MSFT
Microsoft Corporation
MSFT has the edge over ZS overall, supported by lower modeled downside and stronger valuation.
ZS
Zscaler, Inc.
ZS'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.
ZS Fundamentals
| Metric | Status |
|---|---|
| Healthy | |
| Under pressure | |
| Strong | |
| Unavailable |
ZS's revenue and cash flow are currently healthy, but its profitability is under pressure. There isn't enough data to rate its balance sheet.
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.
ZS PE Valuation
ZS 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.
ZS Forward outlook
| Metric | Outlook |
|---|---|
| -- | |
| Strong growth | |
| Growth | |
| Improving | |
| Broad | |
| High |
ZS 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 has the edge over ZS on earnings quality, reporting a profit while its opponent remains loss making.
ZS Earnings Per Share
| Quarter | TTM EPS | YoY |
|---|---|---|
| Forward | $5.04 | — |
| Q3 2026 | -$0.39 | -$0.12 |
| Q2 2026 | -$0.48 | -$0.23 |
| Q1 2026 | -$0.42 | -$0.32 |
| Q4 2025 | -$0.26 | -$0.02 |
| Q3 2025 | -$0.27 | +$0.12 |
| Q2 2025 | -$0.25 | +$0.25 |
| Q1 2025 | -$0.10 | +$0.84 |
| Q4 2024 | -$0.24 | +$0.91 |
ZS is still losing money, but far less than before: $0.39 per share over the past year, against $2.77 at its worst in mid-2022.
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 ZS on profitability, with a higher operating margin.
ZS Quarterly Revenue
| Quarter | Revenue | YoY |
|---|---|---|
| Q3 2026 | $898.2M | +25% |
| Q2 2026 | $850.5M | +25% |
| Q1 2026 | $815.8M | +26% |
| Q4 2025 | $788.1M | +26% |
| Q3 2025 | $719.2M | +21% |
| Q2 2025 | $678M | +23% |
| Q1 2025 | $647.9M | +23% |
| Q4 2024 | $628M | +26% |
ZS has the edge over MSFT on sales, with stronger typical year-over-year growth.
| Quarter | Margin | YoY |
|---|---|---|
| Q3 2026 | -1.7% | +2.8 points |
| Q2 2026 | -3.5% | +0.3 points |
| Q1 2026 | -6.3% | -0.1 points |
| Q4 2025 | -4.6% | +0.3 points |
| Q3 2025 | -4.5% | +0.1 points |
| Q2 2025 | -3.8% | -3.2 points |
| Q1 2025 | -6.2% | +2.5 points |
| Q4 2024 | -4.9% | +4.4 points |
ZS's operating margin was −1.7% last quarter, up 2.8 points from the same quarter a year ago, near the top of its range since 2019.
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.
ZS Free Cash Flow
| Quarter | Free cash flow | YoY |
|---|---|---|
| Q3 2026 | $79.4M | -58% |
| Q2 2026 | $155.6M | +12% |
| Q1 2026 | $186.3M | +13% |
| Q4 2025 | $431M | +37% |
| Q3 2025 | $190.6M | +24% |
| Q2 2025 | $138.9M | +0.8% |
| Q1 2025 | $164.4M | +48% |
| Q4 2024 | $314.3M | +35% |
ZS has the edge over MSFT on cash flow, with more consistent year-over-year improvement.
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 ZS 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.
ZS Total Shares
| Period | Change % | Net change |
|---|---|---|
| Quarterly | -0.3% | -522K shares |
| 1 year | +3.8% | +5.8M shares |
| 3 years | +11% | +15.3M shares |
| 5 years | +18% | +24.6M shares |
| Available history | +26% | +32.7M shares |
ZS has 160M diluted shares, up 3.8% from a year ago.
| Quarter | Spent |
|---|---|
| Q3 2020 | — |
| Q2 2020 | — |
| Q1 2020 | — |
| Q4 2019 | — |
MSFT Net Leverage
| Quarter | Net Leverage | Status |
|---|---|---|
| Q3 2026 | 0.1x | Very low |
| Q2 2026 | 0.1x | Very low |
MSFT's net debt is less than a year of its operating earnings (EBITDA).
ZS Net Leverage
ZS's operating earnings (EBITDA) were negative over the past year, so its debt can't be measured against them.
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).
ZS Weekly Momentum
| Metric | Value | Status |
|---|---|---|
| RSI | 51.1 | Neutral |
| Stochastic | 49.0 | Neutral |
ZS's weekly RSI is 51 (neutral) and its Stochastic is 49 (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.
ZS PE vs Technology Sector
ZS 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 the edge over ZS on trend strength, trading above more of its moving averages.
ZS Weekly Moving Averages
| Moving average | MA price | Relative |
|---|---|---|
| 8 week MA | $214.3 | 9.8% below |
| 20 week MA | $184.7 | 4.6% above |
| 50 week MA | $175.4 | 10% above |
| 100 week MA | $214.1 | 9.7% below |
| 200 week MA | $192.3 | 0.5% above |
ZS's trend is mixed: it's above three of its five weekly moving averages, and 0.5% above its 200-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 the edge over ZS on returns for 2026, with the stronger performance.
ZS Yearly ROI
| Year | Start price | End price | ROI |
|---|---|---|---|
| 2020 | $47.6 | $205.3 | +331% |
| 2021 | $205.3 | $323.0 | +57% |
| 2022 | $323.0 | $108.8 | -66% |
| 2023 | $108.8 | $221.6 | +104% |
| 2024 | $221.6 | $184.6 | -17% |
| 2025 | $184.6 | $230.5 | +25% |
| 2026 YTD | $230.5 | $193.2 | -16% |
ZS's yearly returns have swung widely, from +331% in 2020 to −66% in 2022. It's down 16% so far in 2026.