International Business Machines (IBM)vsKyndryl Holdings Inc (KD)
IBM
International Business Machines
$221.54
-2.08%
TECHNOLOGY · Cap: $193.40B
KD
Kyndryl Holdings Inc
$13.51
-3.57%
TECHNOLOGY · Cap: $2.68B
Smart Verdict
WallStSmart Research — data-driven comparison
International Business Machines generates 357% more annual revenue ($68.91B vs $15.09B). IBM leads profitability with a 15.6% profit margin vs 1.3%. KD trades at a lower P/E of 14.3x. IBM earns a higher WallStSmart Score of 59/100 (C).
IBM
Buy59
out of 100
Grade: C
KD
Hold43
out of 100
Grade: D
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-74.3%
Fair Value
$130.59
Current Price
$221.54
$90.95 premium
Intrinsic value data unavailable for KD.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 31 in profit
Large-cap with strong market position
Generating 2.2B in free cash flow
Attractively priced relative to earnings
Reasonable price relative to book value
Areas to Watch
Expensive relative to growth rate
Elevated debt levels
Weak financial health signals
1.3% margin — thin
Operating margin of 4.1%
Revenue declined 0.8%
Earnings declined 73.1%
Comparative Analysis Report
WallStSmart ResearchBull Case : IBM
The strongest argument for IBM centers on Return on Equity, Market Cap, Free Cash Flow. Profitability is solid with margins at 15.6% and operating margin at 13.8%.
Bull Case : KD
The strongest argument for KD centers on P/E Ratio, Price/Book.
Bear Case : IBM
The primary concerns for IBM are PEG Ratio, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.89 is elevated, increasing financial risk.
Bear Case : KD
The primary concerns for KD are Profit Margin, Operating Margin, Revenue Growth. Debt-to-equity of 4.22 is elevated, increasing financial risk. Thin 1.3% margins leave little buffer for downturns.
Key Dynamics to Monitor
IBM profiles as a mature stock while KD is a value play — different risk/reward profiles.
KD carries more volatility with a beta of 1.74 — expect wider price swings.
IBM is growing revenue faster at 9.5% — sustainability is the question.
IBM generates stronger free cash flow (2.2B), providing more financial flexibility.
Bottom Line
IBM scores higher overall (59/100 vs 43/100), backed by strong 15.6% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
International Business Machines
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the Computing-Tabulating-Recording Company (CTR) and was renamed International Business Machines in 1924. IBM is incorporated in New York. IBM produces and sells computer hardware, middleware and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is also a major research organization, holding the record for most annual U.S. patents generated by a business (as of 2020) for 28 consecutive years. Inventions by IBM include the automated teller machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, the SQL programming language, the UPC barcode, and dynamic random-access memory (DRAM). The IBM mainframe, exemplified by the System/360, was the dominant computing platform during the 1960s and 1970s.
Visit Website →Kyndryl Holdings Inc
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Kyndryl Holdings Inc (KD) is a leading global technology services provider that emerged as a standalone entity from IBM in 2021. Specializing in the management, modernization, and optimization of critical IT infrastructure, Kyndryl offers a comprehensive range of services, including cloud integration, data security, and digital transformation solutions. Through strategic alliances with top technology firms, the company delivers customized and innovative services designed to address the dynamic needs of the digital landscape. With its extensive industry expertise and focus on fostering technological advancements, Kyndryl serves as an indispensable partner for organizations looking to enhance their operational capabilities and sustain competitive advantage.
Visit Website →Compare with Other INFORMATION TECHNOLOGY SERVICES Stocks
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