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IBM (IBM) vs. Oracle (ORCL)

This page compares IBM (IBM) with Oracle (ORCL) using historical performance, profitability, financial strength, growth, dividend, and valuation metrics.

Company Profile

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

SymbolIBMORCL
Company NameInternational Business Machines CorporationOracle Corporation
Country/RegionUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustryIT ServicesSoftware
GICS Sub-IndustryIT Consulting & Other ServicesSystems Software
Market Capitalization208.96 billion USD521.89 billion USD
CurrencyUSDUSD
ExchangeNYSENYSE
Listing DateJanuary 2, 1962March 12, 1986
Security TypeCommon StockCommon Stock

Historical Performance

Oracle (ORCL) has an aggressive beta of 1.55, indicating higher sensitivity to broad-market moves, while IBM (IBM) is defensive at 0.56 and tends to be less market-sensitive — they sit on opposite ends of the beta spectrum.

IBM
ORCL
Loading price history…
IBM (IBM) vs. Oracle (ORCL): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Historical Performance at a Glance

SymbolIBMORCL
5-Day Price Return3.58%-4.37%
13-Week Price Return-13.93%17.85%
26-Week Price Return-29.13%-23.16%
52-Week Price Return-17.17%13.67%
Month-to-Date Return-3.74%12.44%
Year-to-Date Return-24.94%-6.90%
10-Day Avg. Volume6.35M20.96M
3-Month Avg. Volume6.10M28.11M
3-Month Volatility41.39%55.22%
Beta0.561.55

Profitability

Return on Equity (TTM)

Both IBM (IBM) at 35.53% and Oracle (ORCL) at 57.35% rank in the top quartile for Return on Equity (TTM) among industry peers, indicating strong returns on shareholders’ equity.

IBM

Software & Services industry group

35.53%

Max
62.31%
Q3
20.29%
Median
7.31%
Q1
-8.50%
Min
-50.67%

ORCL

Software & Services industry group

57.35%

Max
62.31%
Q3
20.29%
Median
7.31%
Q1
-8.50%
Min
-50.67%
IBM (IBM) vs. Oracle (ORCL): A comparison of their Return on Equity (TTM) against the Software & Services industry group benchmark.

Net Profit Margin (TTM)

Oracle (ORCL) at 25.30% ranks in the top quartile for Net Profit Margin (TTM), ahead of IBM (IBM) at 15.60%, which sits closer to the industry mid-range.

IBM

Software & Services industry group

15.60%

Max
44.20%
Q3
16.48%
Median
8.18%
Q1
-3.67%
Min
-28.43%

ORCL

Software & Services industry group

25.30%

Max
44.20%
Q3
16.48%
Median
8.18%
Q1
-3.67%
Min
-28.43%
IBM (IBM) vs. Oracle (ORCL): A comparison of their Net Profit Margin (TTM) against the Software & Services industry group benchmark.

Operating Profit Margin (TTM)

Oracle (ORCL) at 30.56% ranks in the top quartile for Operating Profit Margin (TTM), ahead of IBM (IBM) at 15.32%, which sits closer to the industry mid-range.

IBM

Software & Services industry group

15.32%

Max
46.75%
Q3
17.04%
Median
6.53%
Q1
-4.60%
Min
-34.31%

ORCL

Software & Services industry group

30.56%

Max
46.75%
Q3
17.04%
Median
6.53%
Q1
-4.60%
Min
-34.31%
IBM (IBM) vs. Oracle (ORCL): A comparison of their Operating Profit Margin (TTM) against the Software & Services industry group benchmark.

Profitability at a Glance

SymbolIBMORCL
Return on Equity (TTM)35.53%57.35%
Return on Assets (TTM)7.13%8.11%
Net Profit Margin (TTM)15.60%25.30%
Operating Profit Margin (TTM)15.32%30.56%
Gross Profit Margin (TTM)58.36%67.08%

Financial Strength

Current Ratio (MRQ)

Oracle (ORCL) at 1.35 keeps Current Ratio (MRQ) within its industry mid-range, while IBM (IBM) at 0.80 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for IBM.

IBM

Software & Services industry group

0.80

Max
4.52
Q3
2.50
Median
1.64
Q1
1.13
Min
0.31

ORCL

Software & Services industry group

1.35

Max
4.52
Q3
2.50
Median
1.64
Q1
1.13
Min
0.31
IBM (IBM) vs. Oracle (ORCL): A comparison of their Current Ratio (MRQ) against the Software & Services industry group benchmark.

Debt-to-Equity Ratio (MRQ)

IBM (IBM) at 2.01 sits in the higher-leverage quartile relative to peers, but Oracle (ORCL) at 3.66 is higher still, above its industry benchmark range.

IBM

Software & Services industry group

2.01

Max
2.69
Q3
1.27
Median
0.38
Q1
0.00
Min
0.00

ORCL

Software & Services industry group

3.66

Max
2.69
Q3
1.27
Median
0.38
Q1
0.00
Min
0.00
IBM (IBM) vs. Oracle (ORCL): A comparison of their Debt-to-Equity Ratio (MRQ) against the Software & Services industry group benchmark.

Interest Coverage Ratio (TTM)

IBM (IBM) at 45.57 ranks in the top quartile for Interest Coverage Ratio (TTM), ahead of Oracle (ORCL) at 4.92, which sits around the industry mid-range.

IBM

Software & Services industry group

45.57

Max
45.58
Q3
11.44
Median
-0.40
Q1
-13.69
Min
-51.04

ORCL

Software & Services industry group

4.92

Max
45.58
Q3
11.44
Median
-0.40
Q1
-13.69
Min
-51.04
IBM (IBM) vs. Oracle (ORCL): A comparison of their Interest Coverage Ratio (TTM) against the Software & Services industry group benchmark.

Financial Strength at a Glance

SymbolIBMORCL
Current Ratio (MRQ)0.801.35
Quick Ratio (MRQ)0.681.22
Debt-to-Equity Ratio (MRQ)2.013.66
Interest Coverage Ratio (TTM)45.574.92

Growth

Revenue Growth

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

Revenue Growth at a Glance

SymbolIBMORCL
Revenue Growth (MRQ vs Prior YoY)9.46%21.66%
Revenue Growth (TTM vs Prior YoY)9.67%14.87%
3-Year Revenue CAGR3.72%10.59%
5-Year Revenue CAGR4.12%8.00%

EPS Growth

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

EPS Growth at a Glance

SymbolIBMORCL
EPS Growth (MRQ vs Prior YoY)14.24%25.08%
EPS Growth (TTM vs Prior YoY)94.45%31.02%
3-Year EPS CAGR83.85%21.66%
5-Year EPS CAGR12.36%7.13%

Dividend

Dividend Yield (TTM)

Both IBM (IBM) at 2.99% and Oracle (ORCL) at 1.07% report Dividend Yield (TTM) near their industry mid-ranges, so neither company stands out strongly from peers on cash yield relative to share price.

IBM

Software & Services industry group

2.99%

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

ORCL

Software & Services industry group

1.07%

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
IBM (IBM) vs. Oracle (ORCL): A comparison of their Dividend Yield (TTM) against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Both IBM (IBM) at 58.43% and Oracle (ORCL) at 35.09% post Dividend Payout Ratio (TTM) outside their industries’ typical mid-range — either leaning toward more retention or more distribution than the industry median.

IBM

Software & Services industry group

58.43%

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

ORCL

Software & Services industry group

35.09%

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
IBM (IBM) vs. Oracle (ORCL): A comparison of their Dividend Payout Ratio (TTM) against the Software & Services industry group benchmark.

Dividend at a Glance

SymbolIBMORCL
Dividend Yield (TTM)2.99%1.07%
Dividend Payout Ratio (TTM)58.43%35.09%

Valuation

Price-to-Earnings Ratio (TTM)

Both IBM (IBM) at 19.53 and Oracle (ORCL) at 32.64 post Price-to-Earnings Ratio (TTM) near the typical industry midpoint — neither company stands out strongly from peers on trailing earnings multiple.

IBM

Software & Services industry group

19.53

Max
112.36
Q3
62.61
Median
31.31
Q1
14.45
Min
0.35

ORCL

Software & Services industry group

32.64

Max
112.36
Q3
62.61
Median
31.31
Q1
14.45
Min
0.35
IBM (IBM) vs. Oracle (ORCL): A comparison of their Price-to-Earnings Ratio (TTM) against the Software & Services industry group benchmark.

Price-to-Sales Ratio (TTM)

IBM (IBM) at 3.05 carries typical industry Price-to-Sales Ratio (TTM), while Oracle (ORCL) at 8.26 sits in the higher-multiple quartile — ORCL carries a higher trailing revenue multiple relative to peers.

IBM

Software & Services industry group

3.05

Max
17.16
Q3
8.26
Median
4.08
Q1
2.21
Min
0.12

ORCL

Software & Services industry group

8.26

Max
17.16
Q3
8.26
Median
4.08
Q1
2.21
Min
0.12
IBM (IBM) vs. Oracle (ORCL): A comparison of their Price-to-Sales Ratio (TTM) against the Software & Services industry group benchmark.

Price-to-Book Ratio (MRQ)

IBM (IBM) at 6.91 carries typical industry Price-to-Book Ratio (MRQ), while Oracle (ORCL) at 11.14 sits in the higher-multiple quartile — ORCL carries a higher book-value multiple relative to peers.

IBM

Software & Services industry group

6.91

Max
20.48
Q3
9.90
Median
4.69
Q1
2.39
Min
0.32

ORCL

Software & Services industry group

11.14

Max
20.48
Q3
9.90
Median
4.69
Q1
2.39
Min
0.32
IBM (IBM) vs. Oracle (ORCL): A comparison of their Price-to-Book Ratio (MRQ) against the Software & Services industry group benchmark.

Valuation at a Glance

SymbolIBMORCL
Price-to-Earnings Ratio (TTM)19.5332.64
Price-to-Sales Ratio (TTM)3.058.26
Price-to-Book Ratio (MRQ)6.9111.14
Price-to-Free Cash Flow Ratio (TTM)17.1362.41