WallStSmart

International Business Machines (IBM)vsUnisys Corporation (UIS)

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Smart Verdict

WallStSmart Research — data-driven comparison

International Business Machines generates 3424% more annual revenue ($68.91B vs $1.96B). IBM leads profitability with a 15.6% profit margin vs -17.7%. UIS appears more attractively valued with a PEG of 0.44. IBM earns a higher WallStSmart Score of 57/100 (C).

IBM

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 4.3Quality: 4.0
Piotroski: 3/9Altman Z: 2.29

UIS

Hold

38

out of 100

Grade: F

Growth: 2.7Profit: 3.5Value: 8.3Quality: 4.5
Piotroski: 1/9Altman Z: -0.99
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for IBM.

UISUndervalued (+64.9%)

Margin of Safety

+64.9%

Fair Value

$6.24

Current Price

$4.08

$2.17 discount

UndervaluedFair: $6.24Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IBM3 strengths · Avg: 9.3/10
Market CapQuality
$309.44B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
32.6%10/10

Every $100 of equity generates 33 in profit

Free Cash FlowQuality
$4.78B8/10

Generating 4.8B in free cash flow

UIS2 strengths · Avg: 10.0/10
PEG RatioValuation
0.4410/10

Growing faster than its price suggests

Debt/EquityHealth
-2.5510/10

Conservative balance sheet, low leverage

Areas to Watch

IBM4 concerns · Avg: 3.3/10
P/E RatioValuation
29.2x4/10

Moderate valuation

Price/BookValuation
8.1x4/10

Trading at 8.1x book value

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.992/10

Expensive relative to growth rate

UIS4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
1.3%4/10

1.3% revenue growth

Market CapQuality
$277.04M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
0.0%3/10

ROE of 0.0% — below average capital efficiency

Piotroski F-ScoreQuality
1/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

Bull Case : IBM

The strongest argument for IBM centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 15.6% and operating margin at 13.8%.

Bull Case : UIS

The strongest argument for UIS centers on PEG Ratio, Debt/Equity. PEG of 0.44 suggests the stock is reasonably priced for its growth.

Bear Case : IBM

The primary concerns for IBM are P/E Ratio, Price/Book, Piotroski F-Score. Debt-to-equity of 2.14 is elevated, increasing financial risk.

Bear Case : UIS

The primary concerns for UIS are Revenue Growth, Market Cap, Return on Equity.

Key Dynamics to Monitor

IBM profiles as a mature stock while UIS is a turnaround play — different risk/reward profiles.

UIS carries more volatility with a beta of 1.85 — expect wider price swings.

IBM is growing revenue faster at 9.5% — sustainability is the question.

IBM generates stronger free cash flow (4.8B), providing more financial flexibility.

Bottom Line

IBM scores higher overall (57/100 vs 38/100), backed by strong 15.6% margins. UIS offers better value entry with a 64.9% margin of safety. 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.

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Unisys Corporation

TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA

Unisys Corporation is a global information technology services company. The company is headquartered in Blue Bell, Pennsylvania.

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