IBM Dividend yield

IBM is part of Software and Computer Services business, which is part of Technology industry. IBM is a company from USA, and his stocks are publicly traded.

IBM stock dividend

IBM paid a total dividend of 6,029 million USD last year, for a market value of 133,322 millions (Market Cap 133,246 millions). IBM dividend per share is 6.64 USD, and his stock market price 146.83 USD.

According to the chart below, where dividend yield is displayed, IBM has a dividend yield of 4.52%, which is higher than the amount offered by both the market average and companies from USA. It is also bigger than average of Technology industry. This high dividend yield might be a sign to worry about the future of the company so deeper analysis is needed.

In addition, you should compare IBM stocks dividend with other Software and Computer Services companies or other of the best USA dividend stocks list.

IBM Dividend Payout

About the ability of IBM to maintain his current dividend of USD 6.64 per share, an amount that accounts for 4.52%, we should study its payout ratio both on earnings and on cash-flows (see chart below). IBM payout on ernings is currently 146.90%, which is higher than the market average, and companies of Technology industry, which are 39.34% and 35.32% respectively. Both figures show that IBM can have problems to keep with his present dividend yield.

The payout on earnings should be complemented with the payout on cash flow since it is this last amount the one which can be distributed to shareholders. Cash flow per share of IBM is USD 11.47 per share, which is higher than the dividend per share paid by the company of USD 6.64, so the company generates enough cash to maintain his dividend in the future.

The following figure shows payout ratios over earnings and cashflow of IBM, compared againt world market average, USA companies, Technology industry and Software and Computer Services sector companies.

IBM Dividend History

Below you will find a table with the historical evolution of IBM's dividend stock, both in percentage and in USD, its Payout on Earnings and the number of shares (in case there is an split, number shares altered the dividend per share).

Year	Yield	USD	Paypout	Shares*
Present	4.52%	6.64	146.90%	908
2022	4.68%	6.59	72.50%	899
2021	4.91%	6.56	71.69%	894
2020	5.18%	6.52	50.78%	888
2019	4.83%	6.47	47.30%	887
2018	5.52%	6.27	45.24%	918
2017	3.91%	6.00	41.47%	926
2016	3.45%	5.60	37.28%	960
2015	3.73%	5.20	37.68%	970

*In millions

Then you can see the evolution of IBM dividend stock, and compare it with the average of USA stocks and that of the Software and Computer Services stocks.

IBM Stock performance

Finally, last moth IBM showed a return of 1.80% compared to a worldwide -2.49% average, and a -1.32% of Technology firms. Over the last year, the company obtained a 14.30% versus a worldwide performance of a 8.71%. More detailed information can be seen in the following graph for USA and Software and Computer Services firms.