MSFT
Microsoft Corporation
MSFT has the edge over Q overall, supported by stronger valuation and stronger fundamentals.
Q
Qnity Electronics, Inc.
Q's outlook is improving, though it still trails on the overall score.
MSFT Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Strong | |
| Healthy | |
| Strong |
MSFT's revenue, profitability, cash flow and balance sheet are all currently healthy.
Q Fundamentals
| Metric | Status |
|---|---|
| Unavailable | |
| Healthy | |
| Healthy | |
| Stable |
Q's profitability and cash flow are currently healthy, and its balance sheet is stable. There isn't enough data to rate its revenue.
MSFT PE Valuation
| Level | PE | Price | Vs current |
|---|---|---|---|
| Forward | 25x | $523 | — |
| Cheap | 27x | $525 | +0.4% |
| Current | 27x | $523 | — |
| Fair | 34x | $652 | +25% |
| Expensive | 37x | $711 | +36% |
Historical ranges are pointers, not guarantees.
MSFT's PE is in its cheap range at 27x. If earnings grow as analysts expect, today's price would be 25x next year's earnings.
Q PE Valuation
Q has no meaningful PE right now: it lost money over the past year.
MSFT Forward outlook
| Metric | Outlook |
|---|---|
| Improving | |
| Strong growth | |
| Strong growth | |
| Stable | |
| Moderate | |
| High |
Analysts expect strong earnings and revenue growth for MSFT, with profitability holding steady.
Q Forward outlook
| Metric | Outlook |
|---|---|
| -- | |
| Strong growth | |
| Strong growth | |
| Strongly improving | |
| Limited | |
| Moderate |
Q has the edge over MSFT on the outlook, with more favorable profitability expectations.
MSFT Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $20.79 | +8.6% |
| Q3 2026 | $19.15 | +36% |
| Q2 2026 | $17.95 | +32% |
| Q1 2026 | $16.80 | +30% |
| Q4 2025 | $15.99 | +29% |
| Q3 2025 | $14.06 | +16% |
| Q2 2025 | $13.64 | +16% |
| Q1 2025 | $12.93 | +12% |
| Q4 2024 | $12.41 | +12% |
MSFT's earnings per share have climbed steadily: $19.15 over the past year, up 36% from the year before, and higher year over year for 14 quarters in a row.
Q Earnings Per Share
Q and MSFT do not have enough comparable growth data to identify a winner.
MSFT Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $92.3B | +19% |
| Q2 2026 | $90B | +18% |
| Q1 2026 | $82.9B | +18% |
| Q4 2025 | $81.3B | +17% |
| Q3 2025 | $77.7B | +18% |
| Q2 2025 | $76.4B | +18% |
| Q1 2025 | $70.1B | +13% |
| Q4 2024 | $69.6B | +12% |
MSFT's revenue has grown year over year every quarter since late 2020: $92.3B last quarter, up 19% from the same quarter a year ago.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 50% | +0.9 points |
| Q2 2026 | 45% | +0.2 points |
| Q1 2026 | 46% | +0.7 points |
| Q4 2025 | 47% | +1.6 points |
| Q3 2025 | 49% | +2.3 points |
| Q2 2025 | 45% | +1.8 points |
| Q1 2025 | 46% | +1.1 points |
| Q4 2024 | 45% | +1.9 points |
MSFT has the edge over Q on profitability, with a higher operating margin.
Q Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $1.6B | +22% |
| Q2 2026 | $1.4B | +22% |
| Q1 2026 | $1.3B | +18% |
| Q2 2025 | $1.2B | +6.1% |
| Q1 2025 | $1.1B | +14% |
Q has the edge over MSFT in the latest year-over-year revenue comparison.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | 16% | -5.5 points |
| Q2 2026 | 14% | -7.3 points |
| Q1 2026 | 17% | -6 points |
| Q4 2025 | 16% | -2.2 points |
| Q3 2025 | 21% | +4.2 points |
| Q2 2025 | 21% | N/A |
| Q1 2025 | 23% | N/A |
| Q2 2024 | 18% | N/A |
Q's operating margin was 16% last quarter, down 5.5 points from the same quarter a year ago.
MSFT Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $18.6B | -27% |
| Q2 2026 | $19.6B | -23% |
| Q1 2026 | $15.8B | -22% |
| Q4 2025 | $5.9B | -9.3% |
| Q3 2025 | $25.7B | +33% |
| Q2 2025 | $25.6B | +9.6% |
| Q1 2025 | $20.3B | -3.2% |
| Q4 2024 | $6.5B | -29% |
MSFT's free cash flow has been positive every quarter for seven years: $60B over the past year, down 23% from the year before.
Q Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q2 2026 | $151M | -33% |
| Q1 2026 | $13M | -87% |
| Q2 2025 | $224M | +20% |
| Q1 2025 | $103M | -28% |
Q's free cash flow has been positive every quarter since early 2024: $777M over the past year, up 18% from the year before.
MSFT Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.1% | -7M shares |
| 1 year | -0.3% | -20M shares |
| 3 years | -0.2% | -16M shares |
| 5 years | -1.6% | -121M shares |
| Available history | -3.2% | -245M shares |
MSFT has the edge over Q on shareholder dilution, with a more favorable share count trend.
| Quarter | Spent |
|---|---|
| Q3 2026 | $4.4B |
| Q2 2026 | $4.6B |
| Q1 2026 | $4.6B |
| Q4 2025 | $7.4B |
| Q3 2025 | $5.7B |
| Q2 2025 | $4.5B |
| Q1 2025 | $4.8B |
| Q4 2024 | $5B |
MSFT spent $21B buying back its own shares over the past year, up 5.2% from the year before.
Q Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.1% | -200K shares |
| 1 year | +0.5% | +1M shares |
Q has 210M diluted shares, about the same as a year ago.
| Quarter | Spent |
|---|---|
| Q3 2026 | $25M |
| Q2 2026 | $25M |
| Q1 2026 | $25M |
| Q2 2025 | — |
| Q1 2025 | — |
| Q2 2024 | — |
| Q1 2024 | — |
MSFT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.1x | Very low |
| Q2 2026 | 0.1x | Very low |
MSFT has the edge over Q on leverage, with a lower net debt burden relative to earnings.
Q Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 2.3x | Moderate |
| Q2 2026 | 2.4x | Moderate |
| Q1 2026 | 2.4x | Moderate |
| Q4 2025 | 2.3x | Moderate |
Q's net debt is about 2.3 years of its operating earnings (EBITDA).
MSFT Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 62.1 | Neutral |
| Stochastic | 68.0 | Neutral |
MSFT's weekly RSI is 62 (neutral) and its Stochastic is 68 (neutral).
Q Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 47.7 | Neutral |
| Stochastic | 33.1 | Neutral |
Q's weekly RSI is 48 (neutral) and its Stochastic is 33 (neutral).
MSFT PE vs Technology Sector
| Metric | MSFT | Sector median | Relative |
|---|---|---|---|
| PE | 27x | 28x | 2% below |
| PE % | 16 | 35 | 19 pts below |
MSFT is trading at 27x earnings, in line with the Technology sector's median of 28x.
Q PE vs Technology Sector
Q has no meaningful PE right now: it lost money over the past year.
MSFT Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $524.7 | 0.3% below |
| 20 week MA | $484.8 | 7.9% above |
| 50 week MA | $446.9 | 17% above |
| 100 week MA | $453.8 | 15% above |
| 200 week MA | $411.5 | 27% above |
MSFT has stronger trend alignment. MSFT is above 4 of 5 weekly averages versus Q above 1 of 3.
Q Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $120.5 | 1.8% above |
| 20 week MA | $127.4 | 3.7% below |
| 50 week MA | $122.7 | 0% below |
Q has bounced recently, but its long-term trend is still down: it's above its 8-week average, but 0% below its 50-week average.
MSFT Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $159.0 | $222.8 | +40% |
| 2021 | $222.8 | $334.7 | +50% |
| 2022 | $334.7 | $238.7 | -29% |
| 2023 | $238.7 | $376.0 | +58% |
| 2024 | $376.0 | $430.5 | +14% |
| 2025 | $430.5 | $487.7 | +13% |
| 2026 YTD | $487.7 | $523.0 | +7.2% |
MSFT has finished higher in five of the last six years, two of them by more than 50%. It's up 7.2% so far in 2026.
Q Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2025 | $95.0 | $84.2 | -11% |
| 2026 YTD | $84.2 | $122.7 | +46% |
Q has the edge over MSFT on returns for 2026, with the stronger performance.