IBM vs. QQQ
IBM (International Business Machines Corporation) is a stock, while QQQ (Invesco QQQ ETF) is Nasdaq-100 fund tracking the NASDAQ-100 Index. Over the past 10 years, IBM returned 8.27%/yr vs 20.44%/yr for QQQ. Their 0.54 correlation means they have sometimes moved together and sometimes differently.
Performance
IBM vs. QQQ - Performance Comparison
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Returns By Period
In the year-to-date period, IBM achieves a -23.51% return, which is significantly lower than QQQ's 12.26% return. Over the past 10 years, IBM has underperformed QQQ with an annualized return of 8.27%, while QQQ has yielded a comparatively higher 20.44% annualized return.
IBM
- 1D
- 0.86%
- 1M
- -22.75%
- 6M
- -26.12%
- YTD
- -23.51%
- 1Y
- -8.27%
- 3Y*
- 19.79%
- 5Y*
- 15.08%
- 10Y*
- 8.27%
- ALL TIME*
- 7.07%
QQQ
- 1D
- 0.65%
- 1M
- -3.45%
- 6M
- 10.89%
- YTD
- 12.26%
- 1Y
- 24.81%
- 3Y*
- 22.29%
- 5Y*
- 14.23%
- 10Y*
- 20.44%
- ALL TIME*
- 10.64%
Liquidity Comparison
| Position | Avg. Volume Value (2W) | Avg. Volume Value (1M) | Avg. Volume Value (3M) |
|---|---|---|---|
| $2.40B | $3.19B | $2.85B | |
| $30.32B | $28.40B | $31.45B |
IBM vs. QQQ - Yearly Performance Comparison
| 2026 (YTD) | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | |
|---|---|---|---|---|---|---|---|---|---|---|
IBM International Business Machines Corporation | -23.51% | 38.23% | 39.27% | 21.85% | 10.64% | 16.65% | -1.16% | 23.58% | -22.56% | -3.99% |
QQQ Invesco QQQ ETF | 12.26% | 20.77% | 25.58% | 54.86% | -32.58% | 27.42% | 48.62% | 38.96% | -0.13% | 32.66% |
Correlation
The correlation between IBM and QQQ is 0.18, which is low. Their historical price movements had little consistent relationship.
| Correlation | |
|---|---|
Correlation (1Y) Focuses on recent behavior, but can change the most. | 0.18 |
Correlation (3Y) Balances recent behavior with more history. | 0.33 |
Correlation (5Y) Shows whether the relationship held over a longer period. | 0.36 |
Correlation (10Y) Provides a long-term view across more market conditions. | 0.41 |
Correlation (All Time) Calculated using the full available price history since Mar 10, 1999 | 0.54 |
Over the past year, the correlation between IBM and QQQ has dropped to 0.18 - well below their long-term average of 0.54, suggesting their price drivers have been diverging.
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Return for Risk
IBM vs. QQQ — Risk / Return Rank
IBM
QQQ
IBM vs. QQQ - Risk-Adjusted Trends Comparison
This table presents a comparison of risk-adjusted performance metrics for International Business Machines Corporation (IBM) and Invesco QQQ ETF (QQQ). 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.
| IBM | QQQ | Difference | |
|---|---|---|---|
| Sharpe ratioReturn per unit of total volatility | -1.35 | ||
| Sortino ratioReturn per unit of downside risk | -1.59 | ||
| Omega ratioGain probability vs. loss probability | 1.01 | 1.21 | -0.20 |
| Calmar ratioReturn relative to maximum drawdown | -0.25 | 1.88 | -2.13 |
| Martin ratioReturn relative to average drawdown | -0.59 | 6.00 | -6.59 |
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Drawdowns
IBM vs. QQQ - Drawdown Comparison
The maximum IBM drawdown since its inception was -69.40%, smaller than the maximum QQQ drawdown of -82.97%. Use the drawdown chart below to compare losses from any high point for IBM and QQQ.
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Drawdown Indicators
| IBM | QQQ | Difference | |
|---|---|---|---|
Max DrawdownLargest peak-to-trough decline | -69.40% | -82.97% | +13.57% |
Max Drawdown (1Y)Largest decline over 1 year | -37.50% | -11.96% | -25.54% |
Max Drawdown (3Y)Largest decline over 3 years | -37.50% | -22.77% | -14.73% |
Max Drawdown (5Y)Largest decline over 5 years | -37.50% | -35.12% | -2.38% |
Max Drawdown (10Y)Largest decline over 10 years | -40.59% | -35.12% | -5.47% |
Current DrawdownCurrent decline from peak | -32.07% | -7.69% | -24.38% |
Average DrawdownAverage peak-to-trough decline | -20.13% | -32.62% | +12.49% |
Ulcer IndexDepth and duration of drawdowns from previous peaks | 15.98% | 3.74% | +12.24% |
Volatility
IBM vs. QQQ - Volatility Comparison
International Business Machines Corporation (IBM) has a higher volatility of 31.22% compared to Invesco QQQ ETF (QQQ) at 6.87%. This indicates that IBM's price experiences larger fluctuations and is considered to be riskier than QQQ based on this measure. The chart below showcases a comparison of their rolling one-month volatility.
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Volatility by Period
| IBM | QQQ | Difference | |
|---|---|---|---|
Volatility (1M)Calculated over the trailing 1-month period | 31.22% | 6.87% | +24.35% |
Volatility (6M)Calculated over the trailing 6-month period | 46.22% | 16.08% | +30.14% |
Volatility (1Y)Calculated over the trailing 1-year period | 48.19% | 19.38% | +28.81% |
Volatility (5Y)Calculated over the trailing 5-year period, annualized | 30.02% | 22.90% | +7.12% |
Volatility (10Y)Calculated over the trailing 10-year period, annualized | 28.05% | 22.50% | +5.55% |
Dividends
IBM vs. QQQ - Dividend Comparison
IBM's dividend yield for the trailing twelve months is around 3.01%, more than QQQ's 0.44% yield.
| Position | TTM | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | 2015 |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
IBM International Business Machines Corporation | 3.01% | 2.27% | 3.03% | 4.05% | 4.68% | 4.74% | 5.17% | 4.80% | 5.46% | 3.85% | 3.31% | 3.63% |
QQQ Invesco QQQ ETF | 0.44% | 0.45% | 0.56% | 0.62% | 0.80% | 0.43% | 0.55% | 0.74% | 0.91% | 0.84% | 1.06% | 0.99% |
Frequently Asked Questions
IBM and QQQ have a correlation of 0.18, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.
IBM has higher volatility (31.22%) compared to QQQ (6.87%). In terms of maximum drawdown, IBM dropped -69.40% vs QQQ's -82.97%.
QQQ currently has the higher Sharpe Ratio (1.16 vs -0.20), 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.
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