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

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

Company Profile

SymbolIBMMANH
Company NameInternational Business Machines CorporationManhattan Associates, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustryIT ServicesSoftware
Market Capitalization268.90 billion USD12.79 billion USD
ExchangeNYSENasdaqGS
Listing DateJanuary 2, 1962April 23, 1998
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of IBM and MANH 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.

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

Historical Performance at a Glance

SymbolIBMMANH
5-Day Price Return5.47%-3.52%
13-Week Price Return-4.28%3.80%
26-Week Price Return12.71%16.72%
52-Week Price Return27.77%-26.86%
Month-to-Date Return15.88%-4.86%
Year-to-Date Return28.35%-24.15%
10-Day Avg. Volume6.49M0.57M
3-Month Avg. Volume4.69M0.67M
3-Month Volatility26.73%29.41%
Beta0.691.10

Profitability

Return on Equity (TTM)

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.

MANH

80.35%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

MANH’s Return on Equity of 80.35% is exceptionally high, placing it well beyond the typical range for the Software industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

IBM vs. MANH: A comparison of their Return on Equity (TTM) against their respective IT Services and Software industry benchmarks.

Net Profit Margin (TTM)

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.

MANH

20.91%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

A Net Profit Margin of 20.91% places MANH in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

IBM vs. MANH: A comparison of their Net Profit Margin (TTM) against their respective IT Services and Software industry benchmarks.

Operating Profit Margin (TTM)

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.

MANH

25.79%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

An Operating Profit Margin of 25.79% places MANH in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

IBM vs. MANH: A comparison of their Operating Profit Margin (TTM) against their respective IT Services and Software industry benchmarks.

Profitability at a Glance

SymbolIBMMANH
Return on Equity (TTM)21.99%80.35%
Return on Assets (TTM)4.12%30.41%
Net Profit Margin (TTM)9.11%20.91%
Operating Profit Margin (TTM)9.77%25.79%
Gross Profit Margin (TTM)57.57%56.28%

Financial Strength

Current Ratio (MRQ)

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.

MANH

1.19

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

MANH’s Current Ratio of 1.19 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.

IBM vs. MANH: A comparison of their Current Ratio (MRQ) against their respective IT Services and Software industry benchmarks.

Debt-to-Equity Ratio (MRQ)

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.

MANH

0.00

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

MANH’s Debt-to-Equity Ratio of 0.00 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

IBM vs. MANH: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective IT Services and Software industry benchmarks.

Interest Coverage Ratio (TTM)

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.

MANH

35.00

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

MANH’s Interest Coverage Ratio of 35.00 is in the upper quartile for the Software industry, signifying a strong and healthy capacity to meet its interest payments from operating profits.

IBM vs. MANH: A comparison of their Interest Coverage Ratio (TTM) against their respective IT Services and Software industry benchmarks.

Financial Strength at a Glance

SymbolIBMMANH
Current Ratio (MRQ)0.911.19
Quick Ratio (MRQ)0.801.11
Debt-to-Equity Ratio (MRQ)2.330.00
Interest Coverage Ratio (TTM)45.5735.00

Growth

Revenue Growth

IBM vs. MANH: 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

IBM vs. MANH: 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)

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.

MANH

0.00%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

MANH currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

IBM vs. MANH: A comparison of their Dividend Yield (TTM) against their respective IT Services and Software industry benchmarks.

Dividend Payout Ratio (TTM)

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.

MANH

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

MANH has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

IBM vs. MANH: A comparison of their Dividend Payout Ratio (TTM) against their respective IT Services and Software industry benchmarks.

Dividend at a Glance

SymbolIBMMANH
Dividend Yield (TTM)2.35%0.00%
Dividend Payout Ratio (TTM)75.57%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

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.

MANH

56.14

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

MANH’s P/E Ratio of 56.14 is within the middle range for the Software 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 vs. MANH: A comparison of their Price-to-Earnings Ratio (TTM) against their respective IT Services and Software industry benchmarks.

Price-to-Sales Ratio (TTM)

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.

MANH

11.74

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

MANH’s P/S Ratio of 11.74 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

IBM vs. MANH: A comparison of their Price-to-Sales Ratio (TTM) against their respective IT Services and Software industry benchmarks.

Price-to-Book Ratio (MRQ)

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.

MANH

43.01

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

At 43.01, MANH’s P/B Ratio is at an extreme premium to the Software industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

IBM vs. MANH: A comparison of their Price-to-Book Ratio (MRQ) against their respective IT Services and Software industry benchmarks.

Valuation at a Glance

SymbolIBMMANH
Price-to-Earnings Ratio (TTM)45.1456.14
Price-to-Sales Ratio (TTM)4.1111.74
Price-to-Book Ratio (MRQ)9.9643.01
Price-to-Free Cash Flow Ratio (TTM)22.4040.40