IBM vs. VRSN: IBM vs. VeriSign Stock Comparison
How do IBM (IBM) and VeriSign (VRSN) 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 VeriSign (VRSN) both belong to the IT Services industry, though IBM is classified under IT Consulting & Other Services while VRSN falls under Internet Services & Infrastructure.
| Profile Item | IBM | VRSN |
|---|---|---|
| Name | International Business Machines Corporation | VeriSign, Inc. |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | IT Services | IT Services |
| GICS Sub-Industry | IT Consulting & Other Services | Internet Services & Infrastructure |
| Market Capitalization | 231.55 billion USD | 27.69 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | January 2, 1962 | January 30, 1998 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | IBM | VRSN |
|---|---|---|
| Total Return (1Y) | -16.98% | 28.37% |
| Total Return (3Y, Annualized) | 22.40% | 15.25% |
| Total Return (5Y, Annualized) | 19.64% | 5.98% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | IBM | VRSN |
|---|---|---|
| Volatility (1Y, Annualized) | 48.48% | 28.25% |
| Beta (5Y) | 0.79 | 0.67 |
| Max Drawdown (5Y) | -37.50% | -38.85% |
| Avg. Volume (3M) | 5.30M | 869.64K |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | IBM | VRSN |
|---|---|---|
| Sharpe Ratio (1Y) | -0.44 | 0.85 |
| Sortino Ratio (1Y) | -0.56 | 1.24 |
Profitability
ROE (TTM)
Capital efficiency shows on one side only: IBM (IBM) earns 34.77% on shareholders’ equity, ranked against its industry; VeriSign (VRSN) has no ROE this period.
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%
VRSN
Software & Services industry group
--
- Max
- 53.85%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
- VRSN
- --
Net Margin (TTM)
VeriSign (VRSN) at 49.07% keeps the most of each sales dollar — above its industry’s net margin range — and IBM (IBM) at 15.99% also retains a top-quartile share.
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%
VRSN
Software & Services industry group
49.07%
- VRSN
- 49.07%
- Max
- 41.17%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
VeriSign (VRSN) at 68.62% turns sales into operating profit above its industry’s benchmark range, while IBM (IBM) at 16.97% operates around its industry’s norm.
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%
VRSN
Software & Services industry group
68.62%
- VRSN
- 68.62%
- Max
- 46.89%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | IBM | VRSN |
|---|---|---|
| ROE (TTM) | 34.77% | -- |
| ROA (TTM) | 5.33% | 54.90% |
| Net Margin (TTM) | 15.99% | 49.07% |
| Operating Margin (TTM) | 16.97% | 68.62% |
| Gross Margin (TTM) | 57.97% | 88.57% |
Growth
Revenue Growth
IBM (IBM) at 7.62% is around its peer norm for revenue growth, while VeriSign (VRSN) at 6.37% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
IBM (IBM) at 73.72% sits in the top EPS growth quartile, while VeriSign (VRSN) at 10.13% is closer to the peer norm — faster per-share earnings growth for IBM.
Growth Metrics
| Metric | IBM | VRSN |
|---|---|---|
| Revenue Growth (YoY) | 7.62% | 6.37% |
| Revenue Growth (3Y CAGR) | 3.72% | 5.15% |
| EPS Growth (YoY) | 73.72% | 10.13% |
| EPS Growth (3Y CAGR) | 83.76% | 12.18% |
Financial Strength
Current Ratio (MRQ)
Both IBM (IBM) at 0.86 and VeriSign (VRSN) at 0.42 run current ratio in the tighter-liquidity quartile of industry peers, leaving thinner cushions against current liabilities than typical competitors.
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
VRSN
Software & Services industry group
0.42
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- Q1
- 1.01
- VRSN
- 0.42
- Min
- 0.03
Debt / Equity (MRQ)
Only one side’s leverage can be read here: IBM (IBM) carries debt-to-equity ratio of 1.85 against its industry range, while VeriSign (VRSN) reports no figure this period.
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
VRSN
Software & Services industry group
--
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- Q1
- 0.07
- Min
- 0.00
- VRSN
- --
Financial Strength Metrics
| Metric | IBM | VRSN |
|---|---|---|
| Current Ratio (MRQ) | 0.86 | 0.42 |
| Debt / Equity (MRQ) | 1.85 | -- |
| Net Debt / EBITDA | 3.37 | 1.09 |
Dividends
Dividend Yield (TTM)
Both IBM (IBM) at 2.73% and VeriSign (VRSN) at 1.03% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.
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%
VRSN
Software & Services industry group
1.03%
- VRSN
- 1.03%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both IBM (IBM) at 57.51% and VeriSign (VRSN) at 34.45% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.
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%
VRSN
Software & Services industry group
34.45%
- VRSN
- 34.45%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | IBM | VRSN |
|---|---|---|
| Dividend Yield (TTM) | 2.73% | 1.03% |
| Dividend Payout Ratio (TTM) | 57.51% | 34.45% |
Valuation
P/E Ratio (TTM)
Both IBM (IBM) at 20.90 and VeriSign (VRSN) at 33.23 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
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
VRSN
Software & Services industry group
33.23
- Max
- 112.94
- Q3
- 60.32
- VRSN
- 33.23
- Median
- 32.91
- Q1
- 18.77
- Min
- 6.69
P/S Ratio (TTM)
IBM (IBM) at 3.31 is priced about in line with its industry on P/S ratio, while VeriSign (VRSN) at 15.99 sits in the pricier quartile — VRSN costs more per dollar of sales.
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
VRSN
Software & Services industry group
15.99
- Max
- 17.91
- VRSN
- 15.99
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
VeriSign (VRSN) reports a negative P/B ratio of -12.13, meaning negative book equity — the multiple itself is not meaningful for valuation. Meanwhile IBM (IBM) reports 6.52, ranking against industry peers normally.
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
VRSN
Software & Services industry group
-12.13
- Max
- 16.63
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
- VRSN
- -12.13
Valuation Metrics
| Metric | IBM | VRSN |
|---|---|---|
| P/E Ratio (TTM) | 20.90 | 33.23 |
| P/S Ratio (TTM) | 3.31 | 15.99 |
| P/B Ratio (MRQ) | 6.52 | -12.13 |
| Free Cash Flow Yield (TTM) | 5.34% | 2.89% |