PortfoliosLab logo
Tools
Performance Analysis
Risk Analysis
Optimization
Factor Model
See All Tools
Portfolio Analysis
Portfolios
Lazy PortfoliosUser Portfolios

IBM vs. KO

Last updated Sep 30, 2023

Compare and contrast key facts about International Business Machines Corporation (IBM) and The Coca-Cola Company (KO).

Scroll down to visually compare performance, riskiness, drawdowns, and other indicators and decide which better suits your portfolio: IBM or KO.

Key characteristics


IBMKO
YTD Return3.35%-9.94%
1Y Return21.15%1.99%
5Y Return (Ann)4.41%7.23%
10Y Return (Ann)1.76%7.32%
Sharpe Ratio1.070.09
Daily Std Dev18.80%14.08%
Max Drawdown-69.40%-69.07%

Fundamentals


IBMKO
Market Cap$127.81B$242.08B
EPS$2.34$2.41
PE Ratio59.9623.23
PEG Ratio1.283.60
Revenue (TTM)$60.52B$44.14B
Gross Profit (TTM)$32.69B$25.00B
EBITDA (TTM)$12.98B$13.80B

Correlation

0.34
-1.001.00

The correlation between IBM and KO is 0.34, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

IBM vs. KO - Performance Comparison

In the year-to-date period, IBM achieves a 3.35% return, which is significantly higher than KO's -9.94% return. Over the past 10 years, IBM has underperformed KO with an annualized return of 1.76%, while KO has yielded a comparatively higher 7.32% annualized return. The chart below displays the growth of a $10,000 investment in both assets, with all prices adjusted for splits and dividends.


-10.00%-5.00%0.00%5.00%10.00%15.00%MayJuneJulyAugustSeptember
8.93%
-8.89%
IBM
KO

Compare stocks, funds, or ETFs


International Business Machines Corporation

The Coca-Cola Company

IBM vs. KO - Dividend Comparison

IBM's dividend yield for the trailing twelve months is around 4.72%, more than KO's 3.25% yield.


TTM20222021202020192018201720162015201420132012
IBM
International Business Machines Corporation
4.72%4.85%5.16%5.91%5.77%6.89%5.07%4.53%5.16%3.89%2.96%2.64%
KO
The Coca-Cola Company
3.25%2.83%2.99%3.25%3.25%3.82%3.87%4.19%3.93%3.82%3.69%3.94%

IBM vs. KO - Risk-Adjusted Performance Comparison

This table presents a comparison of risk-adjusted performance metrics for International Business Machines Corporation (IBM) and The Coca-Cola Company (KO). 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.


Sharpe ratioSortino ratioOmega ratioCalmar ratioUlcer Index
IBM
International Business Machines Corporation
1.07
KO
The Coca-Cola Company
0.09

IBM vs. KO - Sharpe Ratio Comparison

The current IBM Sharpe Ratio is 1.07, which is higher than the KO Sharpe Ratio of 0.09. The chart below compares the 12-month rolling Sharpe Ratio of IBM and KO.


Rolling 12-month Sharpe Ratio0.000.501.00MayJuneJulyAugustSeptember
1.07
0.09
IBM
KO

IBM vs. KO - Drawdown Comparison

The maximum IBM drawdown for the period was -17.61%, lower than the maximum KO drawdown of -11.86%. The drawdown chart below compares losses from any high point along the way for IBM and KO


-15.00%-10.00%-5.00%0.00%MayJuneJulyAugustSeptember
-6.36%
-11.59%
IBM
KO

IBM vs. KO - Volatility Comparison

International Business Machines Corporation (IBM) has a higher volatility of 4.63% compared to The Coca-Cola Company (KO) at 3.29%. This indicates that IBM's price experiences larger fluctuations and is considered to be riskier than KO based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


2.00%3.00%4.00%5.00%6.00%MayJuneJulyAugustSeptember
4.63%
3.29%
IBM
KO