Clearfield Inc (CLFD)vsMicrosoft Corporation (MSFT)
CLFD
Clearfield Inc
$28.89
+3.51%
TECHNOLOGY · Cap: $417.76M
MSFT
Microsoft Corporation
$424.46
-3.93%
TECHNOLOGY · Cap: $3.16T
Smart Verdict
WallStSmart Research — data-driven comparison
Microsoft Corporation generates 197250% more annual revenue ($305.45B vs $154.78M). MSFT leads profitability with a 39.0% profit margin vs -4.4%. MSFT trades at a lower P/E of 26.6x. MSFT earns a higher WallStSmart Score of 74/100 (B).
CLFD
Avoid34
out of 100
Grade: F
MSFT
Strong Buy74
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+4.1%
Fair Value
$32.78
Current Price
$28.89
$3.89 discount
Margin of Safety
-85.3%
Fair Value
$229.04
Current Price
$424.46
$195.42 premium
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
15.6% 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
Generating 15.8B in free cash flow
Areas to Watch
Smaller company, higher risk/reward
ROE of 2.5% — below average capital efficiency
Premium valuation, high expectations priced in
Earnings declined 85.5%
Moderate valuation
Trading at 8.1x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : CLFD
The strongest argument for CLFD centers on Price/Book, Revenue Growth. Revenue growth of 15.6% 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 : CLFD
The primary concerns for CLFD are Market Cap, Return on Equity, P/E Ratio. A P/E of 67.0x leaves little room for execution misses.
Bear Case : MSFT
The primary concerns for MSFT are P/E Ratio, Price/Book.
Key Dynamics to Monitor
CLFD carries more volatility with a beta of 2.00 — expect wider price swings.
MSFT is growing revenue faster at 16.7% — sustainability is the question.
MSFT generates stronger free cash flow (15.8B), providing more financial flexibility.
Monitor COMMUNICATION EQUIPMENT industry trends, competitive dynamics, and regulatory changes.
Bottom Line
MSFT scores higher overall (74/100 vs 34/100), backed by strong 39.0% margins and 16.7% revenue growth. Both earn "Strong Buy" and "Avoid" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Clearfield Inc
TECHNOLOGY · COMMUNICATION EQUIPMENT · USA
Clearfield, Inc. manufactures, markets, and sells standard and custom passive connectivity products to OEM, enterprise and fiber-to-facility markets in the United States and internationally. The company is headquartered in Minneapolis, Minnesota.
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.
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