International Business Machines Corp (IBM) Dividend Analysis
Comprehensive dividend yield, safety, growth, and income analysis for IBM.
International Business Machines Corp (IBM) pays a solid 3.00% dividend yield, or $6.76 per share annually at a stock price of $221.60. 30 consecutive years of dividend increases — qualifying as a Dividend Aristocrat (25+ years). The payout ratio of 60% is well within sustainable levels, leaving room for future increases. Earnings cover the dividend 1.7x. Dividend growth is slowing — the 3-year CAGR of 0.6% trails the 5-year rate of 1.5% and the 10-year rate of 2.7%. The most recent ex-dividend date was August 10, 2026.
Dividend Overview
International Business Machines Corp (IBM) pays a solid 3.00% dividend yield, or $6.76 per share annually at a stock price of $221.60. IBM has increased its dividend for 30 consecutive years.
Dividend Safety
The payout ratio of 60% is well within sustainable levels, leaving room for future increases.
DRIP Projection
$10,000 invested in IBM with dividends reinvested would grow to approximately $13,715 after 10 years, generating roughly $478/year in dividend income. This projection assumes the current 3.00% yield and a 1.5% annual dividend growth rate with all dividends reinvested.
| Year | Portfolio Value | Annual Income | Total Return |
|---|---|---|---|
| Year 1 | $10,300 | $313 | +3% |
| Year 5 | $11,643 | $376 | +16% |
| Year 10 | $13,715 | $478 | +37% |
| Year 15 | $16,360 | $614 | +64% |
| Year 20 | $19,778 | $800 | +98% |
Assumes constant share price and reinvestment at current price. Actual results will vary. Try our DRIP Calculator for a customized projection with real historical data.
Payment Schedule
You must own shares before the ex-dividend date to receive the upcoming payment. Payment typically arrives 2-4 weeks after the ex-date.
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