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International Business Machines (LSE:IBM) Enterprise Value : $237,197 Mil (As of Dec. 12, 2024)


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What is International Business Machines Enterprise Value?

Think of Enterprise Value as the theoretical takeover price. It is more comprehensive than market capitalization (Market Cap), which only includes common equity. Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.

EV-to-EBIT is calculated as Enterprise Value divided by its EBIT. As of today, International Business Machines's Enterprise Value is $237,197 Mil. International Business Machines's EBIT for the trailing twelve months (TTM) ended in Sep. 2024 was $7,943 Mil. Therefore, International Business Machines's EV-to-EBIT ratio for today is 29.86.

EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA. As of today, International Business Machines's Enterprise Value is $237,197 Mil. International Business Machines's EBITDA for the trailing twelve months (TTM) ended in Sep. 2024 was $12,650 Mil. Therefore, International Business Machines's EV-to-EBITDA ratio for today is 18.75.

EV-to-Revenue is calculated as Enterprise Value divided by its Revenue. As of today, International Business Machines's Enterprise Value is $237,197 Mil. International Business Machines's Revenue for the trailing twelve months (TTM) ended in Sep. 2024 was $62,579 Mil. Therefore, International Business Machines's EV-to-Revenue ratio for today is 3.79.


International Business Machines Enterprise Value Historical Data

The historical data trend for International Business Machines's Enterprise Value 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 Enterprise Value Chart

International Business Machines Annual Data
Trend Dec14 Dec15 Dec16 Dec17 Dec18 Dec19 Dec20 Dec21 Dec22 Dec23
Enterprise Value
Get a 7-Day Free Trial Premium Member Only Premium Member Only 172,423.43 159,668.53 155,348.15 153,131.64 155,414.92

International Business Machines Quarterly Data
Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24 Jun24 Sep24
Enterprise Value 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 156,236.51 155,414.92 153,095.83 155,795.55 156,492.52

Competitive Comparison of International Business Machines's Enterprise Value

For the Information Technology Services subindustry, International Business Machines's Enterprise Value, along with its competitors' market caps and Enterprise Value 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 Enterprise Value Distribution in the Software Industry

For the Software industry and Technology sector, International Business Machines's Enterprise Value distribution charts can be found below:

* The bar in red indicates where International Business Machines's Enterprise Value falls into.



International Business Machines Enterprise Value Calculation

Enterprise Value is calculated as the market cap plus debt and minority interest and preferred shares, minus total cash, cash equivalents, and marketable securities.

International Business Machines's Enterprise Value for the fiscal year that ended in Dec. 2023 is calculated as

International Business Machines's Enterprise Value for the quarter that ended in Sep. 2024 is calculated as

* 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  (LSE:IBM) Enterprise Value Explanation

When an investor buy a company, the investor needs to pay not only the common shares, he/she also needs to pay the shareholders of Preferred Stocks. He also assumes the debt of the company, and receives the cash on the company's balance sheet.

If a company has more cash than debt, the investor actually pays less than the Market Cap because he immediately owns the cash once the transaction goes through.

The market value of Preferred Stock needs to be added to the market value of common stocks in the calculation of Enterprise Value.

For the companies with the same Market Cap, the smaller the Enterprise Value is, the cheaper the company is.

Enterprise Value can be negative when the company's net cash is more than its Market Cap. In this case the investor is basically getting the company for free and get paid for that.

1. EV-to-EBIT is calculated as Enterprise Value divided by its EBIT.

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

EV-to-EBIT=Enterprise Value (Today)/EBIT (TTM)
=237196.788/7943
=29.86

International Business Machines's current Enterprise Value is $237,197 Mil.
International Business Machines's EBIT for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $7,943 Mil.

2. EV-to-EBITDA is calculated as Enterprise Value divided by its EBITDA.

International Business Machines's EV-to-EBITDA for today is:

EV-to-EBITDA=Enterprise Value (Today)/EBITDA(TTM)
=237196.788/12650
=18.75

International Business Machines's current Enterprise Value is $237,197 Mil.
International Business Machines's EBITDA for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $12,650 Mil.

3. EV-to-Revenue is calculated as Enterprise Value divided by its Revenue.

International Business Machines's EV-to-Revenue for today is:

EV-to-Revenue=Enterprise Value (Today)/Revenue (TTM)
=237196.788/62579
=3.79

International Business Machines's current Enterprise Value is $237,197 Mil.
International Business Machines's Revenue for the trailing twelve months (TTM) ended in Sep. 2024 adds up the quarterly data reported by the company within the most recent 12 months, which was $62,579 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 Enterprise Value Related Terms

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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 350,000 people. The company has a robust roster of 80,000 business partners to service 5,200 clients, which includes 95% of all Fortune 500. While IBM is a B2B company, IBM's outward impact is substantial. For example, IBM manages 90% of all credit card transactions globally and is responsible for 50% of all wireless connections in the world.