Key Facts on Microsoft and Apple
As of now, Apple holds a market capitalization of $4 trillion, making it larger than Microsoft, which has a market cap of $3.1 trillion. In the latest fiscal year ending September 27, 2025, Apple reported $416 billion in sales with a profit of $112 billion, representing a 27% profit margin. In contrast, Microsoft generated $282 billion in sales and $102 billion in net income for the fiscal year ending June 30, 2025, yielding a 36% profit margin.
Over the past decade, Apple has returned 920% to investors, while Microsoft has provided 650%. Currently, Microsoft is seen as a more attractive buy with a price-to-earnings ratio of 26, compared to Apple’s 35. Despite a 14% decline in Microsoft’s stock this year due to investor sentiment on software, its diverse offerings—including Microsoft 365, Azure, and cloud services—continue to show double-digit growth potential.
