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Meta Platforms (META) vs. Microsoft (MSFT)

This page compares Meta Platforms (META) with Microsoft (MSFT) using performance and risk, profitability, financial strength, growth, dividends, and valuation metrics.

Company Profile

Meta Platforms (META) is classified in the Communication Services sector (Media & Entertainment), whereas Microsoft (MSFT) belongs to Information Technology (Software & Services) — their GICS classifications point to very different parts of the market.

SymbolMETAMSFT
NameMeta Platforms Inc Class AMicrosoft Corp.
Country/RegionUnited StatesUnited States
GICS SectorCommunication ServicesInformation Technology
GICS Industry GroupMedia & EntertainmentSoftware & Services
GICS IndustryInteractive Media & ServicesSoftware
GICS Sub-IndustryInteractive Media & ServicesSystems Software
Market Capitalization1,483.94 billion USD2,996.70 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateMay 18, 2012March 13, 1986
Security TypeCommon StockCommon Stock

Valuation

Price-to-Earnings Ratio (TTM)

Both Meta Platforms (META) at 21.27 and Microsoft (MSFT) at 24.01 post Price-to-Earnings Ratio (TTM) near the typical industry midpoint — neither company stands out strongly from peers on trailing earnings multiple.

META

Media & Entertainment industry group

21.27

Max
75.72
Q3
38.32
Median
22.51
Q1
11.95
Min
1.69

MSFT

Software & Services industry group

24.01

Max
108.25
Q3
55.55
Median
31.70
Q1
15.92
Min
0.36
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Price-to-Earnings Ratio (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Price-to-Sales Ratio (TTM)

Both Meta Platforms (META) at 6.90 and Microsoft (MSFT) at 9.42 command a richer price per dollar of sales than most peers, sitting in the upper Price-to-Sales Ratio (TTM) quartile of their industries.

META

Media & Entertainment industry group

6.90

Max
7.72
Q3
3.59
Median
1.43
Q1
0.52
Min
0.00

MSFT

Software & Services industry group

9.42

Max
18.52
Q3
9.02
Median
4.01
Q1
2.11
Min
0.02
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Price-to-Sales Ratio (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Price-to-Book Ratio (MRQ)

Microsoft (MSFT) at 7.23 is valued about in line with its industry on Price-to-Book Ratio (MRQ), while Meta Platforms (META) at 6.09 carries a peer-beating premium to book — META is pricier on assets.

META

Media & Entertainment industry group

6.09

Max
11.02
Q3
4.89
Median
1.88
Q1
0.77
Min
-2.82

MSFT

Software & Services industry group

7.23

Max
17.39
Q3
8.16
Median
4.00
Q1
1.95
Min
-6.56
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Price-to-Book Ratio (MRQ) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Valuation at a Glance

SymbolMETAMSFT
Price-to-Earnings Ratio (TTM)21.2724.01
Price-to-Sales Ratio (TTM)6.909.42
Price-to-Book Ratio (MRQ)6.097.23
Free Cash Flow Yield1.72%1.24%

Profitability

Return on Equity (TTM)

Both Meta Platforms (META) at 32.93% and Microsoft (MSFT) at 34.01% rank in the top quartile for Return on Equity (TTM) among industry peers, indicating strong returns on shareholders’ equity.

META

Media & Entertainment industry group

32.93%

Max
38.89%
Q3
15.58%
Median
6.43%
Q1
-4.34%
Min
-29.59%

MSFT

Software & Services industry group

34.01%

Max
58.77%
Q3
16.77%
Median
5.20%
Q1
-16.00%
Min
-63.05%
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Return on Equity (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Net Profit Margin (TTM)

Meta Platforms (META) at 32.84% keeps the most of each sales dollar — above its industry’s Net Profit Margin (TTM) range — and Microsoft (MSFT) at 39.34% also retains a top-quartile share.

META

Media & Entertainment industry group

32.84%

Max
30.77%
Q3
10.41%
Median
3.55%
Q1
-3.19%
Min
-20.69%

MSFT

Software & Services industry group

39.34%

Max
44.20%
Q3
15.06%
Median
3.32%
Q1
-6.49%
Min
-34.99%
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Net Profit Margin (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Operating Profit Margin (TTM)

Both Meta Platforms (META) at 40.62% and Microsoft (MSFT) at 46.33% squeeze more operating profit from each sales dollar than most peers, ranking in the top Operating Profit Margin (TTM) quartile of their industries.

META

Media & Entertainment industry group

40.62%

Max
41.37%
Q3
16.41%
Median
7.79%
Q1
-3.39%
Min
-26.23%

MSFT

Software & Services industry group

46.33%

Max
60.45%
Q3
16.49%
Median
4.46%
Q1
-12.92%
Min
-54.21%
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Operating Profit Margin (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Profitability at a Glance

SymbolMETAMSFT
Return on Equity (TTM)32.93%34.01%
Return on Assets (TTM)16.40%14.81%
Net Profit Margin (TTM)32.84%39.34%
Operating Profit Margin (TTM)40.62%46.33%
Gross Profit Margin (TTM)81.94%68.31%

Growth

Revenue Growth

Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Revenue Growth across different time periods.

Revenue Growth at a Glance

SymbolMETAMSFT
1-Year Revenue Growth22.17%14.93%
3-Year Revenue CAGR19.89%12.42%

EPS Growth

Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their EPS Growth across different time periods.

EPS Growth at a Glance

SymbolMETAMSFT
1-Year EPS Growth-1.55%15.59%
3-Year EPS CAGR39.84%12.23%

Financial Strength

Current Ratio (MRQ)

Microsoft (MSFT) at 1.28 keeps Current Ratio (MRQ) within its industry mid-range, while Meta Platforms (META) at 2.35 sits above the industry mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.

META

Media & Entertainment industry group

2.35

Max
3.53
Q3
2.15
Median
1.39
Q1
0.89
Min
0.31

MSFT

Software & Services industry group

1.28

Max
5.55
Q3
2.88
Median
1.73
Q1
1.07
Min
0.03
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Current Ratio (MRQ) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Debt-to-Equity Ratio (MRQ)

Both Meta Platforms (META) at 0.36 and Microsoft (MSFT) at 0.30 post Debt-to-Equity Ratio (MRQ) near their industry mid-ranges, so neither company stands out strongly from peers on leverage.

META

Media & Entertainment industry group

0.36

Max
3.24
Q3
1.40
Median
0.54
Q1
0.17
Min
0.00

MSFT

Software & Services industry group

0.30

Max
2.31
Q3
1.06
Median
0.32
Q1
0.06
Min
0.00
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Financial Strength at a Glance

SymbolMETAMSFT
Current Ratio (MRQ)2.351.28
Debt-to-Equity Ratio (MRQ)0.360.30
Net Debt / EBITDA0.050.26

Dividends

Dividend Yield (TTM)

Both Meta Platforms (META) at 0.36% and Microsoft (MSFT) at 0.90% report Dividend Yield (TTM) near their industry mid-ranges, so neither company stands out strongly from peers on cash yield relative to share price.

META

Media & Entertainment industry group

0.36%

Max
2.65%
Q3
1.14%
Median
0.00%
Q1
0.00%
Min
0.00%

MSFT

Software & Services industry group

0.90%

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Dividend Yield (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Dividend Payout Ratio (TTM)

Meta Platforms (META) at 7.64% maintains Dividend Payout Ratio (TTM) around its industry median — a balanced dividend policy. Microsoft (MSFT) at 20.73% sits outside the typical mid-range, leaning toward more retention or more distribution than the industry median.

META

Media & Entertainment industry group

7.64%

Max
49.56%
Q3
22.57%
Median
0.00%
Q1
0.00%
Min
0.00%

MSFT

Software & Services industry group

20.73%

Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
Meta Platforms (META) vs. Microsoft (MSFT): A comparison of their Dividend Payout Ratio (TTM) against their respective Media & Entertainment and Software & Services industry group benchmarks.

Dividends at a Glance

SymbolMETAMSFT
Dividend Yield (TTM)0.36%0.90%
Dividend Payout Ratio (TTM)7.64%20.73%

Performance & Risk

META
MSFT
Loading price history…
Meta Platforms (META) vs. Microsoft (MSFT): Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Performance & Risk at a Glance

SymbolMETAMSFT
1-Year Return-15.84%-11.77%
1-Year Volatility35.63%25.35%
Beta1.241.12
3-Month Avg. Volume16.79M34.45M