WallStSmart

Fortive Corp (FTV)vsMicrosoft Corporation (MSFT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Microsoft Corporation generates 7415% more annual revenue ($318.27B vs $4.24B). MSFT leads profitability with a 39.3% profit margin vs 12.8%. MSFT appears more attractively valued with a PEG of 1.28. MSFT earns a higher WallStSmart Score of 72/100 (B).

FTV

Buy

51

out of 100

Grade: C-

Growth: 3.3Profit: 6.0Value: 5.3Quality: 6.5
Piotroski: 6/9Altman Z: 2.00

MSFT

Strong Buy

72

out of 100

Grade: B

Growth: 8.0Profit: 9.5Value: 4.7Quality: 6.5
Piotroski: 4/9Altman Z: 2.51
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

FTVUndervalued (+8.7%)

Margin of Safety

+8.7%

Fair Value

$64.32

Current Price

$60.43

$3.89 discount

UndervaluedFair: $64.32Overvalued
MSFTSignificantly Overvalued (-75.3%)

Margin of Safety

-75.3%

Fair Value

$240.06

Current Price

$415.12

$175.06 premium

UndervaluedFair: $240.06Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FTV0 strengths · Avg: 0/10

No standout strengths identified

MSFT6 strengths · Avg: 9.7/10
Market CapQuality
$3.13T10/10

Mega-cap, among the largest globally

Return on EquityProfitability
34.0%10/10

Every $100 of equity generates 34 in profit

Profit MarginProfitability
39.3%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
46.3%10/10

Strong operational efficiency at 46.3%

Free Cash FlowQuality
$15.80B10/10

Generating 15.8B in free cash flow

Revenue GrowthGrowth
18.3%8/10

18.3% revenue growth

Areas to Watch

FTV3 concerns · Avg: 3.0/10
P/E RatioValuation
35.6x4/10

Premium valuation, high expectations priced in

Return on EquityProfitability
6.8%3/10

ROE of 6.8% — below average capital efficiency

EPS GrowthGrowth
-12.4%2/10

Earnings declined 12.4%

MSFT1 concerns · Avg: 4.0/10
P/E RatioValuation
25.0x4/10

Moderate valuation

Comparative Analysis Report

WallStSmart Research

Bull Case : FTV

PEG of 1.29 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 39.3% and operating margin at 46.3%. Revenue growth of 18.3% demonstrates continued momentum.

Bear Case : FTV

The primary concerns for FTV are P/E Ratio, Return on Equity, EPS Growth.

Bear Case : MSFT

The primary concerns for MSFT are P/E Ratio.

Key Dynamics to Monitor

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

MSFT carries more volatility with a beta of 1.09 — expect wider price swings.

MSFT is growing revenue faster at 18.3% — sustainability is the question.

MSFT generates stronger free cash flow (15.8B), providing more financial flexibility.

Bottom Line

MSFT scores higher overall (72/100 vs 51/100), backed by strong 39.3% margins and 18.3% 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.

Fortive Corp

TECHNOLOGY · SCIENTIFIC & TECHNICAL INSTRUMENTS · USA

Fortive is an American diversified industrial technology conglomerate company headquartered in Everett, Washington.

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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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