IBM vs. MSTR: IBM vs. Strategy Stock Comparison
How do IBM (IBM) and Strategy (MSTR) 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
IBM (IBM) and Strategy (MSTR) both fall under the Software & Services industry group, but IBM is classified in IT Services while MSTR is classified in Software.
| Profile Item | IBM | MSTR |
|---|---|---|
| Name | International Business Machines Corporation | Strategy Inc. |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | IT Services | Software |
| GICS Sub-Industry | IT Consulting & Other Services | Application Software |
| Market Capitalization | 255.30 billion USD | 29.45 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | January 2, 1962 | June 11, 1998 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Performance Metrics
| Metric | IBM | MSTR |
|---|---|---|
| Total Return (1Y) | -4.57% | -78.70% |
Risk Profile
Drawdown History
Strategy (MSTR) has a highly aggressive beta of 3.60, indicating much higher sensitivity to broad-market moves, while IBM (IBM) is defensive at 0.69 and tends to be less market-sensitive — a wide gap in beta profiles.
Risk Metrics
| Metric | IBM | MSTR |
|---|---|---|
| Volatility (1Y, Annualized) | 40.51% | 73.18% |
| Beta (5Y) | 0.69 | 3.60 |
| Avg. Volume (3M) | 8.46M | 19.82M |
Risk-Adjusted Performance
Risk-Return Positioning
Profitability
ROE (TTM)
Strategy (MSTR) reports a negative ROE of -30.76%; negative ROE can reflect losses or negative shareholders’ equity, so it is harder to read as capital efficiency. Meanwhile IBM (IBM) reports 35.77%, ranking against industry peers normally.
IBM
Software & Services industry group
35.77%
- Max
- 53.38%
- IBM
- 35.77%
- Q3
- 16.53%
- Median
- 5.38%
- Q1
- -13.43%
- Min
- -55.27%
MSTR
Software & Services industry group
-30.76%
- Max
- 53.38%
- Q3
- 16.53%
- Median
- 5.38%
- Q1
- -13.43%
- MSTR
- -30.76%
- Min
- -55.27%
Net Margin (TTM)
IBM (IBM) at 15.61% retains a top-quartile share of revenue as profit, ahead of Strategy (MSTR) at 0.00%, which keeps about the industry-typical share.
IBM
Software & Services industry group
15.61%
- Max
- 44.20%
- IBM
- 15.61%
- Q3
- 14.93%
- Median
- 3.32%
- Q1
- -5.99%
- Min
- -34.99%
MSTR
Software & Services industry group
0.00%
- Max
- 44.20%
- Q3
- 14.93%
- Median
- 3.32%
- MSTR
- 0.00%
- Q1
- -5.99%
- Min
- -34.99%
Operating Margin (TTM)
Strategy (MSTR) reports a negative operating margin of -11,641.53%, usually indicating that operating costs exceeded revenue at the operating-income line. Meanwhile IBM (IBM) reports 13.81%, ranking against industry peers normally.
IBM
Software & Services industry group
13.81%
- Max
- 60.45%
- Q3
- 16.49%
- IBM
- 13.81%
- Median
- 4.46%
- Q1
- -12.92%
- Min
- -53.94%
MSTR
Software & Services industry group
-11,641.53%
- Max
- 60.45%
- Q3
- 16.49%
- Median
- 4.46%
- Q1
- -12.92%
- Min
- -53.94%
- MSTR
- -11,641.53%
Profitability Metrics
| Metric | IBM | MSTR |
|---|---|---|
| ROE (TTM) | 35.77% | -30.76% |
| ROA (TTM) | 5.37% | -17.81% |
| Net Margin (TTM) | 15.61% | 0.00% |
| Operating Margin (TTM) | 13.81% | -11,641.53% |
| Gross Margin (TTM) | 58.36% | 68.11% |
Growth
Revenue Growth
Revenue Growth Metrics
| Metric | IBM | MSTR |
|---|---|---|
| Revenue Growth (YoY) | 7.62% | 2.97% |
| Revenue Growth (3Y CAGR) | 3.72% | -1.49% |
EPS Growth
EPS Growth Metrics
| Metric | IBM | MSTR |
|---|---|---|
| EPS Growth (YoY) | 73.72% | -- |
| EPS Growth (3Y CAGR) | 83.76% | -- |
Financial Strength
Current Ratio (MRQ)
Strategy (MSTR) at 6.05 carries current ratio above its industry’s typical mid-range, while IBM (IBM) at 0.80 runs in the tighter-liquidity quartile — different working-capital profiles, both worth examining.
IBM
Software & Services industry group
0.80
- Max
- 5.55
- Q3
- 2.88
- Median
- 1.72
- Q1
- 1.07
- IBM
- 0.80
- Min
- 0.03
MSTR
Software & Services industry group
6.05
- MSTR
- 6.05
- Max
- 5.55
- Q3
- 2.88
- Median
- 1.72
- Q1
- 1.07
- Min
- 0.03
Debt / Equity (MRQ)
Strategy (MSTR) at 0.18 carries an industry-typical debt-to-equity mix, while IBM (IBM) at 2.11 uses more debt funding than most peers.
IBM
Software & Services industry group
2.11
- Max
- 2.31
- IBM
- 2.11
- Q3
- 1.06
- Median
- 0.32
- Q1
- 0.06
- Min
- 0.00
MSTR
Software & Services industry group
0.18
- Max
- 2.31
- Q3
- 1.06
- Median
- 0.32
- MSTR
- 0.18
- Q1
- 0.06
- Min
- 0.00
Financial Strength Metrics
| Metric | IBM | MSTR |
|---|---|---|
| Current Ratio (MRQ) | 0.80 | 6.05 |
| Debt / Equity (MRQ) | 2.11 | 0.18 |
| Net Debt / EBITDA | 3.49 | -- |
Dividends
Dividend Yield (TTM)
Strategy (MSTR) 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 2.60%, ranking against industry peers normally.
IBM
Software & Services industry group
2.60%
- IBM
- 2.60%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSTR
Software & Services industry group
0.00%
- MSTR
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Strategy (MSTR) 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 59.47%, ranking against industry peers normally.
IBM
Software & Services industry group
59.47%
- IBM
- 59.47%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSTR
Software & Services industry group
0.00%
- MSTR
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | IBM | MSTR |
|---|---|---|
| Dividend Yield (TTM) | 2.60% | 0.00% |
| Dividend Payout Ratio (TTM) | 59.47% | 0.00% |
Valuation
P/E Ratio (TTM)
An earnings multiple is available for just one side: IBM (IBM) trades at 24.04 times trailing earnings, ranked against its peers, while Strategy (MSTR) has no P/E ratio this period.
IBM
Software & Services industry group
24.04
- Max
- 114.57
- Q3
- 59.78
- Median
- 29.42
- IBM
- 24.04
- Q1
- 16.20
- Min
- 0.40
MSTR
Software & Services industry group
--
- Max
- 114.57
- Q3
- 59.78
- Median
- 29.42
- Q1
- 16.20
- Min
- 0.40
- MSTR
- --
P/S Ratio (TTM)
IBM (IBM) at 3.70 prices around its industry’s typical P/S ratio, while Strategy (MSTR) at 60.04 clears its benchmark range — MSTR looks notably rich on sales.
IBM
Software & Services industry group
3.70
- Max
- 17.86
- Q3
- 8.79
- Median
- 4.10
- IBM
- 3.70
- Q1
- 2.13
- Min
- 0.03
MSTR
Software & Services industry group
60.04
- MSTR
- 60.04
- Max
- 17.86
- Q3
- 8.79
- Median
- 4.10
- Q1
- 2.13
- Min
- 0.03
P/B Ratio (MRQ)
Strategy (MSTR) at 0.78 sits in the lower P/B ratio quartile against book while IBM (IBM) at 7.74 is valued near its industry’s middle — MSTR is cheaper on assets, though weigh it against ROE and asset quality.
IBM
Software & Services industry group
7.74
- Max
- 17.72
- Q3
- 8.62
- IBM
- 7.74
- Median
- 3.82
- Q1
- 1.97
- Min
- -7.65
MSTR
Software & Services industry group
0.78
- Max
- 17.72
- Q3
- 8.62
- Median
- 3.82
- Q1
- 1.97
- MSTR
- 0.78
- Min
- -7.65
Valuation Metrics
| Metric | IBM | MSTR |
|---|---|---|
| P/E Ratio (TTM) | 24.04 | -- |
| P/S Ratio (TTM) | 3.70 | 60.04 |
| P/B Ratio (MRQ) | 7.74 | 0.78 |
| Free Cash Flow Yield (TTM) | 5.12% | -29.54% |