Microsoft Corporation (MSFT) vs Netflix, Inc. (NFLX)
NFLX leads on 9 of 16 compared metrics, though MSFT is the cheaper stock.
A side-by-side comparison of Microsoft Corporation and Netflix, Inc. 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).
MSFT
Microsoft Corporation
$390.74Technology
NFLX
Netflix, Inc.
$80.34Communication Services
Not enough overlapping price history to compare MSFT and NFLX.
MSFT vs NFLX: by the numbers
- •MSFT is the larger company ($2.90T vs $338.30B market cap).
- •MSFT trades at the lower earnings multiple (23.26 vs 25.92 P/E).
- •MSFT converts more revenue to profit (39.34% vs 28.52% net margin).
- •MSFT grew revenue faster over the past five years (14.75% vs 12.18% CAGR).
- •MSFT pays a dividend (0.91% yield) while NFLX does not currently pay one.
Which is better, MSFT or NFLX?
Metric tally: MSFT 7 · NFLX 9It depends on what you're optimizing for:
ValueMSFT(lower P/E)
GrowthMSFT(faster 5Y revenue CAGR)
QualityNFLX(higher ROIC)
Valuation
| Metric | MSFT | NFLX |
|---|---|---|
| P/E ratio | 23.26● | 25.92 |
| Forward P/E | 20.11● | 20.96 |
| P/S ratio | 9.14 | 7.36● |
| P/B ratio | 7.02● | 11.09 |
| PEG ratio | 2.34 | 1.33● |
| EV / EBITDA | 14.60 | 10.28● |
| FCF yield | 2.51% | 3.44%● |
Profitability
| Metric | MSFT | NFLX |
|---|---|---|
| Gross margin | 68.31%● | 49.03% |
| Operating margin | 46.80%● | 29.72% |
| Net margin | 39.34%● | 28.52% |
| ROE | 30.22% | 42.97%● |
| ROIC | 21.63% | 25.22%● |
Dividends
| Metric | MSFT | NFLX |
|---|---|---|
| Dividend yield | 0.91% | — |
| Payout ratio | 25.99% | — |
Growth (annualized)
| Metric | MSFT | NFLX |
|---|---|---|
| Revenue CAGR (5Y) | 14.75%● | 12.18% |
| EPS CAGR (5Y) | 18.68% | 32.58%● |
| FCF CAGR (5Y) | 6.27% | 37.02%● |
| Total return CAGR (5Y) | 9.56% | 10.44%● |
Frequently asked
- Which is better, MSFT or NFLX?
- It depends on your goal. value: MSFT (lower P/E); growth: MSFT (faster 5Y revenue CAGR); quality: NFLX (higher ROIC). Across all compared metrics, NFLX leads 9 to 7.
- Is MSFT or NFLX cheaper?
- On trailing earnings, MSFT is cheaper: MSFT trades at a 23.26 P/E and NFLX at 25.92.
- Which has grown faster, MSFT or NFLX?
- Over the past five years, MSFT grew revenue faster — MSFT at a 14.75% CAGR versus NFLX at 12.18%.
- Does MSFT or NFLX pay a bigger dividend?
- MSFT pays a dividend (0.91% yield) while NFLX does not currently pay one.
- Is MSFT or NFLX more profitable?
- MSFT runs the higher net margin — MSFT at 39.34% versus NFLX at 28.52%.
Go deeper
Dig into the metrics
Microsoft P/E ratioNetflix P/E ratioMicrosoft dividend yieldNetflix dividend yieldMicrosoft ROENetflix ROEMicrosoft operating marginNetflix operating marginMicrosoft revenue growthNetflix revenue growthMicrosoft free cash flowNetflix free cash flow
Microsoft & Netflix appear in these rankings
Highest ROE StocksHighest ROIC StocksHighest Operating Margin StocksBest 10-Year Total Return Stocks
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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 June 13, 2026.