Microsoft Corporation (MSFT) vs T-Mobile US, Inc. (TMUS)
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 July 28, 2026. Differences are shown without an overall score or investment verdict.
Different business models: MSFT is classified in Technology; TMUS is classified in Communication Services. Margin, capital intensity, and valuation differences should be interpreted in that sector context.
MSFT
Microsoft Corporation
$393.35TechnologyDelayed quote: Jul 28, 2026, 4:00 PM EDT
TMUS
T-Mobile US, Inc.
$182.39Communication ServicesDelayed quote: Jul 28, 2026, 4:00 PM EDT
Total return — MSFT vs TMUS
growth of $100 · dividends reinvested · last 19yMSFT +1838.8%TMUS +225.0%MSFT compounded faster
Log scale — wide-divergence pair
MSFT TMUS
MSFT vs TMUS: by the numbers
- •MSFT is the larger company ($2.92T vs $195.64B market cap).
- •TMUS trades at the lower trailing earnings multiple (18.56 vs 23.16 P/E), one valuation lens rather than an overall verdict.
- •MSFT converts more revenue to profit (39.34% vs 11.45% net margin).
- •MSFT grew revenue faster over the past five years (14.75% vs 3.05% CAGR).
- •TMUS pays the higher dividend yield (2.22% vs 0.91%).
Metrics side by side
Valuation
| Metric | MSFT | TMUS |
|---|---|---|
| P/E ratio | 23.16 | 18.56 |
| Forward P/E | 22.87 | 16.30 |
| P/S ratio | 9.10 | 2.08 |
| P/B ratio | 6.99 | 3.41 |
| PEG ratio | 2.34 | 40.40 |
| EV / EBITDA | 15.53 | 10.01 |
| FCF yield | 2.52% | 8.25% |
Profitability
| Metric | MSFT | TMUS |
|---|---|---|
| Gross margin | 68.31% | 54.46% |
| Operating margin | 46.80% | 20.30% |
| Net margin | 39.34% | 11.45% |
| ROE | 30.22% | 18.77% |
| ROIC | 21.63% | 7.04% |
Dividends
| Metric | MSFT | TMUS |
|---|---|---|
| Dividend yield | 0.91% | 2.22% |
| Payout ratio | 25.99% | 40.41% |
Growth (annualized)
| Metric | MSFT | TMUS |
|---|---|---|
| Revenue CAGR (5Y) | 14.75% | 3.05% |
| EPS CAGR (5Y) | 18.68% | 29.48% |
| FCF CAGR (5Y) | 6.27% | 41.38% |
| Total return CAGR (5Y) | 7.19% | 5.83% |
Frequently asked
- Which has the lower trailing P/E, MSFT or TMUS?
- TMUS has the lower trailing P/E: MSFT trades at 23.16 and TMUS at 18.56. P/E is one valuation measure and does not by itself establish which business is cheaper.
- 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 3.05%.
- Does MSFT or TMUS pay a bigger dividend?
- MSFT yields 0.91% and TMUS yields 2.22% 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 11.45%.
- How have MSFT and TMUS total returns compared?
- Over the past 10 years, MSFT delivered 22.86% and TMUS delivered 15.35% annualized total return. Past performance doesn't predict future results.
Go deeper
Dig into the metrics
Microsoft P/E ratioT-Mobile US P/E ratioMicrosoft dividend yieldT-Mobile US dividend yieldMicrosoft ROET-Mobile US ROEMicrosoft operating marginT-Mobile US operating marginMicrosoft revenue growthT-Mobile US revenue growthMicrosoft free cash flowT-Mobile US free cash flow
Microsoft & T-Mobile US 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 28, 2026.