Morgan Stanley (MS) vs Microsoft Corporation (MSFT)
A side-by-side comparison of Morgan Stanley and Microsoft Corporation across valuation, profitability, dividends, and growth — built entirely from reported fundamentals, as of July 29, 2026. Differences are shown without an overall score or investment verdict.
Different business models: MS is classified in Financial Services; MSFT is classified in Technology. Margin, capital intensity, and valuation differences should be interpreted in that sector context.
MS
Morgan Stanley
$203.19Financial ServicesDelayed quote: Jul 29, 2026, 3:59 PM EDT
MSFT
Microsoft Corporation
$390.54TechnologyAt close: Jul 29, 2026, 4:00 PM ET
Total return — MS vs MSFT
growth of $100 · dividends reinvested · last 30yMS +3541.6%MSFT +7603.0%MSFT compounded faster
MS MSFT
MS vs MSFT: by the numbers
- •MSFT is the larger company ($2.90T vs $320.49B market cap).
- •MS trades at the lower trailing earnings multiple (17.23 vs 21.76 P/E), one valuation lens rather than an overall verdict.
- •MSFT converts more revenue to profit (40.31% vs 15.99% net margin).
- •MS grew revenue faster over the past five years (18.41% vs 14.57% CAGR).
- •MS pays the higher dividend yield (1.89% vs 0.91%).
Metrics side by side
Valuation
| Metric | MS | MSFT |
|---|---|---|
| P/E ratio | 17.23 | 21.76 |
| Forward P/E | 16.45 | 22.97 |
| P/S ratio | 2.66 | 8.77 |
| P/B ratio | 2.95 | 6.58 |
| PEG ratio | 0.60 | 0.66 |
| EV / EBITDA | N/A | 15.58 |
| FCF yield | N/A | 2.30% |
Profitability
| Metric | MS | MSFT |
|---|---|---|
| Gross margin | 59.72% | 67.94% |
| Operating margin | 20.70% | 46.78% |
| Net margin | 15.99% | 40.31% |
| ROE | 17.70% | 30.23% |
| ROIC | 1.69% | 20.56% |
Dividends
| Metric | MS | MSFT |
|---|---|---|
| Dividend yield | 1.89% | 0.91% |
| Payout ratio | 38.68% | 19.78% |
Growth (annualized)
| Metric | MS | MSFT |
|---|---|---|
| Revenue CAGR (5Y) | 18.41% | 14.57% |
| EPS CAGR (5Y) | 9.56% | 17.26% |
| FCF CAGR (5Y) | N/A | 3.60% |
| Total return CAGR (5Y) | 20.91% | 7.27% |
Frequently asked
- Which has the lower trailing P/E, MS or MSFT?
- MS has the lower trailing P/E: MS trades at 17.23 and MSFT at 21.76. P/E is one valuation measure and does not by itself establish which business is cheaper.
- Which has grown faster, MS or MSFT?
- Over the past five years, MS grew revenue faster — MS at a 18.41% CAGR versus MSFT at 14.57%.
- Does MS or MSFT pay a bigger dividend?
- MS yields 1.89% and MSFT yields 0.91% based on trailing dividends and the latest price.
- Is MS or MSFT more profitable?
- MSFT runs the higher net margin — MS at 15.99% versus MSFT at 40.31%.
- How have MS and MSFT total returns compared?
- Over the past 10 years, MS delivered 25.44% and MSFT delivered 22.80% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Morgan Stanley P/E ratioMicrosoft P/E ratioMorgan Stanley dividend yieldMicrosoft dividend yieldMorgan Stanley ROEMicrosoft ROEMorgan Stanley operating marginMicrosoft operating marginMorgan Stanley revenue growthMicrosoft revenue growthMorgan Stanley free cash flowMicrosoft free cash flow
Morgan Stanley & 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 July 29, 2026.