Here are some excellent reasons to buy IBM:
1. Good earnings yield of 6.71% beats the 30 year US treasury bond
yield of 4.75%
2. PEGY ratio of 1.12 is excellent, showing that it definitely has the
earnings growth and the dividend yield to justify it's P/E of 14.90
3. $.30/share quarterly dividend is nice
4 IBM should definitely look at using it's stock to acquire other
companies, due to it's relatively high P/B of 4.80
5 A return on assets of 9.20% is excellent! Above it's main
competitor, HP, ROA of 8.00%
6. A 22.4% ROI is way better than HP's ROI of only 16%
7. Has excellent profitability with a operating margin of 18.50%,
double HP's 9.70%
8. IBM landed a $4MM deal w/ Brownsville to design a citywide
technology modernization project.
http://www.marketwatch.com/news/story/brownsville-goes-blue-ibm-help/...
Any comments or additions? Hope my analysis helps!!!
1. Good earnings yield of 6.71% beats the 30 year US treasury bond
yield of 4.75%
2. PEGY ratio of 1.12 is excellent, showing that it definitely has the
earnings growth and the dividend yield to justify it's P/E of 14.90
3. $.30/share quarterly dividend is nice
4 IBM should definitely look at using it's stock to acquire other
companies, due to it's relatively high P/B of 4.80
5 A return on assets of 9.20% is excellent! Above it's main
competitor, HP, ROA of 8.00%
6. A 22.4% ROI is way better than HP's ROI of only 16%
7. Has excellent profitability with a operating margin of 18.50%,
double HP's 9.70%
8. IBM landed a $4MM deal w/ Brownsville to design a citywide
technology modernization project.
http://www.marketwatch.com/news/story/brownsville-goes-blue-ibm-help/...
Any comments or additions? Hope my analysis helps!!!
