AAPL vs MSFT: Which Is the Better Buy?

Side-by-side comparison of Apple Inc. and Microsoft Corporation โ€” fair value, conviction, valuation metrics, and QuantHub research signals. Updated 2026-07-06.
Apple Inc. ยท Technology
$308.63
+5.6% upside to fair value
Grade B High Quality
VS
Microsoft Corporation ยท Technology
$379.40
+45.0% upside to fair value
Grade A High Quality
QuantHub Verdict
MSFT has more upside to fair value (+45.0%). MSFT trades at a lower forward P/E (22.5x). These are model outputs โ€” not personalized investment advice. See all research โ†’
Valuation & Fundamentals
Metric AAPL MSFT
Current Price $308.63 $379.40
Fair Value Estimate $325.93 $550.13
Upside to Fair Value +5.6% +45.0%
Market Cap $4,533.0B $2,818.3B
Forward P/E 37.2x 22.5x
EV / EBITDA 28.6x 14.2x
Price / Sales 10.0x 8.9x
Price / FCF 35.1x 38.6x
Revenue Growth YoY +16.6% +18.3%
Gross Margin 47.9% 68.3%
Operating Margin 32.6% 46.8%
Return on Equity 146.7% 33.1%
Dividend Yield 0% 0%
FCF Yield 2.85% 2.59%
Analyst Consensus Buy Strong Buy
Investment Thesis
AAPL โ€” Apple Inc.
Apple Inc. is a leading technology company specializing in consumer electronics, software, and services, with a durable competitive moat driven by its integrated ecosystem of devices, operating systems, and services. The company benefits from strong brand loyalty, high margins with a gross margin of 47.9%, and consistent earnings growth, including a 19.4% increase in earnings in the most recent qโ€ฆ
MSFT โ€” Microsoft Corporation
Microsoft Corporation is a leading global technology company specializing in cloud computing, productivity software, and enterprise platforms. The company benefits from a very strong and widening competitive moat supported by scale, switching costs, an integrated ecosystem, and disciplined capital allocation including large buybacks and dividends. Its business quality is high, demonstrated by a 3โ€ฆ
Accumulation Zones
Metric AAPL MSFT
Zone Low $244.45 $412.60
Zone High $277.04 $467.61
In Buy Zone? No Yes
โ† AAPL Research    MSFT Research โ†’    All Research