Gen Digital Inc. (GEN)vsMicrosoft Corporation (MSFT)
GEN
Gen Digital Inc.
$30.26
+0.98%
TECHNOLOGY · Cap: $17.84B
MSFT
Microsoft Corporation
$495.63
+0.65%
TECHNOLOGY · Cap: $3.68T
Smart Verdict
WallStSmart Research — data-driven comparison
Microsoft Corporation generates 6434% more annual revenue ($331.84B vs $5.08B). MSFT leads profitability with a 40.3% profit margin vs 20.7%. GEN appears more attractively valued with a PEG of 1.54. GEN earns a higher WallStSmart Score of 74/100 (B).
GEN
Strong Buy74
out of 100
Grade: B
MSFT
Strong Buy72
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-32.8%
Fair Value
$18.58
Current Price
$30.26
$11.68 premium
Intrinsic value data unavailable for MSFT.
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 40 in profit
Strong operational efficiency at 35.5%
Earnings expanding 64.0% YoY
Keeps 21 of every $100 in revenue as profit
Attractively priced relative to earnings
Mega-cap, among the largest globally
Every $100 of equity generates 30 in profit
Keeps 40 of every $100 in revenue as profit
Strong operational efficiency at 45.1%
Generating 19.6B in free cash flow
Conservative balance sheet, low leverage
Areas to Watch
Expensive relative to growth rate
Distress zone — elevated risk
Elevated debt levels
Expensive relative to growth rate
Moderate valuation
Trading at 8.3x book value
Comparative Analysis Report
WallStSmart ResearchBull Case : GEN
The strongest argument for GEN centers on Return on Equity, Operating Margin, EPS Growth. Profitability is solid with margins at 20.7% and operating margin at 35.5%.
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 : GEN
The primary concerns for GEN are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 3.08 is elevated, increasing financial risk.
Bear Case : MSFT
The primary concerns for MSFT are PEG Ratio, P/E Ratio, Price/Book.
Key Dynamics to Monitor
GEN profiles as a mature stock while MSFT is a growth play — different risk/reward profiles.
GEN carries more volatility with a beta of 1.22 — 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
GEN scores higher overall (74/100 vs 72/100), backed by strong 20.7% margins. 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.
Gen Digital Inc.
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Gen Digital Inc. provides cybersecurity solutions for consumers in the United States, Canada, Latin America, Europe, the Middle East, Africa, Asia Pacific, and Japan. The company is headquartered in Tempe, Arizona.
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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