AMZN vs. MSFT: Amazon.com vs. Microsoft Stock Comparison
This page compares Amazon.com (AMZN) with Microsoft (MSFT) using performance and risk, profitability, financial strength, growth, dividends, and valuation metrics.
Performance
Cumulative Growth
Trailing Returns
Performance at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| 1-Year Return | 11.87% | -17.75% |
Risk
Drawdown
Risk at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| 1-Year Volatility | 30.20% | 25.44% |
| Beta | 1.47 | 1.13 |
| 3-Month Avg. Volume | 44.54M | 34.88M |
Company Profile
Amazon.com (AMZN) is classified in the Consumer Discretionary sector (Consumer Discretionary Distribution & Retail), whereas Microsoft (MSFT) belongs to Information Technology (Software & Services) — their GICS classifications point to very different parts of the market.
| Profile Item | AMZN | MSFT |
|---|---|---|
| Name | Amazon.com, Inc. | Microsoft Corp. |
| Country/Region | United States | United States |
| GICS Sector | Consumer Discretionary | Information Technology |
| GICS Industry Group | Consumer Discretionary Distribution & Retail | Software & Services |
| GICS Industry | Broadline Retail | Software |
| GICS Sub-Industry | Broadline Retail | Systems Software |
| Market Capitalization | 2,566.11 billion USD | 2,902.59 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | May 15, 1997 | March 13, 1986 |
| Security Type | Common Stock | Common Stock |
Valuation
Price-to-Earnings Ratio (TTM)
Both Amazon.com (AMZN) at 31.64 and Microsoft (MSFT) at 23.29 land around their industries’ usual P/E ratio levels — neither is getting a clear earnings-multiple discount or premium versus peers.
AMZN
Consumer Discretionary Distribution & Retail industry group
31.64
- Max
- 54.29
- AMZN
- 31.64
- Q3
- 31.64
- Median
- 20.61
- Q1
- 12.78
- Min
- 1.13
MSFT
Software & Services industry group
23.29
- Max
- 106.12
- Q3
- 56.70
- Median
- 30.10
- MSFT
- 23.29
- Q1
- 15.65
- Min
- 0.39
Price-to-Sales Ratio (TTM)
Both Amazon.com (AMZN) at 3.45 and Microsoft (MSFT) at 9.12 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.
AMZN
Consumer Discretionary Distribution & Retail industry group
3.45
- Max
- 3.65
- AMZN
- 3.45
- Q3
- 1.78
- Median
- 0.73
- Q1
- 0.28
- Min
- 0.03
MSFT
Software & Services industry group
9.12
- Max
- 18.75
- MSFT
- 9.12
- Q3
- 8.80
- Median
- 3.97
- Q1
- 2.05
- Min
- 0.02
Price-to-Book Ratio (MRQ)
Microsoft (MSFT) at 7.01 is valued about in line with its industry on P/B ratio, while Amazon.com (AMZN) at 5.81 carries an above-peer premium to book — AMZN is pricier on assets.
AMZN
Consumer Discretionary Distribution & Retail industry group
5.81
- Max
- 11.07
- AMZN
- 5.81
- Q3
- 5.11
- Median
- 2.24
- Q1
- 1.05
- Min
- -3.64
MSFT
Software & Services industry group
7.01
- Max
- 16.52
- Q3
- 8.04
- MSFT
- 7.01
- Median
- 3.96
- Q1
- 1.96
- Min
- -6.70
Valuation at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| Price-to-Earnings Ratio (TTM) | 31.64 | 23.29 |
| Price-to-Sales Ratio (TTM) | 3.45 | 9.12 |
| Price-to-Book Ratio (MRQ) | 5.81 | 7.01 |
| Free Cash Flow Yield | 0.38% | 1.28% |
Profitability
Return on Equity (TTM)
Microsoft (MSFT) at 34.01% sits in the top ROE quartile, while Amazon.com (AMZN) at 24.29% is closer to the peer norm — stronger capital efficiency for MSFT.
AMZN
Consumer Discretionary Distribution & Retail industry group
24.29%
- Max
- 63.82%
- Q3
- 31.67%
- AMZN
- 24.29%
- Median
- 12.96%
- Q1
- 4.89%
- Min
- -29.94%
MSFT
Software & Services industry group
34.01%
- Max
- 53.38%
- MSFT
- 34.01%
- Q3
- 16.49%
- Median
- 5.29%
- Q1
- -13.69%
- Min
- -58.43%
Net Profit Margin (TTM)
For every dollar of sales, both Amazon.com (AMZN) at 12.22% and Microsoft (MSFT) at 39.34% retain more as net profit than most peers, landing in the top net margin quartile of their industries.
AMZN
Consumer Discretionary Distribution & Retail industry group
12.22%
- Max
- 20.45%
- AMZN
- 12.22%
- Q3
- 8.75%
- Median
- 3.25%
- Q1
- 0.49%
- Min
- -11.15%
MSFT
Software & Services industry group
39.34%
- Max
- 44.20%
- MSFT
- 39.34%
- Q3
- 14.93%
- Median
- 3.32%
- Q1
- -6.49%
- Min
- -34.99%
Operating Profit Margin (TTM)
Both Amazon.com (AMZN) at 13.14% 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.
AMZN
Consumer Discretionary Distribution & Retail industry group
13.14%
- Max
- 23.15%
- AMZN
- 13.14%
- Q3
- 11.08%
- Median
- 4.61%
- Q1
- 1.68%
- Min
- -8.71%
MSFT
Software & Services industry group
46.33%
- Max
- 60.45%
- MSFT
- 46.33%
- Q3
- 16.49%
- Median
- 4.46%
- Q1
- -12.92%
- Min
- -54.21%
Profitability at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| Return on Equity (TTM) | 24.29% | 34.01% |
| Return on Assets (TTM) | 6.85% | 14.81% |
| Net Profit Margin (TTM) | 12.22% | 39.34% |
| Operating Profit Margin (TTM) | 13.14% | 46.33% |
| Gross Profit Margin (TTM) | 50.60% | 68.31% |
Growth
Revenue Growth
Revenue Growth at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| 1-Year Revenue Growth | 12.38% | 14.93% |
| 3-Year Revenue CAGR | 11.73% | 12.42% |
EPS Growth
EPS Growth at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| 1-Year EPS Growth | 29.66% | 15.59% |
| 3-Year EPS CAGR | -- | 12.23% |
Financial Strength
Current Ratio (MRQ)
Both Amazon.com (AMZN) at 1.18 and Microsoft (MSFT) at 1.28 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.
AMZN
Consumer Discretionary Distribution & Retail industry group
1.18
- Max
- 2.97
- Q3
- 1.87
- Median
- 1.38
- AMZN
- 1.18
- Q1
- 1.03
- Min
- 0.46
MSFT
Software & Services industry group
1.28
- Max
- 5.55
- Q3
- 2.88
- Median
- 1.73
- MSFT
- 1.28
- Q1
- 1.07
- Min
- 0.03
Debt-to-Equity Ratio (MRQ)
Amazon.com (AMZN) at 0.53 keeps leverage in the lower industry quartile, while Microsoft (MSFT) at 0.30 runs a more typical debt-to-equity mix.
AMZN
Consumer Discretionary Distribution & Retail industry group
0.53
- Max
- 3.27
- Q3
- 1.82
- Median
- 1.09
- Q1
- 0.67
- AMZN
- 0.53
- Min
- 0.01
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
Financial Strength at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| Current Ratio (MRQ) | 1.18 | 1.28 |
| Debt-to-Equity Ratio (MRQ) | 0.53 | 0.30 |
| Net Debt / EBITDA | 0.59 | 0.26 |
Dividends
Dividend Yield (TTM)
Amazon.com (AMZN) pays no dividend (yield 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Microsoft (MSFT) reports a yield of 0.93%, ranking against industry peers normally.
AMZN
Consumer Discretionary Distribution & Retail industry group
0.00%
- Max
- 6.62%
- Q3
- 2.66%
- AMZN
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSFT
Software & Services industry group
0.93%
- MSFT
- 0.93%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Amazon.com (AMZN) pays no dividend (payout 0.00%) — it may be reinvesting, using buybacks, or simply not returning cash through dividends. Meanwhile Microsoft (MSFT) reports a payout of 20.73%, ranking against industry peers normally.
AMZN
Consumer Discretionary Distribution & Retail industry group
0.00%
- Max
- 78.51%
- Q3
- 33.46%
- AMZN
- 0.00%
- 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%
Dividends at a Glance
| Metric | AMZN | MSFT |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.93% |
| Dividend Payout Ratio (TTM) | 0.00% | 20.73% |