Microsoft Corporation (MSFT) vs NVIDIA Corporation (NVDA)
NVDA leads on 11 of 17 compared metrics, though MSFT is the cheaper stock.
A side-by-side comparison of Microsoft Corporation and NVIDIA 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).
Total return — MSFT vs NVDA
growth of $100 · last 27yMSFT +900.4%NVDA +500157.2%NVDA compounded faster
Log scale — wide-divergence pair
MSFT NVDA
MSFT vs NVDA: by the numbers
- •NVDA is the larger company ($4.97T vs $2.90T market cap).
- •MSFT trades at the lower earnings multiple (23.26 vs 31.42 P/E).
- •NVDA converts more revenue to profit (62.97% vs 39.34% net margin).
- •NVDA grew revenue faster over the past five years (68.23% vs 14.75% CAGR).
- •MSFT pays the higher dividend yield (0.91% vs 0.01%).
Which is better, MSFT or NVDA?
Metric tally: MSFT 6 · NVDA 11It depends on what you're optimizing for:
ValueMSFT(lower P/E)
GrowthNVDA(faster 5Y revenue CAGR)
IncomeMSFT(higher dividend yield)
QualityNVDA(higher ROIC)
Valuation
| Metric | MSFT | NVDA |
|---|---|---|
| P/E ratio | 23.26● | 31.42 |
| Forward P/E | 20.11 | 16.44● |
| P/S ratio | 9.14● | 19.74 |
| P/B ratio | 7.02● | 25.60 |
| PEG ratio | 2.34 | 0.57● |
| EV / EBITDA | 14.60● | 25.96 |
| FCF yield | 2.51%● | 2.38% |
Profitability
| Metric | MSFT | NVDA |
|---|---|---|
| Gross margin | 68.31% | 74.15%● |
| Operating margin | 46.80% | 64.02%● |
| Net margin | 39.34% | 62.97%● |
| ROE | 30.22% | 81.65%● |
| ROIC | 21.63% | 62.88%● |
Dividends
| Metric | MSFT | NVDA |
|---|---|---|
| Dividend yield | 0.91%● | 0.01% |
| Payout ratio | 25.99% | 0.61% |
Growth (annualized)
| Metric | MSFT | NVDA |
|---|---|---|
| Revenue CAGR (5Y) | 14.75% | 68.23%● |
| EPS CAGR (5Y) | 18.68% | 85.78%● |
| FCF CAGR (5Y) | 6.27% | 85.52%● |
| Total return CAGR (5Y) | 9.56% | 63.05%● |
Frequently asked
- Which is better, MSFT or NVDA?
- It depends on your goal. value: MSFT (lower P/E); growth: NVDA (faster 5Y revenue CAGR); income: MSFT (higher dividend yield); quality: NVDA (higher ROIC). Across all compared metrics, NVDA leads 11 to 6.
- Is MSFT or NVDA cheaper?
- On trailing earnings, MSFT is cheaper: MSFT trades at a 23.26 P/E and NVDA at 31.42.
- Which has grown faster, MSFT or NVDA?
- Over the past five years, NVDA grew revenue faster — MSFT at a 14.75% CAGR versus NVDA at 68.23%.
- Does MSFT or NVDA pay a bigger dividend?
- MSFT yields 0.91% and NVDA yields 0.01% based on trailing dividends and the latest price.
- Is MSFT or NVDA more profitable?
- NVDA runs the higher net margin — MSFT at 39.34% versus NVDA at 62.97%.
- Which has been the better investment, MSFT or NVDA?
- Over the past 10-year, NVDA delivered the higher annualized total return — MSFT at 23.98% versus NVDA at 68.06%. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Microsoft P/E ratioNVIDIA P/E ratioMicrosoft dividend yieldNVIDIA dividend yieldMicrosoft ROENVIDIA ROEMicrosoft operating marginNVIDIA operating marginMicrosoft revenue growthNVIDIA revenue growthMicrosoft free cash flowNVIDIA free cash flow
Microsoft & NVIDIA 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 June 13, 2026.