Their Dow 30 stocks are free so I checked out NKE today and compared its free cash flow numbers with IBM.
NKE has about a 3.5% FCF yield whereas IBM is around 9%. In the last five years NKE has grown FCF at about 70% compared to IBM' 90%.
Which one will do better in the next year? IBM-current price 179.7 and NKE is 70.5
Agree on the numbers but what about the moat? Kids will be wearing Nikes in 10 years but will gov'ts be spending billions with IBM or ACN or Boots or HPQ? That being said ... going to buy stop some IBM for myself.