Don't Look Now: IBM Ahead of Microsoft in Market Capitalization

International Business Machines Corp. (NYSE: IBM), following the lead of Apple (NASDAQ: AAPL), has pulled ahead of Microsoft (NASDAQ: MSFT) in overall market capitalization, dealing yet another blow to the software giant.

Shares of IBM have gained more than $20 since the beginning of the year, now sitting just above $168. The company, which provides a variety of information technology products and services, has shown considerable stability in earnings over the past few years, especially through the financial crisis.

Microsoft, on the other hand, has seen its stock drop from above $28 in January to $24 now. Investors have shown increasing unease over the corporation's lack of new profit centers and a stagnant stock price.

Notably, a Reuters report comments that "An investor putting $100,000 into both stocks 10 years ago would now have about $143,000 in IBM stock and about $69,000 in Microsoft stock."

IBM now ranks fourth in market capitalization for U.S. companies, following Exxon mobile (NYSE: XOM), Apple, and GE (NYSE: GE).

At least Microsoft can take solace in the fact that it still holds more than a $30 billion market cap lead over Google.

For now.