International Business Machines (IBM)vsUniversal Corporation (UVV)
IBM
International Business Machines
$229.76
-0.67%
TECHNOLOGY · Cap: $217.40B
UVV
Universal Corporation
$53.70
-0.11%
CONSUMER DEFENSIVE · Cap: $1.34B
Smart Verdict
WallStSmart Research — data-driven comparison
International Business Machines generates 2267% more annual revenue ($68.91B vs $2.91B). IBM leads profitability with a 15.6% profit margin vs 2.9%. IBM appears more attractively valued with a PEG of 2.11. IBM earns a higher WallStSmart Score of 60/100 (C).
IBM
Buy60
out of 100
Grade: C
UVV
Hold45
out of 100
Grade: D+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-28.7%
Fair Value
$178.54
Current Price
$229.76
$51.22 premium
Margin of Safety
+33.4%
Fair Value
$79.32
Current Price
$53.70
$25.62 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Every $100 of equity generates 36 in profit
Generating 4.8B in free cash flow
Reasonable price relative to book value
Attractively priced relative to earnings
Areas to Watch
Expensive relative to growth rate
Weak financial health signals
Elevated debt levels
Smaller company, higher risk/reward
ROE of 7.0% — below average capital efficiency
2.9% margin — thin
Expensive relative to growth rate
Comparative Analysis Report
WallStSmart ResearchBull 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 : UVV
The strongest argument for UVV centers on Price/Book, P/E 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.
Bear Case : UVV
The primary concerns for UVV are Market Cap, Return on Equity, Profit Margin. Thin 2.9% margins leave little buffer for downturns.
Key Dynamics to Monitor
IBM profiles as a mature stock while UVV is a value play — different risk/reward profiles.
UVV carries more volatility with a beta of 0.59 — expect wider price swings.
IBM is growing revenue faster at 9.5% — sustainability is the question.
IBM generates stronger free cash flow (4.8B), providing more financial flexibility.
Bottom Line
IBM scores higher overall (60/100 vs 45/100), backed by strong 15.6% margins. UVV offers better value entry with a 33.4% margin of safety. 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.
Visit Website →Universal Corporation
CONSUMER DEFENSIVE · TOBACCO · USA
Universal Corporation processes and supplies leaf tobacco and plant ingredients worldwide. The company is headquartered in Richmond, Virginia.
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