International Business Machines Corporation (IBM) vs Oracle Corporation (ORCL)
IBM leads on 9 of 16 compared metrics.
A side-by-side comparison of International Business Machines Corporation and Oracle 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).
IBM
International Business Machines Corporation
$272.24Technology
ORCL
Oracle Corporation
$184.13Technology
Total return — IBM vs ORCL
growth of $100 · last 30yIBM +1021.7%ORCL +4797.1%ORCL compounded faster
IBM ORCL
IBM vs ORCL: by the numbers
- •ORCL is the larger company ($529.57B vs $255.87B market cap).
- •IBM trades at the lower earnings multiple (24.07 vs 31.58 P/E).
- •ORCL converts more revenue to profit (25.37% vs 15.61% net margin).
- •ORCL grew revenue faster over the past five years (10.72% vs -0.09% CAGR).
- •IBM pays the higher dividend yield (2.47% vs 1.09%).
Which is better, IBM or ORCL?
Metric tally: IBM 9 · ORCL 7It depends on what you're optimizing for:
ValueIBM(lower P/E)
GrowthORCL(faster 5Y revenue CAGR)
IncomeIBM(higher dividend yield)
QualityIBM(higher ROIC)
Valuation
| Metric | IBM | ORCL |
|---|---|---|
| P/E ratio | 24.07● | 31.58 |
| Forward P/E | 20.33 | 16.92● |
| P/S ratio | 3.76● | 7.97 |
| P/B ratio | 7.86● | 12.47 |
| PEG ratio | 0.35● | 1.26 |
| EV / EBITDA | 19.49● | 20.61 |
| FCF yield | 5.05% | — |
Profitability
| Metric | IBM | ORCL |
|---|---|---|
| Gross margin | 58.97% | 65.81%● |
| Operating margin | 16.36% | 30.85%● |
| Net margin | 15.61% | 25.37%● |
| ROE | 32.61% | 39.69%● |
| ROIC | 8.57%● | 7.99% |
Dividends
| Metric | IBM | ORCL |
|---|---|---|
| Dividend yield | 2.47%● | 1.09% |
| Payout ratio | 59.24% | 33.67% |
Growth (annualized)
| Metric | IBM | ORCL |
|---|---|---|
| Revenue CAGR (5Y) | -0.09% | 10.72%● |
| EPS CAGR (5Y) | 12.59%● | 4.93% |
| FCF CAGR (5Y) | -3.35%● | -13.18% |
| Total return CAGR (5Y) | 18.04% | 18.89%● |
Frequently asked
- Which is better, IBM or ORCL?
- It depends on your goal. value: IBM (lower P/E); growth: ORCL (faster 5Y revenue CAGR); income: IBM (higher dividend yield); quality: IBM (higher ROIC). Across all compared metrics, IBM leads 9 to 7.
- Is IBM or ORCL cheaper?
- On trailing earnings, IBM is cheaper: IBM trades at a 24.07 P/E and ORCL at 31.58.
- Which has grown faster, IBM or ORCL?
- Over the past five years, ORCL grew revenue faster — IBM at a -0.09% CAGR versus ORCL at 10.72%.
- Does IBM or ORCL pay a bigger dividend?
- IBM yields 2.47% and ORCL yields 1.09% based on trailing dividends and the latest price.
- Is IBM or ORCL more profitable?
- ORCL runs the higher net margin — IBM at 15.61% versus ORCL at 25.37%.
- Which has been the better investment, IBM or ORCL?
- Over the past 10-year, ORCL delivered the higher annualized total return — IBM at 11.01% versus ORCL at 18.62%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
International Business Machines P/E ratioOracle P/E ratioInternational Business Machines dividend yieldOracle dividend yieldInternational Business Machines ROEOracle ROEInternational Business Machines operating marginOracle operating marginInternational Business Machines revenue growthOracle revenue growthInternational Business Machines free cash flowOracle free cash flow
International Business Machines & Oracle appear in these rankings
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.