IBM vs. KO
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
| IBM | KO | |
|---|---|---|
| YTD Return | 3.35% | -9.94% |
| 1Y Return | 21.15% | 1.99% |
| 5Y Return (Ann) | 4.41% | 7.23% |
| 10Y Return (Ann) | 1.76% | 7.32% |
| Sharpe Ratio | 1.07 | 0.09 |
| Daily Std Dev | 18.80% | 14.08% |
| Max Drawdown | -69.40% | -69.07% |
Fundamentals
| IBM | KO | |
|---|---|---|
| Market Cap | $127.81B | $242.08B |
| EPS | $2.34 | $2.41 |
| PE Ratio | 59.96 | 23.23 |
| PEG Ratio | 1.28 | 3.60 |
| Revenue (TTM) | $60.52B | $44.14B |
| Gross Profit (TTM) | $32.69B | $25.00B |
| EBITDA (TTM) | $12.98B | $13.80B |
Correlation
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.
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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.
| TTM | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 | 2014 | 2013 | 2012 | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
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 ratio | Sortino ratio | Omega ratio | Calmar ratio | Ulcer Index | |
|---|---|---|---|---|---|
IBM International Business Machines Corporation | 1.07 | ||||
KO The Coca-Cola Company | 0.09 |
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
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.