The Hackett Group Inc (HCKT)vsInternational Business Machines (IBM)
HCKT
The Hackett Group Inc
$10.98
+0.37%
TECHNOLOGY · Cap: $272.41M
IBM
International Business Machines
$249.20
+2.43%
TECHNOLOGY · Cap: $229.21B
Smart Verdict
WallStSmart Research — data-driven comparison
International Business Machines generates 24300% more annual revenue ($69.09B vs $283.17M). IBM leads profitability with a 15.5% profit margin vs 5.9%. HCKT appears more attractively valued with a PEG of 0.69. HCKT earns a higher WallStSmart Score of 62/100 (C+).
HCKT
Buy62
out of 100
Grade: C+
IBM
Buy54
out of 100
Grade: C-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-50.6%
Fair Value
$9.55
Current Price
$10.98
$1.43 premium
Margin of Safety
-84.8%
Fair Value
$131.65
Current Price
$249.20
$117.55 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Earnings expanding 193.2% YoY
Every $100 of equity generates 21 in profit
Growing faster than its price suggests
Attractively priced relative to earnings
Mega-cap, among the largest globally
Every $100 of equity generates 31 in profit
Generating 2.4B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
5.9% margin — thin
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
1.1% revenue growth
Elevated debt levels
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : HCKT
The strongest argument for HCKT centers on EPS Growth, Return on Equity, PEG Ratio. PEG of 0.69 suggests the stock is reasonably priced for its growth.
Bull Case : IBM
The strongest argument for IBM centers on Market Cap, Return on Equity, Free Cash Flow. Profitability is solid with margins at 15.5% and operating margin at 16.6%.
Bear Case : HCKT
The primary concerns for HCKT are Market Cap, Profit Margin, Debt/Equity.
Bear Case : IBM
The primary concerns for IBM are PEG Ratio, Revenue Growth, Debt/Equity. Debt-to-equity of 1.89 is elevated, increasing financial risk.
Key Dynamics to Monitor
HCKT carries more volatility with a beta of 0.93 — expect wider price swings.
IBM is growing revenue faster at 1.1% — sustainability is the question.
IBM generates stronger free cash flow (2.4B), providing more financial flexibility.
Monitor INFORMATION TECHNOLOGY SERVICES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
HCKT scores higher overall (62/100 vs 54/100). Both earn "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.
The Hackett Group Inc
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
The Hackett Group, Inc. is a technology consulting and strategic advisory firm primarily in North America and internationally. The company is headquartered in Miami, Florida.
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.
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