Amazon.com, Inc. (AMZN) vs Microsoft Corporation (MSFT)

MSFT leads on 10 of 14 compared metrics.

A side-by-side comparison of Amazon.com, Inc. and Microsoft Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of June 13, 2026. The ● marks the stronger figure on each row (cheaper multiple, higher margin/return).

Not enough overlapping price history to compare AMZN and MSFT.

AMZN vs MSFT: by the numbers

  • MSFT is the larger company ($2.90T vs $2.57T market cap).
  • MSFT trades at the lower earnings multiple (23.26 vs 28.53 P/E).
  • MSFT converts more revenue to profit (39.34% vs 12.22% net margin).
  • MSFT grew revenue faster over the past five years (14.75% vs 12.13% CAGR).
  • MSFT pays a dividend (0.91% yield) while AMZN does not currently pay one.

Which is better, AMZN or MSFT?

Metric tally: AMZN 4 · MSFT 10

It depends on what you're optimizing for:

ValueMSFT(lower P/E)
GrowthMSFT(faster 5Y revenue CAGR)
QualityMSFT(higher ROIC)

Valuation

MetricAMZNMSFT
P/E ratio28.5323.26
Forward P/E23.7120.11
P/S ratio3.499.14
P/B ratio5.877.02
PEG ratio1.102.34
EV / EBITDA14.3414.60
FCF yield2.51%

Profitability

MetricAMZNMSFT
Gross margin50.60%68.31%
Operating margin11.50%46.80%
Net margin12.22%39.34%
ROE20.55%30.22%
ROIC10.70%21.63%

Dividends

MetricAMZNMSFT
Dividend yield0.91%
Payout ratio25.99%

Growth (annualized)

MetricAMZNMSFT
Revenue CAGR (5Y)12.13%14.75%
EPS CAGR (5Y)27.90%18.68%
FCF CAGR (5Y)-21.57%6.27%
Total return CAGR (5Y)7.35%9.56%

Frequently asked

Which is better, AMZN or MSFT?
It depends on your goal. value: MSFT (lower P/E); growth: MSFT (faster 5Y revenue CAGR); quality: MSFT (higher ROIC). Across all compared metrics, MSFT leads 10 to 4.
Is AMZN or MSFT cheaper?
On trailing earnings, MSFT is cheaper: AMZN trades at a 28.53 P/E and MSFT at 23.26.
Which has grown faster, AMZN or MSFT?
Over the past five years, MSFT grew revenue faster — AMZN at a 12.13% CAGR versus MSFT at 14.75%.
Does AMZN or MSFT pay a bigger dividend?
MSFT pays a dividend (0.91% yield) while AMZN does not currently pay one.
Is AMZN or MSFT more profitable?
MSFT runs the higher net margin — AMZN at 12.22% versus MSFT at 39.34%.
Which has been the better investment, AMZN or MSFT?
Over the past 10-year, MSFT delivered the higher annualized total return — AMZN at 20.84% versus MSFT at 23.98%. Past performance doesn't predict future results.

Figures are sourced from reported fundamentals and the latest end-of-day price. This comparison is informational only and is not investment advice. Past performance does not predict future results. See our methodology. Compiled by TGMCharts Research · data verified June 13, 2026.