Microsoft Corporation (MSFT) vs T-Mobile US, Inc. (TMUS)

TMUS leads on 9 of 17 compared metrics.

A side-by-side comparison of Microsoft Corporation and T-Mobile US, 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).

Total return — MSFT vs TMUS

growth of $100 · last 19y
MSFT +1246.5%TMUS +231.2%MSFT compounded faster
05001k2k2kStart $1002011201520192023$1,346$331
MSFT TMUS

MSFT vs TMUS: by the numbers

  • MSFT is the larger company ($2.90T vs $204.64B market cap).
  • TMUS trades at the lower earnings multiple (20.12 vs 23.26 P/E).
  • MSFT converts more revenue to profit (39.34% vs 11.65% net margin).
  • MSFT grew revenue faster over the past five years (14.75% vs 3.28% CAGR).
  • TMUS pays the higher dividend yield (2.08% vs 0.91%).

Which is better, MSFT or TMUS?

Metric tally: MSFT 8 · TMUS 9

It depends on what you're optimizing for:

ValueTMUS(lower P/E)
GrowthMSFT(faster 5Y revenue CAGR)
IncomeTMUS(higher dividend yield)
QualityMSFT(higher ROIC)

Valuation

MetricMSFTTMUS
P/E ratio23.2620.12
Forward P/E20.1113.93
P/S ratio9.142.30
P/B ratio7.023.73
PEG ratio2.3440.42
EV / EBITDA14.6011.58
FCF yield2.51%8.73%

Profitability

MetricMSFTTMUS
Gross margin68.31%54.34%
Operating margin46.80%20.36%
Net margin39.34%11.65%
ROE30.22%18.87%
ROIC21.63%7.04%

Dividends

MetricMSFTTMUS
Dividend yield0.91%2.08%
Payout ratio25.99%40.41%

Growth (annualized)

MetricMSFTTMUS
Revenue CAGR (5Y)14.75%3.28%
EPS CAGR (5Y)18.68%29.48%
FCF CAGR (5Y)6.27%45.55%
Total return CAGR (5Y)9.56%6.34%

Frequently asked

Which is better, MSFT or TMUS?
It depends on your goal. value: TMUS (lower P/E); growth: MSFT (faster 5Y revenue CAGR); income: TMUS (higher dividend yield); quality: MSFT (higher ROIC). Across all compared metrics, TMUS leads 9 to 8.
Is MSFT or TMUS cheaper?
On trailing earnings, TMUS is cheaper: MSFT trades at a 23.26 P/E and TMUS at 20.12.
Which has grown faster, MSFT or TMUS?
Over the past five years, MSFT grew revenue faster — MSFT at a 14.75% CAGR versus TMUS at 3.28%.
Does MSFT or TMUS pay a bigger dividend?
MSFT yields 0.91% and TMUS yields 2.08% based on trailing dividends and the latest price.
Is MSFT or TMUS more profitable?
MSFT runs the higher net margin — MSFT at 39.34% versus TMUS at 11.65%.
Which has been the better investment, MSFT or TMUS?
Over the past 10-year, MSFT delivered the higher annualized total return — MSFT at 23.98% versus TMUS at 16.76%. 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.