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AAPL vs. MSFT: Apple vs. Microsoft Stock Comparison

How do Apple (AAPL) and Microsoft (MSFT) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

Apple (AAPL) and Microsoft (MSFT) share the Information Technology sector but sit in different industry groups — AAPL in Technology Hardware & Equipment and MSFT in Software & Services.

Company profile comparison for Apple (AAPL) and Microsoft (MSFT)
Profile ItemAAPLMSFT
NameApple Inc.Microsoft Corp.
Country/RegionUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupTechnology Hardware & EquipmentSoftware & Services
GICS IndustryTechnology Hardware, Storage & PeripheralsSoftware
GICS Sub-IndustryTechnology Hardware, Storage & PeripheralsSystems Software
Market Capitalization4,167.98 billion USD2,770.58 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateDecember 12, 1980March 13, 1986
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

AAPL
MSFT
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Apple (AAPL) vs. Microsoft (MSFT): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for Apple (AAPL) and Microsoft (MSFT). Returns over one year are annualized.

Performance Metrics

Price performance metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
Total Return (1Y)41.74%-24.42%

Risk Profile

Drawdown History

AAPL
MSFT
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Apple (AAPL) vs. Microsoft (MSFT): Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Risk Metrics

Risk profile metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
Volatility (1Y, Annualized)23.65%26.91%
Beta (5Y)1.111.15
Avg. Volume (3M)52.14M39.09M

Risk-Adjusted Performance

Risk-Return Positioning

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AAPL and MSFT are plotted by 1-year volatility (risk) and 1-year return. Each dashed Capital Allocation Line uses that stock's own industry median.

Profitability

ROE (TTM)

Both companies show strong equity returns, but Apple (AAPL) at 141.47% is the standout with ROE above its industry range; Microsoft (MSFT) at 34.01% also sits in the top quartile.

AAPL

Technology Hardware & Equipment industry group

141.47%

AAPL
141.47%
Max
44.16%
Q3
19.42%
Median
10.99%
Q1
1.30%
Min
-25.17%

MSFT

Software & Services industry group

34.01%

Max
53.38%
MSFT
34.01%
Q3
16.53%
Median
5.38%
Q1
-13.43%
Min
-55.27%
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their ROE against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Net Margin (TTM)

For every dollar of sales, both Apple (AAPL) at 27.15% and Microsoft (MSFT) at 39.34% retain more as net profit than most peers, landing in the top net margin quartile of their industries.

AAPL

Technology Hardware & Equipment industry group

27.15%

Max
30.43%
AAPL
27.15%
Q3
12.35%
Median
4.70%
Q1
0.00%
Min
-14.09%

MSFT

Software & Services industry group

39.34%

Max
44.20%
MSFT
39.34%
Q3
14.93%
Median
3.32%
Q1
-5.99%
Min
-34.99%
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their net margin against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Operating Margin (TTM)

Both Apple (AAPL) at 32.28% and Microsoft (MSFT) at 46.33% convert sales into operating profit at a top-quartile rate, pointing to tighter cost discipline before financing and tax.

AAPL

Technology Hardware & Equipment industry group

32.28%

AAPL
32.28%
Max
32.28%
Q3
15.32%
Median
6.62%
Q1
1.88%
Min
-18.24%

MSFT

Software & Services industry group

46.33%

Max
60.45%
MSFT
46.33%
Q3
16.49%
Median
4.46%
Q1
-12.92%
Min
-53.94%
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their operating margin against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Profitability Metrics

Profitability metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
ROE (TTM)141.47%34.01%
ROA (TTM)26.23%14.81%
Net Margin (TTM)27.15%39.34%
Operating Margin (TTM)32.28%46.33%
Gross Margin (TTM)47.86%68.31%

Growth

Revenue Growth

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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their Revenue Growth across different time periods.

Revenue Growth Metrics

Revenue growth metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
Revenue Growth (YoY)6.43%14.93%
Revenue Growth (3Y CAGR)1.81%12.42%

EPS Growth

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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their EPS Growth across different time periods.

EPS Growth Metrics

EPS growth metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
EPS Growth (YoY)22.70%15.59%
EPS Growth (3Y CAGR)6.88%12.23%

Financial Strength

Current Ratio (MRQ)

Microsoft (MSFT) at 1.28 keeps current ratio within its industry’s typical mid-range, while Apple (AAPL) at 1.07 runs in the tighter-liquidity quartile — a thinner cushion against current liabilities for AAPL.

AAPL

Technology Hardware & Equipment industry group

1.07

Max
5.80
Q3
3.18
Median
1.90
Q1
1.28
AAPL
1.07
Min
0.51

MSFT

Software & Services industry group

1.28

Max
5.55
Q3
2.88
Median
1.72
MSFT
1.28
Q1
1.07
Min
0.03
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their current ratio against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Debt / Equity (MRQ)

Both Apple (AAPL) at 0.80 and Microsoft (MSFT) at 0.30 fund their balance sheets with roughly industry-typical debt-to-equity mixes.

AAPL

Technology Hardware & Equipment industry group

0.80

Max
2.02
Q3
0.89
AAPL
0.80
Median
0.31
Q1
0.06
Min
0.00

MSFT

Software & Services industry group

0.30

Max
2.31
Q3
1.06
Median
0.32
MSFT
0.30
Q1
0.06
Min
0.00
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their debt-to-equity ratio against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Financial Strength Metrics

Financial strength metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
Current Ratio (MRQ)1.071.28
Debt / Equity (MRQ)0.800.30
Net Debt / EBITDA0.100.26

Dividends

Dividend Yield (TTM)

Apple (AAPL) at 0.38% earns its spot in the top quartile of its industry’s yields; Microsoft (MSFT) at 1.01% is past the top of its own peer range — territory where a dividend-safety check matters more than the headline number.

AAPL

Technology Hardware & Equipment industry group

0.38%

Max
0.70%
AAPL
0.38%
Q3
0.33%
Median
0.00%
Q1
0.00%
Min
0.00%

MSFT

Software & Services industry group

1.01%

MSFT
1.01%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their dividend yield against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Dividend Payout Ratio (TTM)

Apple (AAPL) at 12.59% keeps its payout in the industry’s typical band, while Microsoft (MSFT) at 20.73% pays out more than any of its peers — the most stretched cover in its group.

AAPL

Technology Hardware & Equipment industry group

12.59%

Max
36.36%
Q3
14.56%
AAPL
12.59%
Median
0.00%
Q1
0.00%
Min
0.00%

MSFT

Software & Services industry group

20.73%

MSFT
20.73%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their payout ratio against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Dividend Metrics

Dividend metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
Dividend Yield (TTM)0.38%1.01%
Dividend Payout Ratio (TTM)12.59%20.73%

Valuation

P/E Ratio (TTM)

Both Apple (AAPL) at 34.36 and Microsoft (MSFT) at 22.23 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.

AAPL

Technology Hardware & Equipment industry group

34.36

Max
158.77
Q3
79.26
Median
37.06
AAPL
34.36
Q1
22.04
Min
8.47

MSFT

Software & Services industry group

22.23

Max
114.57
Q3
59.78
Median
29.42
MSFT
22.23
Q1
16.20
Min
0.40
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their P/E ratio against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

P/S Ratio (TTM)

Microsoft (MSFT) at 8.71 is priced about in line with its industry on P/S ratio, while Apple (AAPL) at 9.23 sits in the pricier quartile — AAPL costs more per dollar of sales.

AAPL

Technology Hardware & Equipment industry group

9.23

Max
18.49
AAPL
9.23
Q3
8.40
Median
3.72
Q1
1.43
Min
0.00

MSFT

Software & Services industry group

8.71

Max
17.86
Q3
8.79
MSFT
8.71
Median
4.10
Q1
2.13
Min
0.03
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their P/S ratio against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

P/B Ratio (MRQ)

Microsoft (MSFT) at 6.69 sits near its industry’s typical P/B ratio, while Apple (AAPL) at 39.09 prices above its benchmark range — AAPL looks rich relative to book.

AAPL

Technology Hardware & Equipment industry group

39.09

AAPL
39.09
Max
18.50
Q3
8.94
Median
4.37
Q1
2.16
Min
-3.51

MSFT

Software & Services industry group

6.69

Max
17.72
Q3
8.62
MSFT
6.69
Median
3.82
Q1
1.97
Min
-7.65
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Apple (AAPL) vs. Microsoft (MSFT): A comparison of their P/B ratio against their respective Technology Hardware & Equipment and Software & Services industry group benchmarks.

Valuation Metrics

Valuation metrics for Apple (AAPL) and Microsoft (MSFT)
MetricAAPLMSFT
P/E Ratio (TTM)34.3622.23
P/S Ratio (TTM)9.238.71
P/B Ratio (MRQ)39.096.69
Free Cash Flow Yield (TTM)2.43%1.34%