IBM (IBM) vs. SAP (SAP)
This page compares IBM (IBM) with SAP (SAP) using historical performance, profitability, financial strength, growth, dividend, and valuation metrics.
Company Profile
IBM (IBM) and SAP (SAP) both fall under the Software & Services industry group, but IBM is classified in IT Services while SAP is classified in Software.
IBM (IBM) trades as a standard ordinary-equity line, while SAP (SAP) is an ADR tied to a foreign-share or depositary-receipt structure — compare with FX exposure, program fees, and dividend-withholding-tax differences in mind.
| Symbol | IBM | SAP |
|---|---|---|
| Company Name | International Business Machines Corporation | SAP SE |
| Country/Region | United States | Germany |
| 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 | 208.96 billion USD | 210.79 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | NYSE |
| Listing Date | January 2, 1962 | September 18, 1995 |
| Security Type | Common Stock | ADR |
Historical Performance
Historical Performance at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| 5-Day Price Return | 3.58% | 15.02% |
| 13-Week Price Return | -13.93% | -8.74% |
| 26-Week Price Return | -29.13% | -27.33% |
| 52-Week Price Return | -17.17% | -41.04% |
| Month-to-Date Return | -3.74% | 7.71% |
| Year-to-Date Return | -24.94% | -24.78% |
| 10-Day Avg. Volume | 6.35M | 3.28M |
| 3-Month Avg. Volume | 6.10M | 3.23M |
| 3-Month Volatility | 41.39% | 39.39% |
| Beta | 0.56 | 0.94 |
Profitability
Return on Equity (TTM)
IBM (IBM) at 35.53% ranks in the top quartile for Return on Equity (TTM), ahead of SAP (SAP) at 16.88%, which sits closer to the industry mid-range.
IBM
Software & Services industry group
35.53%
- Max
- 62.31%
- Q3
- 20.29%
- Median
- 7.31%
- Q1
- -8.50%
- Min
- -50.67%
SAP
Software & Services industry group
16.88%
- Max
- 62.31%
- Q3
- 20.29%
- Median
- 7.31%
- Q1
- -8.50%
- Min
- -50.67%
Net Profit Margin (TTM)
SAP (SAP) at 19.58% 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%
SAP
Software & Services industry group
19.58%
- Max
- 44.20%
- Q3
- 16.48%
- Median
- 8.18%
- Q1
- -3.67%
- Min
- -28.43%
Operating Profit Margin (TTM)
SAP (SAP) at 26.85% 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%
SAP
Software & Services industry group
26.85%
- Max
- 46.75%
- Q3
- 17.04%
- Median
- 6.53%
- Q1
- -4.60%
- Min
- -34.31%
Profitability at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| Return on Equity (TTM) | 35.53% | 16.88% |
| Return on Assets (TTM) | 7.13% | 10.42% |
| Net Profit Margin (TTM) | 15.60% | 19.58% |
| Operating Profit Margin (TTM) | 15.32% | 26.85% |
| Gross Profit Margin (TTM) | 58.36% | 73.72% |
Financial Strength
Current Ratio (MRQ)
Both IBM (IBM) at 0.80 and SAP (SAP) at 1.07 run Current Ratio (MRQ) in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
IBM
Software & Services industry group
0.80
- Max
- 4.52
- Q3
- 2.50
- Median
- 1.64
- Q1
- 1.13
- Min
- 0.31
SAP
Software & Services industry group
1.07
- Max
- 4.52
- Q3
- 2.50
- Median
- 1.64
- Q1
- 1.13
- Min
- 0.31
Debt-to-Equity Ratio (MRQ)
SAP (SAP) at 0.18 carries Debt-to-Equity Ratio (MRQ) around its industry mid-range, while IBM (IBM) at 2.01 sits in the higher-leverage quartile.
IBM
Software & Services industry group
2.01
- Max
- 2.69
- Q3
- 1.27
- Median
- 0.38
- Q1
- 0.00
- Min
- 0.00
SAP
Software & Services industry group
0.18
- Max
- 2.69
- Q3
- 1.27
- Median
- 0.38
- Q1
- 0.00
- Min
- 0.00
Interest Coverage Ratio (TTM)
Both IBM (IBM) at 45.57 and SAP (SAP) at 32.64 rank in the top quartile for Interest Coverage Ratio (TTM) among industry peers, indicating ample headroom to cover interest payments from operating income or EBIT.
IBM
Software & Services industry group
45.57
- Max
- 45.58
- Q3
- 11.44
- Median
- -0.40
- Q1
- -13.69
- Min
- -51.04
SAP
Software & Services industry group
32.64
- Max
- 45.58
- Q3
- 11.44
- Median
- -0.40
- Q1
- -13.69
- Min
- -51.04
Financial Strength at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| Current Ratio (MRQ) | 0.80 | 1.07 |
| Quick Ratio (MRQ) | 0.68 | 1.07 |
| Debt-to-Equity Ratio (MRQ) | 2.01 | 0.18 |
| Interest Coverage Ratio (TTM) | 45.57 | 32.64 |
Growth
Revenue Growth
Revenue Growth at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| Revenue Growth (MRQ vs Prior YoY) | 9.46% | 6.01% |
| Revenue Growth (TTM vs Prior YoY) | 9.67% | 6.24% |
| 3-Year Revenue CAGR | 3.72% | 7.62% |
| 5-Year Revenue CAGR | 4.12% | 6.12% |
EPS Growth
EPS Growth at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| EPS Growth (MRQ vs Prior YoY) | 14.24% | 9.38% |
| EPS Growth (TTM vs Prior YoY) | 94.45% | 28.35% |
| 3-Year EPS CAGR | 83.85% | 46.36% |
| 5-Year EPS CAGR | 12.36% | 6.97% |
Dividend
Dividend Yield (TTM)
Both IBM (IBM) at 2.99% and SAP (SAP) at 1.59% 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%
SAP
Software & Services industry group
1.59%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
SAP (SAP) reports an unusual Dividend Payout Ratio (TTM) of 161.64% — outside the typical 0–100% range, indicating either negative earnings (negative ratio) or dividends above current-period earnings (above 100%), both signaling sustainability concerns. Meanwhile IBM (IBM) reports 58.43%, ranking against industry peers normally.
IBM
Software & Services industry group
58.43%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
SAP
Software & Services industry group
161.64%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| Dividend Yield (TTM) | 2.99% | 1.59% |
| Dividend Payout Ratio (TTM) | 58.43% | 161.64% |
Valuation
Price-to-Earnings Ratio (TTM)
Both IBM (IBM) at 19.53 and SAP (SAP) at 23.61 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
SAP
Software & Services industry group
23.61
- Max
- 112.36
- Q3
- 62.61
- Median
- 31.31
- Q1
- 14.45
- Min
- 0.35
Price-to-Sales Ratio (TTM)
Both IBM (IBM) at 3.05 and SAP (SAP) at 4.62 post Price-to-Sales Ratio (TTM) near the typical industry midpoint — neither company stands out strongly from peers on trailing revenue multiple.
IBM
Software & Services industry group
3.05
- Max
- 17.16
- Q3
- 8.26
- Median
- 4.08
- Q1
- 2.21
- Min
- 0.12
SAP
Software & Services industry group
4.62
- Max
- 17.16
- Q3
- 8.26
- Median
- 4.08
- Q1
- 2.21
- Min
- 0.12
Price-to-Book Ratio (MRQ)
Both IBM (IBM) at 6.91 and SAP (SAP) at 4.02 post Price-to-Book Ratio (MRQ) near the typical industry midpoint — neither company stands out strongly from peers on book-value multiple.
IBM
Software & Services industry group
6.91
- Max
- 20.48
- Q3
- 9.90
- Median
- 4.69
- Q1
- 2.39
- Min
- 0.32
SAP
Software & Services industry group
4.02
- Max
- 20.48
- Q3
- 9.90
- Median
- 4.69
- Q1
- 2.39
- Min
- 0.32
Valuation at a Glance
| Symbol | IBM | SAP |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 19.53 | 23.61 |
| Price-to-Sales Ratio (TTM) | 3.05 | 4.62 |
| Price-to-Book Ratio (MRQ) | 6.91 | 4.02 |
| Price-to-Free Cash Flow Ratio (TTM) | 17.13 | 21.37 |