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

IBM leads on 9 of 17 compared metrics.

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 June 14, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Total return — IBM vs STX

growth of $100 · last 24y
IBM +249.7%STX +7996.0%STX compounded faster
Log scale — wide-divergence pair
101001k10kStart $100200620102014201820222026$350$8,096
IBM STX

IBM vs STX: by the numbers

  • IBM is the larger company ($255.87B vs $208.77B market cap).
  • IBM trades at the lower earnings multiple (24.07 vs 88.33 P/E).
  • STX converts more revenue to profit (21.60% vs 15.61% net margin).
  • STX grew revenue faster over the past five years (1.57% vs -0.09% CAGR).
  • IBM pays the higher dividend yield (2.47% vs 0.31%).

Which is better, IBM or STX?

Metric tally: IBM 9 · STX 8

It depends on what you're optimizing for:

ValueIBM(lower P/E)
GrowthSTX(faster 5Y revenue CAGR)
IncomeIBM(higher dividend yield)
QualitySTX(higher ROIC)

Valuation

MetricIBMSTX
P/E ratio24.0788.33
Forward P/E20.3334.14
P/S ratio3.7619.36
P/B ratio7.86194.71
PEG ratio0.350.06
EV / EBITDA19.4965.31
FCF yield5.05%1.23%

Profitability

MetricIBMSTX
Gross margin58.97%41.54%
Operating margin16.36%28.33%
Net margin15.61%21.60%
ROE32.61%217.17%
ROIC8.57%34.14%

Dividends

MetricIBMSTX
Dividend yield2.47%0.31%
Payout ratio59.24%42.14%

Growth (annualized)

MetricIBMSTX
Revenue CAGR (5Y)-0.09%1.57%
EPS CAGR (5Y)12.59%-0.47%
FCF CAGR (5Y)-3.35%20.22%
Total return CAGR (5Y)18.04%61.98%

Frequently asked

Which is better, IBM or STX?
It depends on your goal. value: IBM (lower P/E); growth: STX (faster 5Y revenue CAGR); income: IBM (higher dividend yield); quality: STX (higher ROIC). Across all compared metrics, IBM leads 9 to 8.
Is IBM or STX cheaper?
On trailing earnings, IBM is cheaper: IBM trades at a 24.07 P/E and STX at 88.33.
Which has grown faster, IBM or STX?
Over the past five years, STX grew revenue faster — IBM at a -0.09% CAGR versus STX at 1.57%.
Does IBM or STX pay a bigger dividend?
IBM yields 2.47% and STX yields 0.31% based on trailing dividends and the latest price.
Is IBM or STX more profitable?
STX runs the higher net margin — IBM at 15.61% versus STX at 21.60%.
Which has been the better investment, IBM or STX?
Over the past 10-year, STX delivered the higher annualized total return — IBM at 11.01% versus STX at 50.80%. 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.