INFY vs. MSFT: Infosys vs. Microsoft Stock Comparison
How do Infosys (INFY) 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
Infosys (INFY) and Microsoft (MSFT) both fall under the Software & Services industry group, but INFY is classified in IT Services while MSFT is classified in Software.
Microsoft (MSFT) trades as ordinary local shares, while Infosys (INFY) trades as an ADR — compare with FX exposure, depositary-program fees, and dividend-withholding-tax differences in mind.
| Profile Item | INFY | MSFT |
|---|---|---|
| Name | Infosys Ltd. ADR | Microsoft Corporation Common Stock |
| Country/Region | India | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | IT Services | Software |
| GICS Sub-Industry | IT Consulting & Other Services | Systems Software |
| Market Capitalization | 50.63 billion USD | 3,940.41 billion USD |
| Currency | USD | USD |
| Exchange | NYSE | Nasdaq |
| Listing Date | March 11, 1999 | March 13, 1986 |
| Security Type | ADR | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Calendar-Year Returns
Performance Metrics
| Metric | INFY | MSFT |
|---|---|---|
| Total Return (1Y) | -23.13% | 10.30% |
| Total Return (3Y, Annualized) | -6.27% | 15.53% |
| Total Return (5Y, Annualized) | -9.51% | 11.01% |
Risk Profile
Drawdown History
Return Distribution
Risk Metrics
| Metric | INFY | MSFT |
|---|---|---|
| Volatility (1Y, Annualized) | 42.11% | 33.91% |
| Beta (5Y) | 0.87 | 1.03 |
| Max Drawdown (5Y) | -54.40% | -37.15% |
| Avg. Volume (3M) | 18.20M | 22.95M |
Risk-Adjusted Performance
Risk-Return Positioning
Risk-Adjusted Metrics
| Metric | INFY | MSFT |
|---|---|---|
| Sharpe Ratio (1Y) | -0.65 | 0.18 |
| Sortino Ratio (1Y) | -0.91 | 0.28 |
Profitability
ROE (TTM)
Both Infosys (INFY) at 29.95% and Microsoft (MSFT) at 34.22% sit in the top peer quartile for ROE, suggesting each generates more profit from shareholders’ equity than typical industry peers.
INFY
Software & Services industry group
29.95%
- Max
- 53.85%
- INFY
- 29.95%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
MSFT
Software & Services industry group
34.22%
- Max
- 53.85%
- MSFT
- 34.22%
- Q3
- 17.90%
- Median
- 6.59%
- Q1
- -9.59%
- Min
- -50.52%
Net Margin (TTM)
For every dollar of sales, both Infosys (INFY) at 16.22% and Microsoft (MSFT) at 41.17% retain more as net profit than most peers, landing in the top net margin quartile of their industries.
INFY
Software & Services industry group
16.22%
- Max
- 41.17%
- INFY
- 16.22%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
MSFT
Software & Services industry group
41.17%
- MSFT
- 41.17%
- Max
- 41.17%
- Q3
- 15.28%
- Median
- 4.63%
- Q1
- -5.42%
- Min
- -33.17%
Operating Margin (TTM)
Microsoft (MSFT) at 49.76% shows unusually strong operating efficiency — above its industry’s operating margin range — and Infosys (INFY) at 20.97% also operates in the top quartile.
INFY
Software & Services industry group
20.97%
- Max
- 46.89%
- INFY
- 20.97%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
MSFT
Software & Services industry group
49.76%
- MSFT
- 49.76%
- Max
- 46.89%
- Q3
- 17.64%
- Median
- 8.73%
- Q1
- -2.13%
- Min
- -30.45%
Profitability Metrics
| Metric | INFY | MSFT |
|---|---|---|
| ROE (TTM) | 29.95% | 34.22% |
| ROA (TTM) | 16.15% | 14.41% |
| Net Margin (TTM) | 16.22% | 41.17% |
| Operating Margin (TTM) | 20.97% | 49.76% |
| Gross Margin (TTM) | 29.75% | 67.66% |
Growth
Revenue Growth
Microsoft (MSFT) at 17.79% is around its peer norm for revenue growth, while Infosys (INFY) at 4.57% drops into the bottom quartile, signaling weaker demand or pricing momentum.
EPS Growth
Both Infosys (INFY) at 5.26% and Microsoft (MSFT) at 31.60% land near their industries' usual EPS growth ranges, so bottom-line momentum looks broadly in line with peers on both sides.
Growth Metrics
| Metric | INFY | MSFT |
|---|---|---|
| Revenue Growth (YoY) | 4.57% | 17.79% |
| Revenue Growth (3Y CAGR) | 3.44% | 16.12% |
| EPS Growth (YoY) | 5.26% | 31.60% |
| EPS Growth (3Y CAGR) | 4.06% | 22.86% |
Financial Strength
Current Ratio (MRQ)
Both Infosys (INFY) at 1.97 and Microsoft (MSFT) at 1.23 carry current ratio within their industries’ typical mid-ranges, suggesting balanced short-term liquidity relative to peers.
INFY
Software & Services industry group
1.97
- Max
- 5.11
- Q3
- 2.77
- INFY
- 1.97
- Median
- 1.67
- Q1
- 1.01
- Min
- 0.03
MSFT
Software & Services industry group
1.23
- Max
- 5.11
- Q3
- 2.77
- Median
- 1.67
- MSFT
- 1.23
- Q1
- 1.01
- Min
- 0.03
Debt / Equity (MRQ)
Both Infosys (INFY) at 0.09 and Microsoft (MSFT) at 0.28 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
INFY
Software & Services industry group
0.09
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- INFY
- 0.09
- Q1
- 0.07
- Min
- 0.00
MSFT
Software & Services industry group
0.28
- Max
- 2.52
- Q3
- 1.13
- Median
- 0.40
- MSFT
- 0.28
- Q1
- 0.07
- Min
- 0.00
Financial Strength Metrics
| Metric | INFY | MSFT |
|---|---|---|
| Current Ratio (MRQ) | 1.97 | 1.23 |
| Debt / Equity (MRQ) | 0.09 | 0.28 |
| Net Debt / EBITDA | -0.63 | 0.34 |
Dividends
Dividend Yield (TTM)
Both Infosys (INFY) at 4.14% and Microsoft (MSFT) at 0.69% yield above their industries’ entire benchmark ranges — high enough that dividend safety, not income, becomes the first question.
INFY
Software & Services industry group
4.14%
- INFY
- 4.14%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSFT
Software & Services industry group
0.69%
- MSFT
- 0.69%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Both Infosys (INFY) at 65.45% and Microsoft (MSFT) at 19.00% pay out more of their earnings than any of their industry peers — the thinnest cover in their groups, so dividend headroom deserves attention.
INFY
Software & Services industry group
65.45%
- INFY
- 65.45%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
MSFT
Software & Services industry group
19.00%
- MSFT
- 19.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | INFY | MSFT |
|---|---|---|
| Dividend Yield (TTM) | 4.14% | 0.69% |
| Dividend Payout Ratio (TTM) | 65.45% | 19.00% |
Valuation
P/E Ratio (TTM)
Infosys (INFY) at 15.43 sits in the cheaper P/E ratio quartile, while Microsoft (MSFT) at 27.69 is closer to its industry’s usual earnings multiple — a discount for INFY, though growth and earnings durability still matter.
INFY
Software & Services industry group
15.43
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- Q1
- 18.77
- INFY
- 15.43
- Min
- 6.69
MSFT
Software & Services industry group
27.69
- Max
- 112.94
- Q3
- 60.32
- Median
- 32.91
- MSFT
- 27.69
- Q1
- 18.77
- Min
- 6.69
P/S Ratio (TTM)
Infosys (INFY) at 2.49 is priced about in line with its industry on P/S ratio, while Microsoft (MSFT) at 11.37 sits in the pricier quartile — MSFT costs more per dollar of sales.
INFY
Software & Services industry group
2.49
- Max
- 17.91
- Q3
- 8.78
- Median
- 4.25
- INFY
- 2.49
- Q1
- 2.23
- Min
- 0.02
MSFT
Software & Services industry group
11.37
- Max
- 17.91
- MSFT
- 11.37
- Q3
- 8.78
- Median
- 4.25
- Q1
- 2.23
- Min
- 0.02
P/B Ratio (MRQ)
Microsoft (MSFT) at 8.38 is valued about in line with its industry on P/B ratio, while Infosys (INFY) at 9.80 carries an above-peer premium to book — INFY is pricier on assets.
INFY
Software & Services industry group
9.80
- Max
- 16.63
- INFY
- 9.80
- Q3
- 8.50
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
MSFT
Software & Services industry group
8.38
- Max
- 16.63
- Q3
- 8.50
- MSFT
- 8.38
- Median
- 4.30
- Q1
- 1.92
- Min
- -3.90
Valuation Metrics
| Metric | INFY | MSFT |
|---|---|---|
| P/E Ratio (TTM) | 15.43 | 27.69 |
| P/S Ratio (TTM) | 2.49 | 11.37 |
| P/B Ratio (MRQ) | 9.80 | 8.38 |
| Free Cash Flow Yield (TTM) | 6.52% | 0.08% |