By Trefis Team
Publication Date: 2026-10-25 11:58:00
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International Business Machines (IBM) trades at 21.4 times earnings, the second-highest valuation among the five companies in a peer group that also includes Microsoft, Amazon, Alphabet and Accenture. Over its latest four quarters, however, IBM’s revenue growth ranks fourth out of the five. Its shares also returned less than any of the others over the past year. So how much more are you paying for IBM’s profit than for a rival’s?
How Much More Does IBM Stock Cost Than Accenture?
Investors pay about 20% more for each dollar of IBM’s profit than for Accenture’s, and they receive almost the same growth. Both companies operate in the same industry of IT consulting and other services. IBM expanded its revenue 6.8% over its latest four quarters, compared with 6.5% for Accenture. Still, the market values IBM stock at 21.4 times earnings, while Accenture trades at 17.9.
IBM does…