Microsoft Corporation (MSFT)vsPower Integrations Inc (POWI)
MSFT
Microsoft Corporation
$499.99
+0.03%
TECHNOLOGY · Cap: $3.66T
POWI
Power Integrations Inc
$64.59
+9.51%
TECHNOLOGY · Cap: $3.96B
Smart Verdict
WallStSmart Research — data-driven comparison
Microsoft Corporation generates 74256% more annual revenue ($331.84B vs $446.28M). MSFT leads profitability with a 40.3% profit margin vs 3.7%. POWI appears more attractively valued with a PEG of 1.51. MSFT earns a higher WallStSmart Score of 72/100 (B).
MSFT
Strong Buy72
out of 100
Grade: B
POWI
Avoid31
out of 100
Grade: F
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
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 15.8B in free cash flow
17.7% revenue growth
Safe zone — low bankruptcy risk
Areas to Watch
Expensive relative to growth rate
Moderate valuation
Trading at 8.4x book value
Expensive relative to growth rate
2.6% revenue growth
ROE of 2.5% — below average capital efficiency
3.7% margin — thin
Comparative Analysis Report
WallStSmart ResearchBull 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 : POWI
The strongest argument for POWI centers on Altman Z-Score.
Bear Case : MSFT
The primary concerns for MSFT are PEG Ratio, P/E Ratio, Price/Book.
Bear Case : POWI
The primary concerns for POWI are PEG Ratio, Revenue Growth, Return on Equity. A P/E of 229.5x leaves little room for execution misses. Thin 3.7% margins leave little buffer for downturns.
Key Dynamics to Monitor
MSFT profiles as a growth stock while POWI is a value play — different risk/reward profiles.
POWI carries more volatility with a beta of 1.56 — 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
MSFT scores higher overall (72/100 vs 31/100), backed by strong 40.3% margins and 17.7% revenue growth. Both earn "Strong Buy" and "Avoid" 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.
Visit Website →Power Integrations Inc
TECHNOLOGY · SEMICONDUCTORS · USA
Power Integrations, Inc. designs, develops, manufactures and markets mixed signal and analog integrated circuits (ICs) and other electronic components and circuits used in high voltage power conversion worldwide. The company is headquartered in San Jose, California.
Visit Website →Compare with Other SOFTWARE - INFRASTRUCTURE Stocks
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