Arista Networks, Inc. (ANET) vs International Business Machines Corporation (IBM)

ANET and IBM are evenly matched — 8 metrics each of 16.

A side-by-side comparison of Arista Networks, Inc. and International Business Machines Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 14, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — ANET vs IBM

growth of $100 · last 12y
ANET +4645.3%IBM +52.8%ANET compounded faster
Log scale — wide-divergence pair
101001k10kStart $100201620182020202220242026$4,745$153
ANET IBM

ANET vs IBM: by the numbers

  • IBM is the larger company ($255.87B vs $205.55B market cap).
  • IBM trades at the lower earnings multiple (24.07 vs 55.90 P/E).
  • ANET converts more revenue to profit (38.32% vs 15.61% net margin).
  • ANET grew revenue faster over the past five years (31.58% vs -0.09% CAGR).
  • IBM pays a dividend (2.47% yield) while ANET does not currently pay one.

Which is better, ANET or IBM?

Metric tally: ANET 8 · IBM 8

It depends on what you're optimizing for:

ValueIBM(lower P/E)
GrowthANET(faster 5Y revenue CAGR)
QualityANET(higher ROIC)

Valuation

MetricANETIBM
P/E ratio55.9024.07
Forward P/E44.9820.33
P/S ratio21.413.76
P/B ratio15.427.86
PEG ratio2.050.35
EV / EBITDA44.3619.49
FCF yield2.54%5.05%

Profitability

MetricANETIBM
Gross margin63.54%58.97%
Operating margin42.79%16.36%
Net margin38.32%15.61%
ROE27.59%32.61%
ROIC22.64%8.57%

Dividends

MetricANETIBM
Dividend yield2.47%
Payout ratio59.24%

Growth (annualized)

MetricANETIBM
Revenue CAGR (5Y)31.58%-0.09%
EPS CAGR (5Y)39.94%12.59%
FCF CAGR (5Y)46.68%-3.35%
Total return CAGR (5Y)48.29%18.04%

Frequently asked

Which is better, ANET or IBM?
It depends on your goal. value: IBM (lower P/E); growth: ANET (faster 5Y revenue CAGR); quality: ANET (higher ROIC). Across all compared metrics, they are evenly matched.
Is ANET or IBM cheaper?
On trailing earnings, IBM is cheaper: ANET trades at a 55.90 P/E and IBM at 24.07.
Which has grown faster, ANET or IBM?
Over the past five years, ANET grew revenue faster — ANET at a 31.58% CAGR versus IBM at -0.09%.
Does ANET or IBM pay a bigger dividend?
IBM pays a dividend (2.47% yield) while ANET does not currently pay one.
Is ANET or IBM more profitable?
ANET runs the higher net margin — ANET at 38.32% versus IBM at 15.61%.
Which has been the better investment, ANET or IBM?
Over the past 10-year, ANET delivered the higher annualized total return — ANET at 42.96% versus IBM at 11.01%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 14, 2026.