Yes, IBM is an ESG friendly stock. It ranks as a low risk ESG stock, according to SustainAnalytics. It ranks as one of the lowest risk companies of any in the technology sector.

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How to buy IBM stock

Q: Is International Business Machines stock overvalued?

There is no perfect way to value a stock. You can use financial metrics like the P/E ratio to compare IBM to its competitors, where a higher ratio indicates that a stock is more expensive. But lots of different factors play into the IBM share price and the ‘right’ valuation is often a matter of opinion.

Q: Do I have to pay capital gains tax on any profits I make?

It depends on where you live but you do normally have to pay capital gains tax any time you make money from investing in IBM. Capital gains tax is often charged at 10-15% of your profit but there are ways to limit the amount you have to pay, by using tax-friendly stock market investment vehicles and writing off losses. Speak to an accountant or a tax professional and check the tax laws where you live to find out more.

Q: What is IBM’s ticker symbol?

IBM’s ticker symbol is NYSE:IBM. A ticker symbol is a publicly traded company’s unique identifier so that you can find them on stock exchanges.

Q: Does IBM pay dividends?

Yes, IBM pays a healthy dividend and has done for many years. It’s one of the S&P 500’s Dividend Aristocrats, which includes companies that have paid and increased their dividend for at least 25 consecutive years.

Use our step-by-step guide to learn how to buy International Business Machines stock and compare the best IBM trading platforms.

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Updated: Dec 6, 2022

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A big part of learning how to buy International Business Machines stocks is finding the best place to make your investment. IBM stocks are available to invest in through an online stock broker, and it usually takes just a few minutes to buy shares in IBM when following our step by step guide.

Where to buy IBM stock?

The best stock trading platform to use to buy IBM stock is eToro

Based on our research, we’ve ranked the top five brokers where you can buy IBM shares, according to how easy they are to use, how low their fees are, their safety and security rating, and average customer reviews.

How to buy stock in IBM in 3 simple steps

Buying IBM stock is quick and easy, all you need is an internet connection and a copy of your photo ID. Here’s how to do it.

eToro is the best stock trading platform for beginners. Fill in your details to set up an account and attach a copy of your ID to verify it.

Step 2. Make a deposit

Transfer money to your new account with your credit or debit card, a bank transfer, or an alternative payment method, like PayPal. The minimum deposit is £10.

Step 3. Buy IBM shares

Search for IBM using the ticker, IBM. Click the ‘trade’ button and enter the details of your investment, such as how many shares you want to buy or how much you want to spend. Hit ‘trade now’ to complete your purchase.

It’s as easy as that! You can buy IBM shares in just 10-15 minutes and now you’re a IBM shareholder.

Compare the best platforms to buy International Business Machines stock

1. eToro

We love eToro because you can trade more than 3,000 stocks, commission free. When you buy stocks on eToro, you’re buying the underlying asset, which means you can earn dividends. Or you can trade fractional shares, which means you can invest in even the most expensive stock from just $10.

As well as being a broker that offers lots of investor protection, eToro offers a very social trading experience. You can easily see what’s trending on the stock market every day, browse the latest analyst opinion about every one of those stocks, and copy other people’s trade suggestions from your desktop or the eToro app.

The fees: Stock and ETF trades are commission free. Stock CFDs are charged a 0.15% spread and overnight fees can apply. You can deposit money for free but you have to pay $5 per withdrawal, and there’s a minimum withdrawal of $30. A $10 per month activity fee is charged if you don’t log in for a year.

2. Degiro

We love Degiro because it offers a simple trading platform so that you can trade quickly and easily, wherever you are. Degiro offers stock trading on 50 stock exchanges in 30 countries, including the US, UK, and all leading markets in Europe, with free stock trading on all US stocks.

Degiro has won 86 international awards and is one of the largest companies in Germany. All its services are available online or via the Degiro app. The website also boasts a huge range of educational material, including an Investor’s Academy, to help you get started.

The fees: All stock trades come with a €1 handling fee. US stock trading has no other fees, UK stock trading costs $1.75, European stock trading costs €3.90. The rest of the world costs €5. A core selection of ETFs are free to trade, other global ETFs cost €2 plus a €1 handling fee. Derivative trading costs €0.75. There are no inactivity, deposit, or withdrawal fees.

3. AvaTrade

We love AvaTrade because it offers powerful trading software to anyone who wants to trade professionally. AvaTrade is a CFD broker where you can trade more than 600 stocks from major exchanges around the world and all stock trades are commission free.

AvaTrade integrates with trading software like MetaTrader 4 and 5, as well as boasting its own bespoke and award-winning mobile app software, known as AvaTradeGo. AvaTrade has been around since 2006 and is extensively regulated in Europe, Australia, Japan, British Virgin Islands, UAE, and South Africa.

The fees: There are no fees on any stock trading. AvaTrade makes money from the Bid/Ask spread instead. Stock spreads start from 0.13%. There is an inactivity fee of £50 per month that is applicable if you don’t log in to your account for three consecutive months.

4. Skilling

We love Skilling because it’s a beginner-friendly trading platform that makes stock trading accessible to everyone. You can trade 700 stocks commission free and the system is very portable, so you can trade from the app or on your desktop.

One of Skilling’s best features is its compatibility with TradingView, so you can chart trading ideas and then send them directly to your trading account. It also boasts plenty of other user-friendly software to make it easy to trade from your phone or your browser, including its proprietary Skilling Trader and the cTrader platform for professionals.

The fees: There are no fees for stock trading. Skilling makes its money on the Bid/Ask spread, and stock spreads start from 0.9%. Positions left open overnight will be charged swap charges, which vary depending on the size of the trade.

5. Capital.com

We love Capital.com because it offers one of the best trading apps in the business. Capital’s award-winning mobile app offers risk management tools, plenty of help and education, and AI-powered behaviour advice. It offers more than 5,000 stocks to trade on app or online.

Capital helps to manage your risk by charging no commission on any stock trading and providing automated assistance that analyses your behaviour to see where you make your mistakes. It’s also regulated by the FCA to offer strong investor protection, and encrypts all your private data to keep it safe.

The fees: There are no fees for trading or for deposits or withdrawals. Capital.com makes its money from the spread, and stock spreads start from $0.01. You may also be charged overnight fees but only on trades that use leverage.

Fundamental analysis of IBM shares

What is IBM’s total worth?

IBM’s total net worth is $129.53 billion. This it’s total market capitalisation, calculated by multiplying the number of shares outstanding by the current share price.

The current IBM stock price today is $144.52, which is 29.59% below its all time high of $205.28, which it reached on 22 March 2013. Overall, IBM is down 1.57% over the last five years. The IBM share price is up 6.23% in 2022 with a 52 week high of $146.16 and a 52 week low of $114.56.

What is IBM’s EPS?

IBM’s EPS is $6.09. EPS stands for earnings per share and is calculated by dividing IBM’s net profit by the number of shares outstanding. It gives you an idea of how valuable a company is.

What is the IBM P/E ratio?

IBM’s P/E ratio is $23.73. The P/E, or price to earnings ratio, tells you how much you would have to pay per share for $1 of IBM’s earnings. It is calculated by dividing the share price by the earnings per share.

What is IBM’s dividend yield?

IBM’s dividend yield is 4.57%. The dividend yield tells you how much of IBM’s share price it pays out in dividends every year.

Is IBM stock a buy or sell?

The indicator below shows you live technical ratings for International Business Machines shares on time frames from one minute to one month. It tracks a selection of key technical indicators, including moving averages, relative strength index (RSI), oscillators, and momentum.

This indicator should be used when you research IBM to help you decide whether to buy IBM shares. It is not investment advice or a recommendation from Invezz to buy this stock.

Is IBM a good investment for me?

The right answer is different for each person, so here is some information to help you decide whether to buy stocks in IBM.

IBM is a giant technology company with stable income streams. Fondly known as ‘Big Blue’, IBM is more than a century old and is still one of the world’s largest employers today. Its business operations are split into three, all providing software solutions: a consulting segment, a software segment, and an infrastructure segment, and it generally meets its goal to generate steady revenue growth in each sector.
International Business Machines is modernising, with a new focus on cloud software and AI. International Business Machines is one of the foundational companies in developing the modern computer, but it has been forced to adapt to keep up in recent years. This has meant a shift in focus towards modern software based on the cloud and artificial intelligence. The change is a positive for investors as the company sets itself up for the years and decades ahead.
It recently spun off its managed hardware business. In 2021, IBM separated from its legacy hardware business, based on infrastructure management, in order that the modern IBM won’t be weighed down by the poor performance of that division. The new company, called Kyndryl, is no longer part of IBM. The new organisation means that the best performing parts of the business, the cloud software segment, is now IBM’s main focus.
Most of IBM’s revenue comes from enterprise customers. As IBM generally sells to businesses rather than individual customers, it can be susceptible to broader economic conditions. A poor business outlook, where companies are forced to cut costs, can disproportionally affect IBM’s bottom line. This was the case during the coronavirus pandemic, when the IBM share price fell to $90, its lowest price in more than a decade.
IBM is one of the “dividend aristocrats”. The dividend aristocrats are companies that have increased their dividend for at least 25 years in a row. You can trust these businesses to prioritise shareholders and pay out regular dividend payments come hell or high water, which makes IBM a great choice for income investors looking for reliable dividend stocks.
Tech stocks have lots of potential for growth. The tech industry has long been popular with investors as a way to grab a piece of companies that are primed to grow, as we become more and more reliant on technology.

It’s always a good idea to think about any potential risks there might be as well. Use this summary of IBM’s pros and cons before you make a final decision on whether to buy International Business Machines shares.

Pros

IBM is a huge company that generates consistent revenue growth
It always pays a dividend, which is great for income investors
IBM’s recent business shake-up has positioned it well for the future

Cons

Business transitions can be a little rocky and the consulting division hasn’t grown as quickly as hoped
International Business Machines Corporation stock can be disproportionately affected by broader economic conditions

Are there other ways to buy shares in IBM?

Yes, you can invest in IBM stock in a few different ways. One option is to buy stock in IBM directly as laid out above, while another popular choice is to invest in a fund. Funds give you instant diversification by investing in lots of companies at once. You can invest in a NYSE index fund to get exposure to IBM, or choose a tech ETF.

Another option is to use a social copy trading platform, like eToro . Find a trader who you like and copy their IBM trades directly to your own account. This can be a good way to learn how to buy IBM shares from someone with more experience.

What are the fees for investing in IBM stock?

It depends on the stock broker. Some platforms charge a flat fee per trade, others charge a commission as a percentage of the total trade value each time you buy IBM stocks.

These are the trading platforms that charge the lowest fees for buying stocks in IBM.

Trading platform	Trading fees
eToro	$0
Skilling	$0
Capital.com	$0
Degiro	$0 (US) / £1.75 (UK)
AvaTrade	0.13% commission

How to sell IBM stock

When you decide the time is right to sell and lock in some profit (or cut your losses), log into your broker account and navigate to your portfolio. From there, find your International Business Machines Corporation stock and you’ll see a ‘sell’ option next to it. Click that to set the details of the trade (you don’t have to sell all your stocks at once) and sell back to cash.

Should I buy IBM stock now?

It’s your investing goals and style that define whether now is a good time to buy. The current International Business Machines stock price plays into it but ultimately it depends on your investment horizons.

If you’re a short term trader: the goal is to make money by buying and selling stocks regularly to secure a profit or avoid a loss. That can mean trading hourly, daily, or weekly but the focus is always on the near future. Traders learn how to buy stocks in IBM based on short term technical analysis and don’t hold shares for a long time, so any time can be a good time to buy IBM.

If you’re a long term investor: you’re more interested in long term price appreciation than whether a stock is up or down on any given day. The important thing is finding a stock with a strong foundation where you think the share price will be up over a period of months or years. If you think IBM’s fundamentals are solid then the best time to buy is after a dip or a pullback in price.

Most new traders sit somewhere between these two positions. You don’t want to actively trade IBM stock all hours of the day but you don’t want to wait years for a return either.

Either way, following IBM price news and analysis will help you decide when to dip your toe into the market.

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FAQs

Is International Business Machines stock overvalued?

Do I have to pay capital gains tax on any profits I make?

What is IBM’s ticker symbol?

Is IBM ESG friendly?

Does IBM pay dividends?

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Sources & references

Risk disclaimer

Invezz is a place where people can find reliable, unbiased information about finance, trading, and investing – but we do not offer financial advice and users should always carry out their own research. The assets covered on this website, including stocks, cryptocurrencies, and commodities can be highly volatile and new investors often lose money. Success in the financial markets is not guaranteed, and users should never invest more than they can afford to lose. You should consider your own personal circumstances and take the time to explore all your options before making any investment. Read our risk disclaimer >

James Knight

Editor of Education

James is a lead content editor for Invezz. He's an avid trader and golfer, who spends an inordinate amount of time watching Leicester City and the… read more.

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Navigation

1. How to buy IBM stock
2. Where to buy IBM stock?
3. How to buy stock in IBM in 3 simple steps
4. Compare the best platforms to buy International Business Machines stock
5. Fundamental analysis of IBM shares
6. Is IBM a good investment for me?
7. How to sell IBM stock
8. Should I buy IBM stock now?
9. FAQs