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DT vs. IBM: Dynatrace vs. IBM Stock Comparison

How do Dynatrace (DT) and IBM (IBM) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Dynatrace (DT) and IBM (IBM) both fall under the Software & Services industry group, but DT is classified in Software while IBM is classified in IT Services.

Company profile comparison for Dynatrace (DT) and IBM (IBM)
Profile ItemDTIBM
NameDynatrace Inc.International Business Machines Corporation
Country/RegionUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustrySoftwareIT Services
GICS Sub-IndustryApplication SoftwareIT Consulting & Other Services
Market Capitalization12.46 billion USD231.55 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateAugust 1, 2019January 2, 1962
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

DT
IBM
GSPC
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Dynatrace (DT) vs. IBM (IBM), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Dynatrace (DT) and IBM (IBM). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for Dynatrace (DT) and IBM (IBM). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
Total Return (1Y)-6.35%-16.98%
Total Return (3Y, Annualized)-3.59%22.40%
Total Return (5Y, Annualized)-10.27%19.64%

Risk Profile

Drawdown History

DT
IBM
GSPC
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Dynatrace (DT) vs. IBM (IBM), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for Dynatrace (DT) and IBM (IBM). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
Volatility (1Y, Annualized)45.85%48.48%
Beta (5Y)0.800.79
Max Drawdown (5Y)-60.40%-37.50%
Avg. Volume (3M)7.54M5.30M

Risk-Adjusted Performance

Risk-Return Positioning

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DT and IBM are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
Sharpe Ratio (1Y)-0.23-0.44
Sortino Ratio (1Y)-0.31-0.56

Profitability

ROE (TTM)

IBM (IBM) at 34.77% sits in the top ROE quartile, while Dynatrace (DT) at 6.41% is closer to the peer norm — stronger capital efficiency for IBM.

DT

Software & Services industry group

6.41%

Max
53.85%
Q3
17.90%
Median
6.59%
DT
6.41%
Q1
-9.59%
Min
-50.52%

IBM

Software & Services industry group

34.77%

Max
53.85%
IBM
34.77%
Q3
17.90%
Median
6.59%
Q1
-9.59%
Min
-50.52%
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Dynatrace (DT) vs. IBM (IBM): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

IBM (IBM) at 15.99% retains a top-quartile share of revenue as profit, ahead of Dynatrace (DT) at 7.42%, which keeps about the industry-typical share.

DT

Software & Services industry group

7.42%

Max
41.17%
Q3
15.28%
DT
7.42%
Median
4.63%
Q1
-5.42%
Min
-33.17%

IBM

Software & Services industry group

15.99%

Max
41.17%
IBM
15.99%
Q3
15.28%
Median
4.63%
Q1
-5.42%
Min
-33.17%
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Dynatrace (DT) vs. IBM (IBM): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

Both Dynatrace (DT) at 16.49% and IBM (IBM) at 16.97% run core operations about as efficiently as their industries’ norm — neither stands out on operating profitability.

DT

Software & Services industry group

16.49%

Max
46.89%
Q3
17.64%
DT
16.49%
Median
8.73%
Q1
-2.13%
Min
-30.45%

IBM

Software & Services industry group

16.97%

Max
46.89%
Q3
17.64%
IBM
16.97%
Median
8.73%
Q1
-2.13%
Min
-30.45%
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Dynatrace (DT) vs. IBM (IBM): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
ROE (TTM)6.41%34.77%
ROA (TTM)3.95%5.33%
Net Margin (TTM)7.42%15.99%
Operating Margin (TTM)16.49%16.97%
Gross Margin (TTM)81.34%57.97%

Growth

Revenue Growth

Both Dynatrace (DT) at 18.82% and IBM (IBM) at 7.62% land near their industries' usual revenue growth ranges, so top-line momentum looks broadly in line with peers on both sides.

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Dynatrace (DT) vs. IBM (IBM): A comparison of their Revenue Growth across different time periods.

EPS Growth

IBM (IBM) at 73.72% sits in the top EPS growth quartile, while Dynatrace (DT) at -66.04% is in the bottom quartile, showing a clear gap in earnings momentum.

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Dynatrace (DT) vs. IBM (IBM): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
Revenue Growth (YoY)18.82%7.62%
Revenue Growth (3Y CAGR)20.33%3.72%
EPS Growth (YoY)-66.04%73.72%
EPS Growth (3Y CAGR)13.43%83.76%

Financial Strength

Current Ratio (MRQ)

Dynatrace (DT) at 2.09 keeps current ratio within its industry’s typical mid-range, while IBM (IBM) at 0.86 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for IBM.

DT

Software & Services industry group

2.09

Max
5.11
Q3
2.77
DT
2.09
Median
1.67
Q1
1.01
Min
0.03

IBM

Software & Services industry group

0.86

Max
5.11
Q3
2.77
Median
1.67
Q1
1.01
IBM
0.86
Min
0.03
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Dynatrace (DT) vs. IBM (IBM): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

Dynatrace (DT) at 0.69 carries an industry-typical debt-to-equity mix, while IBM (IBM) at 1.85 uses more debt funding than most peers.

DT

Software & Services industry group

0.69

Max
2.52
Q3
1.13
DT
0.69
Median
0.40
Q1
0.07
Min
0.00

IBM

Software & Services industry group

1.85

Max
2.52
IBM
1.85
Q3
1.13
Median
0.40
Q1
0.07
Min
0.00
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Dynatrace (DT) vs. IBM (IBM): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
Current Ratio (MRQ)2.090.86
Debt / Equity (MRQ)0.691.85
Net Debt / EBITDA-1.803.37

Dividends

Dividend Yield (TTM)

Dynatrace (DT) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile IBM (IBM) reports a yield of 2.73%, ranking against industry peers normally.

DT

Software & Services industry group

0.00%

DT
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

IBM

Software & Services industry group

2.73%

IBM
2.73%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Dynatrace (DT) vs. IBM (IBM): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Dynatrace (DT) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile IBM (IBM) reports a payout of 57.51%, ranking against industry peers normally.

DT

Software & Services industry group

0.00%

DT
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

IBM

Software & Services industry group

57.51%

IBM
57.51%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Dynatrace (DT) vs. IBM (IBM): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
Dividend Yield (TTM)0.00%2.73%
Dividend Payout Ratio (TTM)0.00%57.51%

Valuation

P/E Ratio (TTM)

IBM (IBM) at 20.90 is near its industry’s usual P/E ratio, while Dynatrace (DT) at 80.44 sits in the richer quartile — DT needs stronger growth or earnings quality to justify the premium.

DT

Software & Services industry group

80.44

Max
112.94
DT
80.44
Q3
60.32
Median
32.91
Q1
18.77
Min
6.69

IBM

Software & Services industry group

20.90

Max
112.94
Q3
60.32
Median
32.91
IBM
20.90
Q1
18.77
Min
6.69
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Dynatrace (DT) vs. IBM (IBM): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

On P/S ratio, both Dynatrace (DT) at 5.71 and IBM (IBM) at 3.31 are priced roughly in line with their industries — neither looks cheap nor rich on a sales basis.

DT

Software & Services industry group

5.71

Max
17.91
Q3
8.78
DT
5.71
Median
4.25
Q1
2.23
Min
0.02

IBM

Software & Services industry group

3.31

Max
17.91
Q3
8.78
Median
4.25
IBM
3.31
Q1
2.23
Min
0.02
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Dynatrace (DT) vs. IBM (IBM): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

On P/B ratio, both Dynatrace (DT) at 5.47 and IBM (IBM) at 6.52 are valued close to their industries’ norm against book — neither stands out from peers.

DT

Software & Services industry group

5.47

Max
16.63
Q3
8.50
DT
5.47
Median
4.30
Q1
1.92
Min
-3.90

IBM

Software & Services industry group

6.52

Max
16.63
Q3
8.50
IBM
6.52
Median
4.30
Q1
1.92
Min
-3.90
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Dynatrace (DT) vs. IBM (IBM): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for Dynatrace (DT) and IBM (IBM)
MetricDTIBM
P/E Ratio (TTM)80.4420.90
P/S Ratio (TTM)5.713.31
P/B Ratio (MRQ)5.476.52
Free Cash Flow Yield (TTM)4.09%5.34%