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NYQ · Valuation Lab
IBM
International Business Machines Corporation
Last$235.92
Market cap222.3B
EV/EBITDA16.4x
Intrinsic value
$209.75
MoS -12.5% · Fairly Valued
Assuming 17.4% FCF margin and 1.1% Y1–5 growth.
Upside to price
EV (DCF)254.8B
Terminal share65%
Expected IV$228.28
Probability weights
Projected free cash flows
Stage FCF path with present values · terminal 65% of EV
PV of stage FCFs90.3B
PV of terminal value164.4B
Enterprise value254.8B
Net cash / (debt)-57.1B
Equity value197.6B
Intrinsic value / share$209.75
| Year | Revenue | FCF | PV | DF |
|---|---|---|---|---|
| Y1 | 69.9B | 12.2B | 11.4B | 93.5% |
| Y2 | 70.6B | 12.3B | 10.7B | 87.4% |
| Y3 | 71.4B | 12.4B | 10.2B | 81.7% |
| Y4 | 72.2B | 12.6B | 9.6B | 76.4% |
| Y5 | 73B | 12.7B | 9.1B | 71.4% |
| Y6 | 74.4B | 13B | 8.7B | 66.8% |
| Y7 | 75.9B | 13.2B | 8.2B | 62.4% |
| Y8 | 77.4B | 13.5B | 7.9B | 58.4% |
| Y9 | 79B | 13.7B | 7.5B | 54.6% |
| Y10 | 80.6B | 14B | 7.2B | 51.0% |
| Terminal | — | — | 164.4B | — |
Educational DCF model only — not financial advice. Terminal value and assumptions dominate results; verify filings and run your own diligence.