IBM

International Business Machines Corporation Technology - IT Services Investor Relations →

NO
64.7% ABOVE
↓ Approaching Was 69.8% last week
-15% -10% -5% 0% 5% 10% 15%+
Buy Threshold $181.54
14-Week RSI 46

International Business Machines Corporation (IBM) closed at $298.93 as of 2026-02-02, trading 64.7% above its 200-week moving average of $181.54. The stock is currently moving closer to the line, down from 69.8% last week. The 14-week RSI sits at 46, indicating neutral momentum.

Over the past 3296 weeks of data, IBM has crossed below its 200-week moving average 43 times. On average, these episodes lasted 24 weeks. Historically, investors who bought IBM at the start of these episodes saw an average one-year return of +7.1%.

With a market cap of $279.4 billion, IBM is a large-cap stock. The company generates a free cash flow yield of 4.6%. Return on equity stands at 35.2%, indicating strong profitability. The stock trades at 8.6x book value.

IBM is a Dividend Aristocrat, having increased its dividend for 25 or more consecutive years. The current yield is 225.00%. Share count has increased 3.1% over three years, indicating dilution.

Over the past 33.2 years, a hypothetical investment of $100 in IBM would have grown to $5138, compared to $2849 for the S&P 500. That represents an annualized return of 12.6% vs 10.6% for the index — confirming IBM as a market-beating investment and the kind of quality company where buying during 200-week moving average touches has historically been rewarded.

Free cash flow has been volatile over the past several years, making the quality of earnings harder to assess.

Growth of $100: IBM vs S&P 500

Monthly data normalized to $100 at start. Vertical dashed lines mark 200-week MA touches.

What Happens After IBM Crosses Below the Line?

Across 25 historical episodes, buying IBM when it crossed below its 200-week moving average produced an average return of +2.9% after 12 months (median +2.0%), compared to +9.3% for the S&P 500 over the same periods. 52% of those episodes were profitable after one year. After 24 months, the average return was +16.2% vs +27.3% for the index.

Each line shows $100 invested at the moment IBM crossed below its 200-week MA. Bold blue = stock average. Gray dashed = S&P 500 average over same periods.

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Historical Touches

IBM has crossed below its 200-week MA 43 times with an average 1-year return of +7.1% after recovery.

Crossed BelowRecoveredWeeksMax Depth1-Year ReturnReturn Since Touch
Dec 1962Apr 19631611.1%+22.1%+29871.6%
Jul 1963Aug 196341.0%+39.9%+26942.0%
Oct 1966Oct 196611.2%+94.3%+21088.5%
May 1970Sep 19702020.7%+26.0%+11079.1%
Oct 1970Nov 197051.3%+7.9%+10260.8%
Jul 1971Nov 1971208.4%+35.7%+10010.2%
Sep 1973Oct 197335.5%-32.6%+8763.3%
Nov 1973Jan 197611243.4%-31.4%+8560.9%
Oct 1979Nov 197962.4%+16.1%+7466.1%
Mar 1980Jul 19801818.1%+7.2%+7376.0%
Feb 1981Feb 198110.1%+9.5%+7033.2%
Apr 1981Jan 19824014.2%+8.8%+7003.9%
Mar 1982Mar 198220.8%+82.2%+6922.7%
Oct 1987Jun 19883615.0%+7.0%+2681.7%
Jul 1988Jan 19892710.3%-1.4%+2616.1%
Feb 1989May 19906320.1%-11.3%+2523.6%
Jul 1990Nov 1990169.9%-5.7%+2594.5%
Jan 1991Jan 199111.7%-12.0%+2613.7%
Apr 1991Sep 1991207.5%-13.8%+2606.6%
Sep 1991Oct 199415849.2%-15.3%+2675.5%
Sep 2001Oct 200123.5%-28.9%+561.8%
Feb 2002Feb 200211.7%-18.1%+506.8%
Apr 2002Jan 20049344.7%-16.3%+514.3%
Mar 2004Nov 2004348.6%-1.1%+530.7%
Mar 2005Mar 200510.0%-5.8%+553.8%
Apr 2005Nov 20053116.8%-4.9%+566.4%
Dec 2005Mar 2006133.8%+15.8%+595.0%
Mar 2006Oct 20062811.7%+15.9%+600.8%
Oct 2008Feb 20091719.7%+46.5%+535.0%
Feb 2009Mar 200957.8%+46.0%+520.7%
Oct 2014Nov 201610728.9%-8.1%+206.7%
May 2017Oct 2017248.1%-3.4%+194.7%
Nov 2017Nov 201721.4%-13.7%+200.2%
Apr 2018Jun 201872.3%+1.4%+203.0%
Jun 2018Jul 201833.5%+3.2%+207.3%
Oct 2018Feb 20191920.9%+6.3%+205.0%
Mar 2019Mar 201912.1%-1.0%+210.4%
May 2019Jun 201966.6%-4.9%+209.8%
Aug 2019Aug 201934.2%-3.8%+204.4%
Oct 2019Jan 2020121.6%-1.4%+205.4%
Feb 2020Jan 20214529.3%-3.6%+207.8%
Jan 2021Mar 202175.9%+19.8%+224.2%
Nov 2021Nov 202120.4%+33.5%+201.6%
Average24+7.1%

Not financial advice. This is an educational tool. Past performance does not guarantee future results. Do your own research before making investment decisions.

Data as of Friday close, 2026-02-02