IBM vs. ACN, CTSH, IT, LDOS, EPAM, BAH, DOX, CACI, TDC, and HCKT
Should you be buying International Business Machines stock or one of its competitors? The main competitors of International Business Machines include Accenture (ACN), Cognizant Technology Solutions (CTSH), Gartner (IT), Leidos (LDOS), EPAM Systems (EPAM), Booz Allen Hamilton (BAH), Amdocs (DOX), CACI International (CACI), Teradata (TDC), and The Hackett Group (HCKT). These companies are all part of the "it consulting & other services" industry.
International Business Machines vs.
Accenture (NYSE:ACN) and International Business Machines (NYSE:IBM) are both large-cap computer and technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, earnings, dividends, institutional ownership, risk, profitability, valuation, community ranking and media sentiment.
Accenture has higher revenue and earnings than International Business Machines. Accenture is trading at a lower price-to-earnings ratio than International Business Machines, indicating that it is currently the more affordable of the two stocks.
Accenture has a beta of 1.24, meaning that its stock price is 24% more volatile than the S&P 500. Comparatively, International Business Machines has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500.
Accenture received 68 more outperform votes than International Business Machines when rated by MarketBeat users. Likewise, 69.76% of users gave Accenture an outperform vote while only 58.42% of users gave International Business Machines an outperform vote.
Accenture currently has a consensus target price of $387.22, suggesting a potential upside of 6.12%. International Business Machines has a consensus target price of $231.44, suggesting a potential downside of 11.64%. Given Accenture's stronger consensus rating and higher possible upside, equities research analysts clearly believe Accenture is more favorable than International Business Machines.
In the previous week, International Business Machines had 37 more articles in the media than Accenture. MarketBeat recorded 93 mentions for International Business Machines and 56 mentions for Accenture. Accenture's average media sentiment score of 1.57 beat International Business Machines' score of 1.28 indicating that Accenture is being referred to more favorably in the media.
Accenture pays an annual dividend of $5.92 per share and has a dividend yield of 1.6%. International Business Machines pays an annual dividend of $6.68 per share and has a dividend yield of 2.6%. Accenture pays out 49.7% of its earnings in the form of a dividend. International Business Machines pays out 104.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Accenture has raised its dividend for 20 consecutive years and International Business Machines has raised its dividend for 29 consecutive years. International Business Machines is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
75.1% of Accenture shares are held by institutional investors. Comparatively, 59.0% of International Business Machines shares are held by institutional investors. 0.0% of Accenture shares are held by insiders. Comparatively, 0.1% of International Business Machines shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Accenture has a net margin of 11.41% compared to International Business Machines' net margin of 9.60%. International Business Machines' return on equity of 38.99% beat Accenture's return on equity.
Summary
Accenture beats International Business Machines on 14 of the 21 factors compared between the two stocks.
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This page (NYSE:IBM) was last updated on 2/21/2025 by MarketBeat.com Staff