Apple Inc (AAPL)vsMicrosoft Corporation (MSFT)
AAPL
Apple Inc
$249.94
-0.39%
TECHNOLOGY · Cap: $3.66T
MSFT
Microsoft Corporation
$391.79
-0.71%
TECHNOLOGY · Cap: $2.97T
Smart Verdict
WallStSmart Research — data-driven comparison
Apple Inc generates 43% more annual revenue ($435.62B vs $305.45B). MSFT leads profitability with a 39.0% profit margin vs 27.0%. MSFT appears more attractively valued with a PEG of 1.31. MSFT earns a higher WallStSmart Score of 74/100 (B).
AAPL
Buy65
out of 100
Grade: C+
MSFT
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+12.4%
Fair Value
$285.39
Current Price
$249.94
$35.45 discount
Margin of Safety
+47.6%
Fair Value
$747.86
Current Price
$391.79
$356.07 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Mega-cap, among the largest globally
Strong operational efficiency at 35.4%
Generating 51.6B in free cash flow
Keeps 27 of every $100 in revenue as profit
15.7% revenue growth
Mega-cap, among the largest globally
Every $100 of equity generates 34 in profit
Keeps 39 of every $100 in revenue as profit
Strong operational efficiency at 47.1%
Earnings expanding 59.8% YoY
16.7% revenue growth
Areas to Watch
Expensive relative to growth rate
Premium valuation, high expectations priced in
ROE of 1.5% — below average capital efficiency
Elevated debt levels
No major concerns identified
Comparative Analysis Report
WallStSmart ResearchBull Case : AAPL
The strongest argument for AAPL centers on Market Cap, Operating Margin, Free Cash Flow. Profitability is solid with margins at 27.0% and operating margin at 35.4%. Revenue growth of 15.7% demonstrates continued momentum.
Bull Case : MSFT
The strongest argument for MSFT centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 39.0% and operating margin at 47.1%. Revenue growth of 16.7% demonstrates continued momentum.
Bear Case : AAPL
The primary concerns for AAPL are PEG Ratio, P/E Ratio, Return on Equity.
Bear Case : MSFT
No major red flags identified for MSFT, but monitor valuation.
Key Dynamics to Monitor
AAPL carries more volatility with a beta of 1.12 — expect wider price swings.
MSFT is growing revenue faster at 16.7% — sustainability is the question.
AAPL generates stronger free cash flow (51.6B), providing more financial flexibility.
Monitor CONSUMER ELECTRONICS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MSFT scores higher overall (74/100 vs 65/100), backed by strong 39.0% margins and 16.7% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Apple Inc
TECHNOLOGY · CONSUMER ELECTRONICS · USA
Apple Inc. is an American multinational technology company that specializes in consumer electronics, computer software, and online services. Apple is the world's largest technology company by revenue (totalling $274.5 billion in 2020) and, since January 2021, the world's most valuable company. As of 2021, Apple is the world's fourth-largest PC vendor by unit sales, and fourth-largest smartphone manufacturer. It is one of the Big Five American information technology companies, along with Amazon, Google, Microsoft, and Facebook.
Visit Website →Microsoft Corporation
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Microsoft Corporation is an American multinational technology company which produces computer software, consumer electronics, personal computers, and related services. Its best known software products are the Microsoft Windows line of operating systems, the Microsoft Office suite, and the Internet Explorer and Edge web browsers. Its flagship hardware products are the Xbox video game consoles and the Microsoft Surface lineup of touchscreen personal computers. Microsoft ranked No. 21 in the 2020 Fortune 500 rankings of the largest United States corporations by total revenue; it was the world's largest software maker by revenue as of 2016. It is considered one of the Big Five companies in the U.S. information technology industry, along with Google, Apple, Amazon, and Facebook.
Visit Website →Compare with Other CONSUMER ELECTRONICS Stocks
Want to dig deeper into these stocks?