Seek Returns logo

APP vs. MSFT: A Head-to-Head Stock Comparison

Updated

Here’s a clear look at APP and MSFT, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.

Company Overview

MSFT towers over APP with a market cap of 3,363.74 billion USD, roughly 27.74 times the 121.26 billion USD of its peer.

APP rides a wilder wave with a beta of 2.39, hinting at bigger swings than MSFT’s steadier 0.98.

SymbolAPPMSFT
Company NameAppLovin CorporationMicrosoft Corporation
CountryUSUS
SectorTechnologyTechnology
IndustrySoftware - ApplicationSoftware - Infrastructure
CEOMr. Adam Arash ForoughiMr. Satya Nadella
Price358.35 USD452.57 USD
Market Cap121.26 billion USD3,363.74 billion USD
Beta2.3920.985
ExchangeNASDAQNASDAQ
IPO DateApril 15, 2021March 13, 1986
ADRNoNo

Performance Comparison

This chart compares the performance of APP and MSFT over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Hover over the lines to see the investment’s value and total return (%) at specific dates.

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

For a detailed comparison of valuation metrics between APP and MSFT, please refer to the table below.

SymbolAPPMSFT
Price-to-Earnings Ratio (P/E, TTM)63.4334.82
Forward PEG Ratio (TTM)2.432.11
Price-to-Sales Ratio (P/S, TTM)23.6112.46
Price-to-Book Ratio (P/B, TTM)211.6410.45
Price-to-Free Cash Flow Ratio (P/FCF, TTM)47.8748.49
EV-to-EBITDA (TTM)47.3022.63
EV-to-Sales (TTM)24.2312.58
EV-to-Free Cash Flow (TTM)49.1248.95

Dividend Comparison

APP pays no dividends, focusing all profits on growth, appealing to capital-gains investors. Meanwhile, MSFT’s 0.72% yield rewards shareholders, showing financial confidence while supporting objectives—a contrast to APP’s growth-only approach.

SymbolAPPMSFT
Dividend Yield (TTM)0.00%0.72%

Financial Strength Metrics Comparison

This section dives into the financial resilience of APP and MSFT, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

  • APP racks up a D/E of 6.45 over 3.0, leaning hard into debt and flirting with higher risk. Meanwhile, MSFT clocks in at 0.19, staying on firmer ground.
SymbolAPPMSFT
Current Ratio (TTM)1.681.37
Quick Ratio (TTM)1.681.36
Debt-to-Equity Ratio (TTM)6.450.19
Debt-to-Assets Ratio (TTM)0.650.11
Interest Coverage Ratio (TTM)7.4149.43