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ANET vs. IBM: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at ANET and IBM, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

IBM towers over ANET with a market cap of 242.45 billion USD, roughly 2.09 times the 116.08 billion USD of its peer.

ANET rides a wilder wave with a beta of 1.39, hinting at bigger swings than IBM’s steadier 0.63.

SymbolANETIBM
Company NameArista Networks, Inc.International Business Machines Corporation
CountryUSUS
SectorTechnologyTechnology
IndustryComputer HardwareInformation Technology Services
CEOMs. Jayshree V. UllalMr. Arvind Krishna
Price92.43 USD260.87 USD
Market Cap116.08 billion USD242.45 billion USD
Beta1.3870.629
ExchangeNYSENYSE
IPO DateJune 6, 2014September 24, 1915
ADRNoNo

Performance Comparison

This chart compares the performance of ANET and IBM over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

For a detailed comparison of valuation metrics between ANET and IBM, please refer to the table below.

SymbolANETIBM
Price-to-Earnings Ratio (P/E, TTM)38.4644.23
Forward PEG Ratio (TTM)2.118.51
Price-to-Sales Ratio (P/S, TTM)15.613.86
Price-to-Book Ratio (P/B, TTM)11.519.01
Price-to-Free Cash Flow Ratio (P/FCF, TTM)30.6720.31
EV-to-EBITDA (TTM)35.6624.19
EV-to-Sales (TTM)15.364.75
EV-to-Free Cash Flow (TTM)30.1824.98

Dividend Comparison

ANET pays no dividends, focusing all profits on growth, appealing to capital-gains investors. Meanwhile, IBM’s 2.56% yield rewards shareholders, showing financial confidence while supporting objectives—a contrast to ANET’s growth-only approach.

SymbolANETIBM
Dividend Yield (TTM)0.00%2.56%

Financial Strength Metrics Comparison

This section dives into the financial resilience of ANET and IBM, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • ANET posts an interest coverage of “--”, hinting at interest costs so low they’re negligible—often from scant debt or dirt-cheap rates—while IBM at 5.92 handles interest with solid earnings.
SymbolANETIBM
Current Ratio (TTM)3.931.01
Quick Ratio (TTM)3.310.97
Debt-to-Equity Ratio (TTM)0.002.49
Debt-to-Assets Ratio (TTM)0.000.46
Interest Coverage Ratio (TTM)--5.92