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IBM vs. DDOG
Performance
Return for Risk
Drawdowns
Volatility
Dividends
Financials

Performance

IBM vs. DDOG - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in International Business Machines Corporation (IBM) and Datadog, Inc. (DDOG). The values are adjusted to include any dividend payments, if applicable.

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Returns By Period

In the year-to-date period, IBM achieves a -6.89% return, which is significantly lower than DDOG's 69.06% return.


IBM

1D
-0.95%
1M
26.84%
YTD
-6.89%
6M
-10.81%
1Y
-0.65%
3Y*
29.65%
5Y*
18.01%
10Y*
11.09%

DDOG

1D
-1.85%
1M
11.98%
YTD
69.06%
6M
57.47%
1Y
87.40%
3Y*
32.99%
5Y*
19.21%
10Y*
*Multi-year figures are annualized to reflect compound growth (CAGR)

IBM vs. DDOG - Yearly Performance Comparison


2026 (YTD)2025202420232022202120202019
IBM
International Business Machines Corporation
-6.89%38.23%39.27%21.85%10.64%16.65%-1.16%-4.64%
DDOG
Datadog, Inc.
69.06%-4.83%17.72%65.14%-58.73%80.93%160.56%-6.37%

Correlation

The correlation between IBM and DDOG is 0.38, which is low. Their price movements are largely independent, making them effective diversification partners.


Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.38

Correlation (3Y)
Calculated over the trailing 3-year period

0.31

Correlation (5Y)
Calculated over the trailing 5-year period

0.24

Correlation (All Time)
Calculated using the full available price history since Sep 19, 2019

0.17

Over the past year, IBM and DDOG have become more correlated (0.38) than their long-term average of 0.17, meaning their price movements have been converging.

Fundamentals

Market Cap

IBM:

$259.20B

DDOG:

$83.85B

EPS

IBM:

$11.32

DDOG:

$0.37

PE Ratio

IBM:

24.05

DDOG:

615.76

PEG Ratio

IBM:

0.29

DDOG:

5.52

PS Ratio

IBM:

3.75

DDOG:

22.75

PB Ratio

IBM:

7.86

DDOG:

21.02

Total Revenue (TTM)

IBM:

$68.91B

DDOG:

$3.67B

Gross Profit (TTM)

IBM:

$40.64B

DDOG:

$2.93B

EBITDA (TTM)

IBM:

$15.71B

DDOG:

$173.48M

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Return for Risk

IBM vs. DDOG — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

IBM
IBM Risk / Return Rank: 4141
Overall Rank
IBM Sharpe Ratio Rank: 4242
Sharpe Ratio Rank
IBM Sortino Ratio Rank: 3838
Sortino Ratio Rank
IBM Omega Ratio Rank: 3838
Omega Ratio Rank
IBM Calmar Ratio Rank: 4242
Calmar Ratio Rank
IBM Martin Ratio Rank: 4242
Martin Ratio Rank

DDOG
DDOG Risk / Return Rank: 7878
Overall Rank
DDOG Sharpe Ratio Rank: 8181
Sharpe Ratio Rank
DDOG Sortino Ratio Rank: 8383
Sortino Ratio Rank
DDOG Omega Ratio Rank: 8181
Omega Ratio Rank
DDOG Calmar Ratio Rank: 7575
Calmar Ratio Rank
DDOG Martin Ratio Rank: 7171
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

IBM vs. DDOG - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for International Business Machines Corporation (IBM) and Datadog, Inc. (DDOG). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.

Values are calculated on a 1-year rolling basis and updated daily. Risk-adjusted metrics are more stable over longer periods — use the period switch above to explore them.


IBMDDOGDifference
Sharpe ratioReturn per unit of total volatility

-1.36

Sortino ratioReturn per unit of downside risk

-2.17

Omega ratioGain probability vs. loss probability

1.04

1.30

-0.26

Calmar ratioReturn relative to maximum drawdown

-0.02

1.81

-1.83

Martin ratioReturn relative to average drawdown

-0.05

3.53

-3.57

IBM vs. DDOG - Sharpe Ratio Comparison

The current IBM Sharpe Ratio is -0.02, which is lower than the DDOG Sharpe Ratio of 1.34. The chart below compares the historical Sharpe Ratios of IBM and DDOG, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


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Drawdowns

IBM vs. DDOG - Drawdown Comparison

The maximum IBM drawdown since its inception was -69.40%, roughly equal to the maximum DDOG drawdown of -68.11%. Use the drawdown chart below to compare losses from any high point for IBM and DDOG.


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Drawdown Indicators


IBMDDOGDifference

Max Drawdown

Largest peak-to-trough decline

-69.40%

-68.11%

-1.29%

Max Drawdown (1Y)

Largest decline over 1 year

-30.96%

-48.62%

+17.66%

Max Drawdown (3Y)

Largest decline over 3 years

-30.96%

-48.62%

+17.66%

Max Drawdown (5Y)

Largest decline over 5 years

-30.96%

-68.11%

+37.15%

Max Drawdown (10Y)

Largest decline over 10 years

-40.59%

Current Drawdown

Current decline from peak

-17.31%

-17.15%

-0.16%

Average Drawdown

Average peak-to-trough decline

-20.12%

-30.96%

+10.84%

Ulcer Index

Depth and duration of drawdowns from previous peaks

14.38%

24.87%

-10.49%

Volatility

IBM vs. DDOG - Volatility Comparison

International Business Machines Corporation (IBM) has a higher volatility of 21.43% compared to Datadog, Inc. (DDOG) at 19.12%. This indicates that IBM's price experiences larger fluctuations and is considered to be riskier than DDOG based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


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Volatility by Period


IBMDDOGDifference

Volatility (1M)

Calculated over the trailing 1-month period

21.43%

19.12%

+2.31%

Volatility (6M)

Calculated over the trailing 6-month period

34.62%

50.53%

-15.91%

Volatility (1Y)

Calculated over the trailing 1-year period

39.45%

65.62%

-26.17%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

27.16%

58.24%

-31.08%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

26.59%

60.05%

-33.46%

Dividends

IBM vs. DDOG - Dividend Comparison

IBM's dividend yield for the trailing twelve months is around 2.47%, while DDOG has not paid dividends to shareholders.


PositionTTM20252024202320222021202020192018201720162015
DDOG
Datadog, Inc.
0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
IBM
International Business Machines Corporation
2.47%2.27%3.03%4.05%4.68%4.74%5.17%4.80%5.46%3.85%3.31%3.63%

Financials

IBM vs. DDOG - Financials Comparison

This section allows you to compare key financial metrics between International Business Machines Corporation and Datadog, Inc.. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.


Quarterly
Annual

Total Revenue: Total amount of money received from sales and other business activities


0.005.00B10.00B15.00B20.00B20222023202420252026
15.92B
1.01B
(IBM) Total Revenue
(DDOG) Total Revenue
Values in USD except per share items

IBM vs. DDOG - Profitability Comparison

The chart below illustrates the profitability comparison between International Business Machines Corporation and Datadog, Inc. over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

Gross Margin
Operating Margin
Net Margin
Quarterly
Annual

50.0%55.0%60.0%65.0%70.0%75.0%80.0%85.0%20222023202420252026
56.2%
79.2%
Portfolio components
IBM - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, International Business Machines Corporation reported a gross profit of 8.95B and revenue of 15.92B. Therefore, the gross margin over that period was 56.2%.

DDOG - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Datadog, Inc. reported a gross profit of 797.20M and revenue of 1.01B. Therefore, the gross margin over that period was 79.2%.

IBM - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, International Business Machines Corporation reported an operating income of 1.22B and revenue of 15.92B, resulting in an operating margin of 7.6%.

DDOG - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Datadog, Inc. reported an operating income of 7.33M and revenue of 1.01B, resulting in an operating margin of 0.7%.

IBM - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, International Business Machines Corporation reported a net income of 1.22B and revenue of 15.92B, resulting in a net margin of 7.6%.

DDOG - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Datadog, Inc. reported a net income of 52.57M and revenue of 1.01B, resulting in a net margin of 5.2%.


Frequently Asked Questions


IBM and DDOG have a correlation of 0.38, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

IBM has higher volatility (21.43%) compared to DDOG (19.12%). In terms of maximum drawdown, IBM dropped -69.40% vs DDOG's -68.11%.

DDOG currently has the higher Sharpe Ratio (1.34 vs -0.02), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.

Portfolio Optimizer

Find the right allocation for IBM and DDOG

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