International Business Machines Corporation (IBM) vs Seagate Technology Holdings plc (STX)

A side-by-side comparison of International Business Machines Corporation and Seagate Technology Holdings plc across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of September 13, 2026. Differences are shown without an overall score or investment verdict.

Compare

Total returnIBM vs STX

growth of $100 · dividends reinvested · last 10y
IBM +141.0% (+9.2%/yr)STX +3379.7% (+42.6%/yr)STX compounded faster over this window
Log scale — wide-divergence pair
101001k10kStart $10020182020202220242026$241$3,480
IBM STX

IBM vs STX: by the numbers

  • IBM is the larger company ($216.27B vs $192.57B market cap).
  • IBM trades at the lower trailing earnings multiple (20.31 vs 61.78 P/E), one valuation lens rather than an overall verdict.
  • STX converts more revenue to profit (26.11% vs 15.52% net margin).
  • STX grew revenue faster over the past five years (2.68% vs 1.13% CAGR).
  • IBM pays the higher dividend yield (2.77% vs 0.35%).

Metrics side by side

Valuation

MetricIBMSTX
P/E ratio20.3161.78
Forward P/E18.6523.86
P/S ratio3.1315.79
P/B ratio6.2888.86
EV / EBITDA15.6444.56
FCF yield6.30%1.62%

Profitability

MetricIBMSTX
Gross margin58.43%45.58%
Operating margin17.86%33.57%
Net margin15.52%26.11%
ROE31.13%146.93%
ROIC10.12%51.40%

Dividends

MetricIBMSTX
Dividend yield2.77%0.35%
Payout ratio59.65%21.15%

Growth (annualized)

MetricIBMSTX
Revenue CAGR (5Y)1.13%2.68%
EPS CAGR (5Y)12.59%21.76%
FCF CAGR (5Y)-1.28%24.10%
Total return CAGR (5Y)17.62%62.90%

Frequently asked

Which has the lower trailing P/E, IBM or STX?
IBM has the lower trailing P/E: IBM trades at 20.31 and STX at 61.78. P/E is one valuation measure and does not by itself establish which business is cheaper.
Which has grown faster, IBM or STX?
Over the past five years, STX grew revenue faster — IBM at a 1.13% CAGR versus STX at 2.68%.
Does IBM or STX pay a bigger dividend?
IBM yields 2.77% and STX yields 0.35% based on trailing dividends and the latest price.
Is IBM or STX more profitable?
STX runs the higher net margin — IBM at 15.52% versus STX at 26.11%.
How have IBM and STX total returns compared?
Over the past 10 years, IBM delivered 9.51% and STX delivered 42.61% annualized total return. 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 September 13, 2026.