard Road, Armonk, NY, USA, 10504
IBM looks to be a part of every aspect of an enterprise's IT needs. The company primarily sells software, IT services, consulting, and hardware. IBM operates in 175 countries and employs approximately 300,000 people. The company has a robust roster of business partners to service its clients, which include 95% of all Fortune 500 companies. Primary products include its mainframes, Red Hat software, transaction processing software, and IT consulting.
Executives
David N Farr director
Alfred W Zollar director C/O LOTUS SOFTWARE, ONE ROGER STREET, CAMBRIDGE MA 02142
Nickle Jaclyn Lamoreaux officer: Senior Vice President IBM CORPORATION, ONE NEW ORCHARD RD, ARMONK NY 10504-1722
Michelle H Browdy officer: Senior Vice President IBM CORPORATION, ONE NEW ORCHARD ROAD, ARMONK NY 10504-1722
Michael Miebach director 2000 PURCHASE STREET, PURCHASE NY 10577
James J Kavanaugh officer: Vice President and Controller IBM CORPORATION, ONE NEW ORCHARD RD, ARMONK NY 10504-1722
Nicolas A. Fehring officer: VP, Controller ONE NEW ORCHARD ROAD, ARMONK NY 10504
Del Bene Robert F officer: VP, Controller IBM CORPORATION, ONE NEW ORCHARD RD, ARMONK NY 10504-1722
Michelle J Howard director C/O SECRETARY'S OFFICE, IBM CORPORATION, ARMONK NY 10504
Gary D Cohn officer: Vice Chairman 812 PARK AVENUE, 7-8A, NEW YORK NY 10021
James M Whitehurst officer: President IBM CORPORATION, ONE NEW ORCHARD RD, ARMONK NY 10504-1722
Alex Gorsky director JOHNSON & JOHNSON, ONE JOHNSON & JOHNSON PLAZA, NEW BRUNSWICK NJ 08933
Andrew N Liveris director 2211 H.H. DOW WAY, MIDLAND MI 48674
Joseph Swedish director WELLPOINT, INC., 120 MONUMENT CIRCLE, INDIANAPOLIS IN 46204
Frederick H Waddell director 50 S. LA SALLE ST., CHICAGO IL 60675