WallStSmart

Daktronics Inc (DAKT)vsMicrosoft Corporation (MSFT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Microsoft Corporation generates 38743% more annual revenue ($331.84B vs $854.30M). MSFT leads profitability with a 40.3% profit margin vs 5.7%. DAKT appears more attractively valued with a PEG of 0.58. MSFT earns a higher WallStSmart Score of 72/100 (B).

DAKT

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 6.0Value: 5.3Quality: 9.0
Piotroski: 6/9Altman Z: 3.55

MSFT

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 9.5Value: 5.0Quality: 7.0
Piotroski: 4/9Altman Z: 2.68
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

DAKTSignificantly Overvalued (-35.0%)

Margin of Safety

-35.0%

Fair Value

$19.37

Current Price

$17.89

$1.48 premium

UndervaluedFair: $19.37Overvalued

Intrinsic value data unavailable for MSFT.

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

DAKT5 strengths · Avg: 8.8/10
Debt/EquityHealth
0.1010/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
3.5510/10

Safe zone — low bankruptcy risk

PEG RatioValuation
0.588/10

Growing faster than its price suggests

Price/BookValuation
2.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
21.2%8/10

Earnings expanding 21.2% YoY

MSFT6 strengths · Avg: 9.8/10
Market CapQuality
$3.68T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
30.2%10/10

Every $100 of equity generates 30 in profit

Profit MarginProfitability
40.3%10/10

Keeps 40 of every $100 in revenue as profit

Operating MarginProfitability
45.1%10/10

Strong operational efficiency at 45.1%

Free Cash FlowQuality
$19.64B10/10

Generating 19.6B in free cash flow

Debt/EquityHealth
0.299/10

Conservative balance sheet, low leverage

Areas to Watch

DAKT2 concerns · Avg: 3.0/10
Market CapQuality
$860.38M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
5.7%3/10

5.7% margin — thin

MSFT3 concerns · Avg: 4.0/10
PEG RatioValuation
1.604/10

Expensive relative to growth rate

P/E RatioValuation
27.4x4/10

Moderate valuation

Price/BookValuation
8.3x4/10

Trading at 8.3x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : DAKT

The strongest argument for DAKT centers on Debt/Equity, Altman Z-Score, PEG Ratio. PEG of 0.58 suggests the stock is reasonably priced for its growth.

Bull Case : MSFT

The strongest argument for MSFT centers on Market Cap, Return on Equity, Profit Margin. Profitability is solid with margins at 40.3% and operating margin at 45.1%. Revenue growth of 17.7% demonstrates continued momentum.

Bear Case : DAKT

The primary concerns for DAKT are Market Cap, Profit Margin.

Bear Case : MSFT

The primary concerns for MSFT are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

DAKT profiles as a value stock while MSFT is a growth play — different risk/reward profiles.

DAKT carries more volatility with a beta of 1.68 — expect wider price swings.

MSFT is growing revenue faster at 17.7% — sustainability is the question.

MSFT generates stronger free cash flow (19.6B), providing more financial flexibility.

Bottom Line

MSFT scores higher overall (72/100 vs 66/100), backed by strong 40.3% margins and 17.7% revenue growth. Both earn "Strong Buy" and "Strong 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.

Daktronics Inc

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

Daktronics, Inc. designs, manufactures, markets and sells electronic display systems and related products worldwide. The company is headquartered in Brookings, South Dakota.

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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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