International Business Machines Corporation (IBM) Return on Equity (ROE): 32.61%
Is International Business Machines Corporation’s return on equity (ROE) high or low?
International Business Machines Corporation's return on equity (ROE) of 32.61% is 28% above its 5-year average of 25.47%, near the high end of its 5-year range (7.47%–33.29%).
As of Thursday, June 11, 2026. 19.65% above its 12-month average of 27.26%.
IBM Return on Equity (ROE) Chart
IBM Average Return on Equity (ROE) Chart
IBM Current vs Average Return on Equity (ROE) Chart
IBM Return on Equity (ROE) Metrics
RETURN ON EQUITY (ROE)
32.61%
RETURN ON EQUITY (ROE) AVG TTM
27.26%
RETURN ON EQUITY (ROE) AVG 3Y
23.82%
RETURN ON EQUITY (ROE) AVG 5Y
25.47%
RETURN ON EQUITY (ROE) AVG 10Y
40.02%
RETURN ON EQUITY (ROE) AVG 15Y
52.81%
RETURN ON EQUITY (ROE) AVG 20Y
51.89%
CURRENT VS TTM AVG
+19.65%
CURRENT VS 3Y AVG
+36.92%
CURRENT VS 5Y AVG
+28.06%
CURRENT VS 10Y AVG
-18.52%
CURRENT VS 15Y AVG
-38.25%
CURRENT VS 20Y AVG
-37.16%
IBM Competitors' Return on Equity (ROE)
| NAME | MARKET CAP | RETURN ON EQUITY (ROE) | TTM | 3Y | 5Y |
|---|---|---|---|---|---|
| International Business Machines Corporation (IBM) | $253.21B | 32.61% | 27.26% | 23.82% | 25.47% |
| Texas Instruments Incorporated (TXN) | $260.63B | 31.99% | 29.56% | 39.42% | 46.14% |
| Marvell Technology, Inc. (MRVL) | $231.37B | 13.87% | 6.04% | 1.18% | -0.21% |
| Palantir Technologies Inc. (PLTR) | $297.94B | 27.00% | 15.62% | 5.68% | -12.77% |
| QUALCOMM Incorporated (QCOM) | $204.28B | 36.38% | 32.37% | 42.51% | 57.75% |
| KLA Corporation (KLAC) | $302.37B | 80.11% | 84.28% | 130.40% | 104.80% |
| Analog Devices, Inc. (ADI) | $195.95B | 9.82% | 5.68% | 6.89% | 6.37% |
| Arista Networks, Inc. (ANET) | $191.09B | 27.59% | 28.46% | 28.38% | 25.63% |
| Palo Alto Networks, Inc. (PANW) | $185.38B | 3.05% | 32.17% | -9.41% | -21.20% |
| Amphenol Corporation (APH) | $183.21B | 32.02% | 28.30% | 26.70% | 25.73% |
Return Analysis
ROE
32.6%
ROA
6.9%
International Business Machines Corporation Return on Equity (ROE) Formula & Definition
ROE = Net Income / Total Shareholders' Equity
Return on equity measures how efficiently a company generates profit from shareholders' equity. Higher ROE indicates better capital efficiency.
Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute
International Business Machines Corporation Return on Equity (ROE) FAQ
- What is the return on equity (ROE) for International Business Machines Corporation (IBM)?
- The return on equity (ROE) for IBM stock is 32.61%.
- Is International Business Machines Corporation's return on equity (ROE) high or low?
- International Business Machines Corporation's return on equity (ROE) of 32.61% is 28% above its 5-year average of 25.47%, near the high end of its 5-year range (7.47%–33.29%).
- What is the TTM average return on equity (ROE) for International Business Machines Corporation (IBM)?
- The TTM average return on equity (ROE) for IBM stock is 27.26%.
- What is the 3Y average return on equity (ROE) for International Business Machines Corporation (IBM)?
- The 3Y average return on equity (ROE) for IBM stock is 23.82%.
- What is the 5Y average return on equity (ROE) for International Business Machines Corporation (IBM)?
- The 5Y average return on equity (ROE) for IBM stock is 25.47%.
- What is the 10Y average return on equity (ROE) for International Business Machines Corporation (IBM)?
- The 10Y average return on equity (ROE) for IBM stock is 40.02%.
- What is the 15Y average return on equity (ROE) for International Business Machines Corporation (IBM)?
- The 15Y average return on equity (ROE) for IBM stock is 52.81%.
- What is the 20Y average return on equity (ROE) for International Business Machines Corporation (IBM)?
- The 20Y average return on equity (ROE) for IBM stock is 51.89%.
International Business Machines Corporation Return on Equity (ROE) History
| DATE | RETURN ON EQUITY (ROE) |
|---|---|
| 2025-12-31 | 32.45% |
| 2024-12-31 | 22.06% |
| 2023-12-31 | 33.29% |
| 2022-12-31 | 7.47% |
| 2021-12-31 | 30.38% |
| 2020-12-31 | 27.14% |
| 2019-12-31 | 45.25% |
| 2018-12-31 | 51.96% |
| 2017-12-31 | 32.70% |
| 2016-12-31 | 65.07% |
| 2015-12-31 | 92.48% |
| 2014-12-31 | 101.30% |
| 2013-12-31 | 72.32% |
| 2012-12-31 | 88.04% |
| 2011-12-31 | 78.73% |
| 2010-12-31 | 64.36% |
| 2009-12-31 | 59.31% |
| 2008-12-31 | 91.60% |
| 2007-12-31 | 36.59% |
| 2006-12-31 | 33.30% |
| 2005-12-31 | 23.97% |
| 2004-12-31 | 25.14% |
| 2003-12-31 | 23.54% |
| 2002-12-31 | 15.71% |
| 2001-12-31 | 32.71% |
| 2000-12-31 | 39.24% |
| 1999-12-31 | 37.60% |
| 1998-12-31 | 32.56% |
| 1997-12-31 | 30.75% |
| 1996-12-31 | 25.10% |
Related Metrics
About International Business Machines Corporation
International Business Machines Corporation (IBM) delivers comprehensive technology solutions and services across the globe. The company's operations are structured into four primary segments: Software, Consulting, Infrastructure, and Financing. The Software division provides hybrid cloud platforms and a range of software offerings, including Red Hat's enterprise open-source solutions. It also develops software for business automation, AIOps and management, integration, and application servers, in addition to data and artificial intelligence tools. This segment further supplies security software and services for threat, data, and identity management, and offers critical transaction processing software that supports essential on-premise workloads for industries such as banking, airlines, and retail. The Consulting arm delivers business transformation services, which encompass strategy development, business process design and operational improvements, data and analytics insights, and system integration. It additionally provides technology consulting and specialized application and cloud platform services. IBM's Infrastructure segment offers both on-premises and cloud-based server and storage solutions, specifically tailored for clients' crucial and regulated operations. It also extends support and solutions for hybrid cloud infrastructure, alongside remanufacturing and remarketing services for used equipment. The Financing segment provides various financial services, such as leasing, installment payment plans, loan financing, and short-term working capital solutions. Originally established in 1911 as the Computing-Tabulating-Recording Co., the company is now known as International Business Machines Corporation and maintains its headquarters in Armonk, New York.
- Sector
- Technology
- Industry
- Information Technology Services
- CEO
- Arvind Krishna