Meta Platforms, Inc. (META) vs Microsoft Corporation (MSFT)
A side-by-side comparison of Meta Platforms, Inc. and Microsoft Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of September 10, 2026. Differences are shown without an overall score or investment verdict.
Different business models: META is classified in Communication Services; MSFT is classified in Technology. Margin, capital intensity, and valuation differences should be interpreted in that sector context.
META
Meta Platforms, Inc.
$648.03Communication ServicesDelayed quote: Sep 11, 2026, 4:00 PM EDT
MSFT
Microsoft Corporation
$495.63TechnologyDelayed quote: Sep 11, 2026, 4:00 PM EDT
Total return — META vs MSFT
growth of $100 · dividends reinvested · last 10yMETA +406.4% (+17.6%/yr)MSFT +861.8% (+25.4%/yr)MSFT compounded faster over this window
META MSFT
META vs MSFT: by the numbers
- •MSFT is the larger company ($3.68T vs $1.65T market cap).
- •META trades at the lower trailing earnings multiple (24.42 vs 27.61 P/E), one valuation lens rather than an overall verdict.
- •MSFT converts more revenue to profit (40.31% vs 29.84% net margin).
- •META grew revenue faster over the past five years (16.85% vs 14.57% CAGR).
- •MSFT pays the higher dividend yield (0.74% vs 0.33%).
Metrics side by side
Valuation
| Metric | META | MSFT |
|---|---|---|
| P/E ratio | 24.42 | 27.61 |
| Forward P/E | 20.64 | 25.13 |
| P/S ratio | 7.23 | 11.09 |
| P/B ratio | 6.32 | 8.32 |
| EV / EBITDA | 15.94 | 19.55 |
| FCF yield | 2.48% | 1.82% |
Profitability
| Metric | META | MSFT |
|---|---|---|
| Gross margin | 81.75% | 67.94% |
| Operating margin | 38.08% | 46.78% |
| Net margin | 29.84% | 40.31% |
| ROE | 26.07% | 30.23% |
| ROIC | 17.18% | 20.90% |
Dividends
| Metric | META | MSFT |
|---|---|---|
| Dividend yield | 0.33% | 0.74% |
| Payout ratio | 7.91% | 20.28% |
Growth (annualized)
| Metric | META | MSFT |
|---|---|---|
| Revenue CAGR (5Y) | 16.85% | 14.57% |
| EPS CAGR (5Y) | 18.60% | 17.26% |
| FCF CAGR (5Y) | 4.96% | 3.60% |
| Total return CAGR (5Y) | 11.41% | 11.66% |
Frequently asked
- Which has the lower trailing P/E, META or MSFT?
- META has the lower trailing P/E: META trades at 24.42 and MSFT at 27.61. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, META or MSFT?
- Over the past five years, META grew revenue faster — META at a 16.85% CAGR versus MSFT at 14.57%.
- Does META or MSFT pay a bigger dividend?
- META yields 0.33% and MSFT yields 0.74% based on trailing dividends and the latest price.
- Is META or MSFT more profitable?
- MSFT runs the higher net margin — META at 29.84% versus MSFT at 40.31%.
- How have META and MSFT total returns compared?
- Over the past 10 years, META delivered 17.72% and MSFT delivered 25.72% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Meta Platforms P/E ratioMicrosoft P/E ratioMeta Platforms dividend yieldMicrosoft dividend yieldMeta Platforms ROEMicrosoft ROEMeta Platforms operating marginMicrosoft operating marginMeta Platforms revenue growthMicrosoft revenue growthMeta Platforms free cash flowMicrosoft free cash flow
Meta Platforms & Microsoft appear in these rankings
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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 September 10, 2026.