Apple Inc (AAPL)vsInternational Business Machines (IBM)
AAPL
Apple Inc
$293.32
+2.05%
TECHNOLOGY · Cap: $4.22T
IBM
International Business Machines
$229.76
+0.06%
TECHNOLOGY · Cap: $217.40B
Smart Verdict
WallStSmart Research — data-driven comparison
Apple Inc generates 555% more annual revenue ($451.44B vs $68.91B). AAPL leads profitability with a 27.2% profit margin vs 15.6%. IBM appears more attractively valued with a PEG of 2.11. AAPL earns a higher WallStSmart Score of 67/100 (B-).
AAPL
Strong Buy67
out of 100
Grade: B-
IBM
Buy60
out of 100
Grade: C
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Intrinsic value data unavailable for AAPL.
Margin of Safety
-29.8%
Fair Value
$178.18
Current Price
$229.76
$51.58 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 142 in profit
Strong operational efficiency at 32.3%
Generating 26.7B in free cash flow
Keeps 27 of every $100 in revenue as profit
16.6% revenue growth
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Generating 4.8B in free cash flow
Areas to Watch
Premium valuation, high expectations priced in
Elevated debt levels
Expensive relative to growth rate
Trading at 48.9x book value
Expensive relative to growth rate
Weak financial health signals
Elevated debt levels
Comparative Analysis Report
WallStSmart ResearchBull Case : AAPL
The strongest argument for AAPL centers on Market Cap, Return on Equity, Operating Margin. Profitability is solid with margins at 27.2% and operating margin at 32.3%. Revenue growth of 16.6% demonstrates continued momentum.
Bull Case : IBM
The strongest argument for IBM centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 15.6% and operating margin at 13.8%.
Bear Case : AAPL
The primary concerns for AAPL are P/E Ratio, Debt/Equity, PEG Ratio.
Bear Case : IBM
The primary concerns for IBM are PEG Ratio, Piotroski F-Score, Debt/Equity. Debt-to-equity of 2.06 is elevated, increasing financial risk.
Key Dynamics to Monitor
AAPL profiles as a growth stock while IBM is a mature play — different risk/reward profiles.
AAPL carries more volatility with a beta of 1.06 — expect wider price swings.
AAPL is growing revenue faster at 16.6% — sustainability is the question.
AAPL generates stronger free cash flow (26.7B), providing more financial flexibility.
Bottom Line
AAPL scores higher overall (67/100 vs 60/100), backed by strong 27.2% margins and 16.6% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Apple Inc
TECHNOLOGY · CONSUMER ELECTRONICS · USA
Apple Inc. is an American multinational technology company that specializes in consumer electronics, computer software, and online services. Apple is the world's largest technology company by revenue (totalling $274.5 billion in 2020) and, since January 2021, the world's most valuable company. As of 2021, Apple is the world's fourth-largest PC vendor by unit sales, and fourth-largest smartphone manufacturer. It is one of the Big Five American information technology companies, along with Amazon, Google, Microsoft, and Facebook.
Visit Website →International Business Machines
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
International Business Machines Corporation (IBM) is an American multinational technology company headquartered in Armonk, New York, with operations in over 170 countries. The company began in 1911, founded in Endicott, New York, as the Computing-Tabulating-Recording Company (CTR) and was renamed International Business Machines in 1924. IBM is incorporated in New York. IBM produces and sells computer hardware, middleware and software, and provides hosting and consulting services in areas ranging from mainframe computers to nanotechnology. IBM is also a major research organization, holding the record for most annual U.S. patents generated by a business (as of 2020) for 28 consecutive years. Inventions by IBM include the automated teller machine (ATM), the floppy disk, the hard disk drive, the magnetic stripe card, the relational database, the SQL programming language, the UPC barcode, and dynamic random-access memory (DRAM). The IBM mainframe, exemplified by the System/360, was the dominant computing platform during the 1960s and 1970s.
Visit Website →Compare with Other CONSUMER ELECTRONICS Stocks
Want to dig deeper into these stocks?