WallStSmart

International Business Machines (IBM)vsSony Group Corp (SONY)

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Smart Verdict

WallStSmart Research — data-driven comparison

Sony Group Corp generates 18010% more annual revenue ($12.48T vs $68.91B). IBM leads profitability with a 15.6% profit margin vs -2.6%. SONY appears more attractively valued with a PEG of 1.92. IBM earns a higher WallStSmart Score of 60/100 (C).

IBM

Buy

60

out of 100

Grade: C

Growth: 5.3Profit: 7.5Value: 4.3Quality: 4.0
Piotroski: 3/9Altman Z: 2.29

SONY

Hold

47

out of 100

Grade: D+

Growth: 5.3Profit: 4.0Value: 5.0Quality: 7.0
Piotroski: 5/9Altman Z: 2.43

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

IBM3 strengths · Avg: 9.3/10
Market CapQuality
$252.56B10/10

Mega-cap, among the largest globally

Return on EquityProfitability
32.6%10/10

Every $100 of equity generates 33 in profit

Free Cash FlowQuality
$4.78B8/10

Generating 4.8B in free cash flow

SONY5 strengths · Avg: 8.8/10
Free Cash FlowQuality
$379.67B10/10

Generating 379.7B in free cash flow

Market CapQuality
$124.55B9/10

Large-cap with strong market position

Debt/EquityHealth
0.219/10

Conservative balance sheet, low leverage

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
15.4%8/10

15.4% revenue growth

Areas to Watch

IBM3 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.512/10

Expensive relative to growth rate

Debt/EquityHealth
2.121/10

Elevated debt levels

SONY4 concerns · Avg: 2.3/10
PEG RatioValuation
1.924/10

Expensive relative to growth rate

Return on EquityProfitability
-4.2%2/10

ROE of -4.2% — below average capital efficiency

EPS GrowthGrowth
-57.5%2/10

Earnings declined 57.5%

Profit MarginProfitability
-2.6%1/10

Currently unprofitable

Comparative Analysis Report

WallStSmart Research

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%.

Bull Case : SONY

The strongest argument for SONY centers on Free Cash Flow, Market Cap, Debt/Equity. Revenue growth of 15.4% demonstrates continued momentum.

Bear Case : IBM

The primary concerns for IBM are Piotroski F-Score, PEG Ratio, Debt/Equity. Debt-to-equity of 2.12 is elevated, increasing financial risk.

Bear Case : SONY

The primary concerns for SONY are PEG Ratio, Return on Equity, EPS Growth.

Key Dynamics to Monitor

IBM profiles as a mature stock while SONY is a growth play — different risk/reward profiles.

SONY carries more volatility with a beta of 0.74 — expect wider price swings.

SONY is growing revenue faster at 15.4% — sustainability is the question.

SONY generates stronger free cash flow (379.7B), providing more financial flexibility.

Bottom Line

IBM scores higher overall (60/100 vs 47/100), backed by strong 15.6% margins. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

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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Sony Group Corp

TECHNOLOGY · CONSUMER ELECTRONICS · USA

Sony Group Corporation designs, develops, produces and sells electronic equipment, instruments and devices for the consumer, professional and industrial markets worldwide. The company is headquartered in Tokyo, Japan.

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