WallStSmart

Microsoft Corporation (MSFT)vsTE Connectivity Ltd (TEL)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Microsoft Corporation generates 1617% more annual revenue ($331.84B vs $19.32B). MSFT leads profitability with a 40.3% profit margin vs 15.6%. TEL appears more attractively valued with a PEG of 0.89. TEL earns a higher WallStSmart Score of 74/100 (B).

MSFT

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 9.5Value: 5.0Quality: 6.5
Piotroski: 4/9Altman Z: 2.51

TEL

Strong Buy

74

out of 100

Grade: B

Growth: 6.0Profit: 8.0Value: 6.3Quality: 6.5
Piotroski: 3/9Altman Z: 2.65

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

MSFT6 strengths · Avg: 9.7/10
Market CapQuality
$3.66T10/10

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
$15.80B10/10

Generating 15.8B in free cash flow

Revenue GrowthGrowth
17.7%8/10

17.7% revenue growth

TEL5 strengths · Avg: 8.4/10
Market CapQuality
$63.21B9/10

Large-cap with strong market position

Return on EquityProfitability
22.8%9/10

Every $100 of equity generates 23 in profit

PEG RatioValuation
0.898/10

Growing faster than its price suggests

Operating MarginProfitability
20.8%8/10

Strong operational efficiency at 20.8%

Free Cash FlowQuality
$1.20B8/10

Generating 1.2B in free cash flow

Areas to Watch

MSFT3 concerns · Avg: 4.0/10
PEG RatioValuation
1.524/10

Expensive relative to growth rate

P/E RatioValuation
26.2x4/10

Moderate valuation

Price/BookValuation
8.4x4/10

Trading at 8.4x book value

TEL1 concerns · Avg: 3.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : TEL

The strongest argument for TEL centers on Market Cap, Return on Equity, PEG Ratio. Profitability is solid with margins at 15.6% and operating margin at 20.8%. Revenue growth of 13.8% demonstrates continued momentum.

Bear Case : MSFT

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

Bear Case : TEL

The primary concerns for TEL are Piotroski F-Score.

Key Dynamics to Monitor

MSFT profiles as a growth stock while TEL is a mature play — different risk/reward profiles.

TEL carries more volatility with a beta of 1.16 — expect wider price swings.

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

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

Bottom Line

TEL scores higher overall (74/100 vs 72/100), backed by strong 15.6% margins and 13.8% 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.

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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TE Connectivity Ltd

TECHNOLOGY · ELECTRONIC COMPONENTS · USA

TE Connectivity is an American Swiss-domiciled technology company that designs and manufactures connectors and sensors for several industries, such as automotive, industrial equipment, data communication systems, aerospace, defense, medical, oil and gas, consumer electronics and energy.

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