IBM’s stock has largely underperformed several key peers over the past year as of February 25, 2026, amid a rapidly scaling AI and cloud landscape. Operating Margin: IBM’s 17.7% operating margin is robust, though lower than MSFT’s 46.7% driven by high-margin cloud/AI software, reflecting differing business mixes. Revenue Growth: IBM’s 4.5% LTM revenue growth is modest; peers like MSFT & AMZN capitalize on cloud/AI/advertising, indicating IBM’s hybrid cloud pivot still gaining traction. Stock Performance & Valuation: IBM’s 5.5% 1-year stock decline, trading at 28.1 P/E, trails peers, reflecting market concerns over AI disruption despite its hybrid cloud/AI focus. Here’s how International Business Machines stacks up across size, valuation, and profitability versus key peers.

Source: International New York Times February 26, 2026 15:18 UTC