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

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Here’s a clear look at MSFT and STX, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolMSFTSTX
Company NameMicrosoft CorporationSeagate Technology Holdings plc
CountryUnited StatesSingapore
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareTechnology Hardware, Storage & Peripherals
Market Capitalization3,748.25 billion USD34.88 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateMarch 13, 1986December 11, 2002
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of MSFT and STX by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

MSFT vs. STX: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolMSFTSTX
5-Day Price Return-1.08%3.84%
13-Week Price Return10.86%50.65%
26-Week Price Return21.58%59.22%
52-Week Price Return21.35%58.87%
Month-to-Date Return-5.48%4.45%
Year-to-Date Return19.63%90.01%
10-Day Avg. Volume22.11M2.16M
3-Month Avg. Volume20.62M4.02M
3-Month Volatility15.65%32.22%
Beta1.041.60

Profitability

Return on Equity (TTM)

MSFT

32.44%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

In the upper quartile for the Software industry, MSFT’s Return on Equity of 32.44% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

STX

398.07%

Technology Hardware, Storage & Peripherals Industry

Max
47.24%
Q3
29.40%
Median
9.11%
Q1
6.06%
Min
-0.79%

STX’s Return on Equity of 398.07% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

MSFT vs. STX: A comparison of their Return on Equity (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Net Profit Margin (TTM)

MSFT

36.15%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

A Net Profit Margin of 36.15% places MSFT in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

STX

16.15%

Technology Hardware, Storage & Peripherals Industry

Max
13.86%
Q3
8.17%
Median
4.62%
Q1
3.65%
Min
-0.21%

STX’s Net Profit Margin of 16.15% is exceptionally high, placing it well beyond the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

MSFT vs. STX: A comparison of their Net Profit Margin (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Operating Profit Margin (TTM)

MSFT

45.29%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

An Operating Profit Margin of 45.29% places MSFT in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

STX

20.88%

Technology Hardware, Storage & Peripherals Industry

Max
17.80%
Q3
10.33%
Median
6.31%
Q1
4.86%
Min
2.53%

STX’s Operating Profit Margin of 20.88% is exceptionally high, placing it well above the typical range for the Technology Hardware, Storage & Peripherals industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

MSFT vs. STX: A comparison of their Operating Profit Margin (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Profitability at a Glance

SymbolMSFTSTX
Return on Equity (TTM)32.44%398.07%
Return on Assets (TTM)18.20%18.64%
Net Profit Margin (TTM)36.15%16.15%
Operating Profit Margin (TTM)45.29%20.88%
Gross Profit Margin (TTM)68.82%35.32%

Financial Strength

Current Ratio (MRQ)

MSFT

1.35

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

MSFT’s Current Ratio of 1.35 aligns with the median group of the Software industry, indicating that its short-term liquidity is in line with its sector peers.

STX

1.38

Technology Hardware, Storage & Peripherals Industry

Max
2.47
Q3
1.98
Median
1.40
Q1
1.26
Min
0.70

STX’s Current Ratio of 1.38 aligns with the median group of the Technology Hardware, Storage & Peripherals industry, indicating that its short-term liquidity is in line with its sector peers.

MSFT vs. STX: A comparison of their Current Ratio (MRQ) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Debt-to-Equity Ratio (MRQ)

MSFT

0.26

Software Industry

Max
2.14
Q3
0.90
Median
0.29
Q1
0.00
Min
0.00

MSFT’s Debt-to-Equity Ratio of 0.26 is typical for the Software industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

STX

51.80

Technology Hardware, Storage & Peripherals Industry

Max
1.47
Q3
0.93
Median
0.32
Q1
0.19
Min
0.00

With a Debt-to-Equity Ratio of 51.80, STX operates with exceptionally high leverage compared to the Technology Hardware, Storage & Peripherals industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

MSFT vs. STX: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Interest Coverage Ratio (TTM)

MSFT

891.80

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

With an Interest Coverage Ratio of 891.80, MSFT demonstrates a superior capacity to service its debt, placing it well above the typical range for the Software industry. This stems from either robust earnings or a conservative debt load.

STX

6.11

Technology Hardware, Storage & Peripherals Industry

Max
204.63
Q3
90.22
Median
21.70
Q1
6.79
Min
-23.93

In the lower quartile for the Technology Hardware, Storage & Peripherals industry, STX’s Interest Coverage Ratio of 6.11 indicates a tighter cushion for servicing debt, suggesting less financial flexibility than many of its competitors.

MSFT vs. STX: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Financial Strength at a Glance

SymbolMSFTSTX
Current Ratio (MRQ)1.351.38
Quick Ratio (MRQ)1.350.84
Debt-to-Equity Ratio (MRQ)0.2651.80
Interest Coverage Ratio (TTM)891.806.11

Growth

Revenue Growth

MSFT vs. STX: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

MSFT vs. STX: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

MSFT

0.64%

Software Industry

Max
0.08%
Q3
0.03%
Median
0.00%
Q1
0.00%
Min
0.00%

MSFT’s Dividend Yield of 0.64% is exceptionally high, placing it well above the typical range for the Software industry. While this may seem attractive, an unusually high yield can sometimes be a warning sign, reflecting a falling stock price or market concerns about the dividend’s sustainability.

STX

1.78%

Technology Hardware, Storage & Peripherals Industry

Max
4.50%
Q3
3.66%
Median
1.90%
Q1
0.00%
Min
0.00%

STX’s Dividend Yield of 1.78% is consistent with its peers in the Technology Hardware, Storage & Peripherals industry, providing a dividend return that is standard for its sector.

MSFT vs. STX: A comparison of their Dividend Yield (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Dividend Payout Ratio (TTM)

MSFT

23.65%

Software Industry

Max
1.32%
Q3
0.53%
Median
0.00%
Q1
0.00%
Min
0.00%

At 23.65%, MSFT’s Dividend Payout Ratio is exceptionally high, exceeding the typical range for the Software industry. While this provides a significant return to shareholders, it may limit funds for reinvestment and could be difficult to sustain.

STX

40.84%

Technology Hardware, Storage & Peripherals Industry

Max
142.87%
Q3
66.07%
Median
42.79%
Q1
0.00%
Min
0.00%

STX’s Dividend Payout Ratio of 40.84% is within the typical range for the Technology Hardware, Storage & Peripherals industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

MSFT vs. STX: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Dividend at a Glance

SymbolMSFTSTX
Dividend Yield (TTM)0.64%1.78%
Dividend Payout Ratio (TTM)23.65%40.84%

Valuation

Price-to-Earnings Ratio (TTM)

MSFT

37.23

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

MSFT’s P/E Ratio of 37.23 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

STX

22.93

Technology Hardware, Storage & Peripherals Industry

Max
43.16
Q3
27.56
Median
17.85
Q1
12.48
Min
6.21

STX’s P/E Ratio of 22.93 is within the middle range for the Technology Hardware, Storage & Peripherals industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

MSFT vs. STX: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Price-to-Sales Ratio (TTM)

MSFT

13.46

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

MSFT’s P/S Ratio of 13.46 aligns with the market consensus for the Software industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

STX

3.70

Technology Hardware, Storage & Peripherals Industry

Max
4.27
Q3
1.99
Median
0.93
Q1
0.45
Min
0.04

STX’s P/S Ratio of 3.70 is in the upper echelon for the Technology Hardware, Storage & Peripherals industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

MSFT vs. STX: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Price-to-Book Ratio (MRQ)

MSFT

10.76

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
Min
0.38

MSFT’s P/B Ratio of 10.76 is within the conventional range for the Software industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

STX

136.18

Technology Hardware, Storage & Peripherals Industry

Max
12.51
Q3
6.11
Median
1.73
Q1
1.01
Min
0.31

At 136.18, STX’s P/B Ratio is at an extreme premium to the Technology Hardware, Storage & Peripherals industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

MSFT vs. STX: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Technology Hardware, Storage & Peripherals industry benchmarks.

Valuation at a Glance

SymbolMSFTSTX
Price-to-Earnings Ratio (TTM)37.2322.93
Price-to-Sales Ratio (TTM)13.463.70
Price-to-Book Ratio (MRQ)10.76136.18
Price-to-Free Cash Flow Ratio (TTM)52.9441.18