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

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Here’s a clear look at DOX and IBM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolDOXIBM
Company NameAmdocs LimitedInternational Business Machines Corporation
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesIT Services
Market Capitalization8.98 billion USD268.90 billion USD
ExchangeNasdaqGSNYSE
Listing DateJune 19, 1998January 2, 1962
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of DOX and IBM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

DOX vs. IBM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolDOXIBM
5-Day Price Return0.09%5.47%
13-Week Price Return-11.85%-4.28%
26-Week Price Return-11.68%12.71%
52-Week Price Return-7.10%27.77%
Month-to-Date Return-0.95%15.88%
Year-to-Date Return-4.55%28.35%
10-Day Avg. Volume0.98M6.49M
3-Month Avg. Volume0.79M4.69M
3-Month Volatility21.26%26.73%
Beta0.420.69

Profitability

Return on Equity (TTM)

DOX

15.98%

IT Services Industry

Max
32.78%
Q3
19.28%
Median
13.86%
Q1
5.50%
Min
-10.00%

DOX’s Return on Equity of 15.98% is on par with the norm for the IT Services industry, indicating its profitability relative to shareholder equity is typical for the sector.

IBM

21.99%

IT Services Industry

Max
32.78%
Q3
19.28%
Median
13.86%
Q1
5.50%
Min
-10.00%

In the upper quartile for the IT Services industry, IBM’s Return on Equity of 21.99% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

DOX vs. IBM: A comparison of their Return on Equity (TTM) against the IT Services industry benchmark.

Net Profit Margin (TTM)

DOX

11.94%

IT Services Industry

Max
19.71%
Q3
11.01%
Median
6.66%
Q1
2.96%
Min
-6.22%

A Net Profit Margin of 11.94% places DOX in the upper quartile for the IT Services industry, signifying strong profitability and more effective cost management than most of its peers.

IBM

9.11%

IT Services Industry

Max
19.71%
Q3
11.01%
Median
6.66%
Q1
2.96%
Min
-6.22%

IBM’s Net Profit Margin of 9.11% is aligned with the median group of its peers in the IT Services industry. This indicates its ability to convert revenue into profit is typical for the sector.

DOX vs. IBM: A comparison of their Net Profit Margin (TTM) against the IT Services industry benchmark.

Operating Profit Margin (TTM)

DOX

15.32%

IT Services Industry

Max
22.44%
Q3
14.90%
Median
8.82%
Q1
4.91%
Min
-9.89%

An Operating Profit Margin of 15.32% places DOX in the upper quartile for the IT Services industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

IBM

9.77%

IT Services Industry

Max
22.44%
Q3
14.90%
Median
8.82%
Q1
4.91%
Min
-9.89%

IBM’s Operating Profit Margin of 9.77% is around the midpoint for the IT Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

DOX vs. IBM: A comparison of their Operating Profit Margin (TTM) against the IT Services industry benchmark.

Profitability at a Glance

SymbolDOXIBM
Return on Equity (TTM)15.98%21.99%
Return on Assets (TTM)8.80%4.12%
Net Profit Margin (TTM)11.94%9.11%
Operating Profit Margin (TTM)15.32%9.77%
Gross Profit Margin (TTM)37.24%57.57%

Financial Strength

Current Ratio (MRQ)

DOX

1.22

IT Services Industry

Max
3.17
Q3
2.00
Median
1.47
Q1
1.05
Min
0.52

DOX’s Current Ratio of 1.22 aligns with the median group of the IT Services industry, indicating that its short-term liquidity is in line with its sector peers.

IBM

0.91

IT Services Industry

Max
3.17
Q3
2.00
Median
1.47
Q1
1.05
Min
0.52

IBM’s Current Ratio of 0.91 falls into the lower quartile for the IT Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

DOX vs. IBM: A comparison of their Current Ratio (MRQ) against the IT Services industry benchmark.

Debt-to-Equity Ratio (MRQ)

DOX

0.18

IT Services Industry

Max
3.11
Q3
1.55
Median
0.55
Q1
0.17
Min
0.00

DOX’s Debt-to-Equity Ratio of 0.18 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

IBM

2.33

IT Services Industry

Max
3.11
Q3
1.55
Median
0.55
Q1
0.17
Min
0.00

IBM’s leverage is in the upper quartile of the IT Services industry, with a Debt-to-Equity Ratio of 2.33. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

DOX vs. IBM: A comparison of their Debt-to-Equity Ratio (MRQ) against the IT Services industry benchmark.

Interest Coverage Ratio (TTM)

DOX

20.28

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
0.77
Min
-28.15

DOX’s Interest Coverage Ratio of 20.28 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.

IBM

45.57

IT Services Industry

Max
129.00
Q3
56.00
Median
11.69
Q1
0.77
Min
-28.15

IBM’s Interest Coverage Ratio of 45.57 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.

DOX vs. IBM: A comparison of their Interest Coverage Ratio (TTM) against the IT Services industry benchmark.

Financial Strength at a Glance

SymbolDOXIBM
Current Ratio (MRQ)1.220.91
Quick Ratio (MRQ)0.960.80
Debt-to-Equity Ratio (MRQ)0.182.33
Interest Coverage Ratio (TTM)20.2845.57

Growth

Revenue Growth

DOX vs. IBM: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

DOX vs. IBM: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

DOX

2.46%

IT Services Industry

Max
2.79%
Q3
1.76%
Median
0.58%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.46%, DOX offers a more attractive income stream than most of its peers in the IT Services industry, signaling a strong commitment to shareholder returns.

IBM

2.35%

IT Services Industry

Max
2.79%
Q3
1.76%
Median
0.58%
Q1
0.00%
Min
0.00%

With a Dividend Yield of 2.35%, IBM offers a more attractive income stream than most of its peers in the IT Services industry, signaling a strong commitment to shareholder returns.

DOX vs. IBM: A comparison of their Dividend Yield (TTM) against the IT Services industry benchmark.

Dividend Payout Ratio (TTM)

DOX

39.86%

IT Services Industry

Max
107.85%
Q3
52.62%
Median
22.53%
Q1
0.00%
Min
0.00%

DOX’s Dividend Payout Ratio of 39.86% is within the typical range for the IT Services industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

IBM

75.57%

IT Services Industry

Max
107.85%
Q3
52.62%
Median
22.53%
Q1
0.00%
Min
0.00%

IBM’s Dividend Payout Ratio of 75.57% is in the upper quartile for the IT Services industry. This indicates a strong commitment to shareholder returns but also suggests that a smaller portion of earnings is retained for reinvestment compared to many peers.

DOX vs. IBM: A comparison of their Dividend Payout Ratio (TTM) against the IT Services industry benchmark.

Dividend at a Glance

SymbolDOXIBM
Dividend Yield (TTM)2.46%2.35%
Dividend Payout Ratio (TTM)39.86%75.57%

Valuation

Price-to-Earnings Ratio (TTM)

DOX

16.21

IT Services Industry

Max
56.41
Q3
33.17
Median
23.17
Q1
16.18
Min
6.62

DOX’s P/E Ratio of 16.21 is within the middle range for the IT Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

IBM

45.14

IT Services Industry

Max
56.41
Q3
33.17
Median
23.17
Q1
16.18
Min
6.62

A P/E Ratio of 45.14 places IBM in the upper quartile for the IT Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

DOX vs. IBM: A comparison of their Price-to-Earnings Ratio (TTM) against the IT Services industry benchmark.

Price-to-Sales Ratio (TTM)

DOX

1.94

IT Services Industry

Max
5.99
Q3
4.26
Median
1.93
Q1
0.97
Min
0.12

DOX’s P/S Ratio of 1.94 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

IBM

4.11

IT Services Industry

Max
5.99
Q3
4.26
Median
1.93
Q1
0.97
Min
0.12

IBM’s P/S Ratio of 4.11 aligns with the market consensus for the IT Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

DOX vs. IBM: A comparison of their Price-to-Sales Ratio (TTM) against the IT Services industry benchmark.

Price-to-Book Ratio (MRQ)

DOX

2.90

IT Services Industry

Max
12.34
Q3
7.54
Median
3.84
Q1
2.52
Min
0.88

DOX’s P/B Ratio of 2.90 is within the conventional range for the IT Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

IBM

9.96

IT Services Industry

Max
12.34
Q3
7.54
Median
3.84
Q1
2.52
Min
0.88

IBM’s P/B Ratio of 9.96 is in the upper tier for the IT Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

DOX vs. IBM: A comparison of their Price-to-Book Ratio (MRQ) against the IT Services industry benchmark.

Valuation at a Glance

SymbolDOXIBM
Price-to-Earnings Ratio (TTM)16.2145.14
Price-to-Sales Ratio (TTM)1.944.11
Price-to-Book Ratio (MRQ)2.909.96
Price-to-Free Cash Flow Ratio (TTM)14.0822.40