MSFT vs. MSTR: Microsoft vs. Strategy Stock Comparison
How do Microsoft (MSFT) and Strategy (MSTR) 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
Microsoft (MSFT) and Strategy (MSTR) both belong to the Software industry, though MSFT is classified under Systems Software while MSTR falls under Application Software.
| Profile Item | MSFT | MSTR |
|---|---|---|
| Name | Microsoft Corp. | Strategy Inc. |
| Country/Region | United States | United States |
| GICS Sector | Information Technology | Information Technology |
| GICS Industry Group | Software & Services | Software & Services |
| GICS Industry | Software | Software |
| GICS Sub-Industry | Systems Software | Application Software |
| Market Capitalization | 2,770.58 billion USD | 29.45 billion USD |
| Currency | USD | USD |
| Exchange | Nasdaq | Nasdaq |
| Listing Date | March 13, 1986 | June 11, 1998 |
| Security Type | Common Stock | Common Stock |
Price Performance
Cumulative Growth
Trailing Returns
Performance Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| Total Return (1Y) | -24.42% | -78.70% |
Risk Profile
Drawdown History
Strategy (MSTR) carries a highly aggressive beta of 3.60, indicating much higher sensitivity to broad-market moves, whereas Microsoft (MSFT) is closer to market-like at 1.15 — a noticeable difference in market-sensitivity profile.
Risk Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| Volatility (1Y, Annualized) | 26.91% | 73.18% |
| Beta (5Y) | 1.15 | 3.60 |
| Avg. Volume (3M) | 39.09M | 19.82M |
Risk-Adjusted Performance
Risk-Return Positioning
Profitability
ROE (TTM)
Strategy (MSTR) reports a negative ROE of -30.76%; negative ROE can reflect losses or negative shareholders’ equity, so it is harder to read as capital efficiency. Meanwhile Microsoft (MSFT) reports 34.01%, ranking against industry peers normally.
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%
MSTR
Software & Services industry group
-30.76%
- Max
- 53.38%
- Q3
- 16.53%
- Median
- 5.38%
- Q1
- -13.43%
- MSTR
- -30.76%
- Min
- -55.27%
Net Margin (TTM)
Microsoft (MSFT) at 39.34% retains a top-quartile share of revenue as profit, ahead of Strategy (MSTR) at 0.00%, which keeps about the industry-typical share.
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%
MSTR
Software & Services industry group
0.00%
- Max
- 44.20%
- Q3
- 14.93%
- Median
- 3.32%
- MSTR
- 0.00%
- Q1
- -5.99%
- Min
- -34.99%
Operating Margin (TTM)
Strategy (MSTR) reports a negative operating margin of -11,641.53%, usually indicating that operating costs exceeded revenue at the operating-income line. Meanwhile Microsoft (MSFT) reports 46.33%, ranking against industry peers normally.
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%
MSTR
Software & Services industry group
-11,641.53%
- Max
- 60.45%
- Q3
- 16.49%
- Median
- 4.46%
- Q1
- -12.92%
- Min
- -53.94%
- MSTR
- -11,641.53%
Profitability Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| ROE (TTM) | 34.01% | -30.76% |
| ROA (TTM) | 14.81% | -17.81% |
| Net Margin (TTM) | 39.34% | 0.00% |
| Operating Margin (TTM) | 46.33% | -11,641.53% |
| Gross Margin (TTM) | 68.31% | 68.11% |
Growth
Revenue Growth
Revenue Growth Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| Revenue Growth (YoY) | 14.93% | 2.97% |
| Revenue Growth (3Y CAGR) | 12.42% | -1.49% |
EPS Growth
EPS Growth Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| EPS Growth (YoY) | 15.59% | -- |
| EPS Growth (3Y CAGR) | 12.23% | -- |
Financial Strength
Current Ratio (MRQ)
Microsoft (MSFT) at 1.28 keeps current ratio within its industry’s typical mid-range, while Strategy (MSTR) at 6.05 sits above its industry’s typical mid-range — comfortable liquidity, though possibly with more idle current assets relative to peers.
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
MSTR
Software & Services industry group
6.05
- MSTR
- 6.05
- Max
- 5.55
- Q3
- 2.88
- Median
- 1.72
- Q1
- 1.07
- Min
- 0.03
Debt / Equity (MRQ)
Both Microsoft (MSFT) at 0.30 and Strategy (MSTR) at 0.18 fund their balance sheets with roughly industry-typical debt-to-equity mixes.
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
MSTR
Software & Services industry group
0.18
- Max
- 2.31
- Q3
- 1.06
- Median
- 0.32
- MSTR
- 0.18
- Q1
- 0.06
- Min
- 0.00
Financial Strength Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| Current Ratio (MRQ) | 1.28 | 6.05 |
| Debt / Equity (MRQ) | 0.30 | 0.18 |
| Net Debt / EBITDA | 0.26 | -- |
Dividends
Dividend Yield (TTM)
Strategy (MSTR) 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 1.01%, ranking against industry peers normally.
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%
MSTR
Software & Services industry group
0.00%
- MSTR
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Payout Ratio (TTM)
Strategy (MSTR) 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.
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%
MSTR
Software & Services industry group
0.00%
- MSTR
- 0.00%
- Max
- 0.00%
- Q3
- 0.00%
- Median
- 0.00%
- Q1
- 0.00%
- Min
- 0.00%
Dividend Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| Dividend Yield (TTM) | 1.01% | 0.00% |
| Dividend Payout Ratio (TTM) | 20.73% | 0.00% |
Valuation
P/E Ratio (TTM)
An earnings multiple is available for just one side: Microsoft (MSFT) trades at 22.23 times trailing earnings, ranked against its peers, while Strategy (MSTR) has no P/E ratio this period.
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
MSTR
Software & Services industry group
--
- Max
- 114.57
- Q3
- 59.78
- Median
- 29.42
- Q1
- 16.20
- Min
- 0.40
- MSTR
- --
P/S Ratio (TTM)
Microsoft (MSFT) at 8.71 prices around its industry’s typical P/S ratio, while Strategy (MSTR) at 60.04 clears its benchmark range — MSTR looks notably rich on sales.
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
MSTR
Software & Services industry group
60.04
- MSTR
- 60.04
- Max
- 17.86
- Q3
- 8.79
- Median
- 4.10
- Q1
- 2.13
- Min
- 0.03
P/B Ratio (MRQ)
Strategy (MSTR) at 0.78 sits in the lower P/B ratio quartile against book while Microsoft (MSFT) at 6.69 is valued near its industry’s middle — MSTR is cheaper on assets, though weigh it against ROE and asset quality.
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
MSTR
Software & Services industry group
0.78
- Max
- 17.72
- Q3
- 8.62
- Median
- 3.82
- Q1
- 1.97
- MSTR
- 0.78
- Min
- -7.65
Valuation Metrics
| Metric | MSFT | MSTR |
|---|---|---|
| P/E Ratio (TTM) | 22.23 | -- |
| P/S Ratio (TTM) | 8.71 | 60.04 |
| P/B Ratio (MRQ) | 6.69 | 0.78 |
| Free Cash Flow Yield (TTM) | 1.34% | -29.54% |