Amazon.com (AMZN) vs Microsoft (MSFT)
Head-to-head comparison of performance, valuation, growth, profitability and dividends. Prices delayed 15 minutes; data as of Oct 8, 2026.
Summary
Amazon.com (AMZN) has outperformed Microsoft (MSFT) over the past year, gaining 17.2% versus a gain of 1.1%. Over five years, MSFT leads with a +74.1% price change compared with +52.5% for AMZN. Microsoft is the larger company by market cap ($3.93 trillion vs $2.80 trillion), about 1.4 times the size.
On valuation, Microsoft trades at a lower forward P/E (22.4x vs 24.8x for Amazon.com). Microsoft pays a dividend yielding 0.69%, while Amazon.com does not currently pay one. Microsoft converts more of its revenue into profit, with a net margin of 40.3% versus 10.8%.
Summary generated from market data by MetaCap's automated system. Methodology
Relative performance
Percent change in share price from the first common trading day shown; excludes dividends.
Head-to-head
| Metric | AMZN | MSFT |
|---|---|---|
| Share price | $259.92 | $529.76 |
| Market cap | $2.80T | $3.93T |
| 1-day change | +1.42% | +0.09% |
| YTD return | +12.61% | +9.54% |
| 1-year return | +17.20% | +1.10% |
| 5-year return | +52.49% | +74.14% |
| P/E ratio (TTM) | 20.61 | 29.51 |
| Forward P/E | 24.83 | 22.37 |
| EPS (TTM) | $12.61 | $17.95 |
| Dividend yield | 0.00% | 0.69% |
| Annual dividend | $0.00 | $3.64 |
| Revenue (latest FY) | $716.92B | $331.84B |
| Revenue growth (YoY) | +12.38% | +17.79% |
| Net income (latest FY) | $77.67B | $133.75B |
| Gross margin | 50.29% | 67.94% |
| Operating margin | 11.16% | 46.78% |
| Net margin | 10.83% | 40.31% |
| 52-week high | $287.20 | $553.72 |
| 52-week low | $196.00 | $349.20 |
| Distance from 52-week high | -9.50% | -4.33% |
| Analyst consensus | strong_buy | strong_buy |
| Avg. price target upside | +27.55% | +10.92% |
| Average volume | 39.23M | 28.00M |
| Shares outstanding | 10.79B | 7.43B |
| Employees | 1,595,000 | 223,000 |
| Sector | Consumer Discretionary | Technology |
| Industry | Catalog/Specialty Distribution | Software - Infrastructure |
Highlighted cells mark the higher value for growth, returns, margins and yield, and the lower value for P/E ratios. Highlighting is a mechanical comparison, not a recommendation.
Key differences
- AMZN has outperformed MSFT by 16.1 percentage points over the past year.
- Microsoft trades at a higher earnings multiple (29.5x vs 20.6x trailing P/E).
- Microsoft is more profitable, keeping 40.3 cents of every revenue dollar as net income versus 10.8 cents for Amazon.com.
- Microsoft grew revenue faster in its latest fiscal year (+17.79% vs +12.38%).
- The two companies sit in different sectors: Amazon.com in Consumer Discretionary and Microsoft in Technology.
About Amazon.com
AMZN stock →Amazon.com, Inc. engages in the retail sale of consumer products, advertising, and subscriptions service through online and physical stores in North America and internationally.
Consumer Discretionary · Catalog/Specialty Distribution · 1,595,000 employees
About Microsoft
MSFT stock →Microsoft Corporation, a technology company, develops and supports a portfolio of technology solutions for individuals and businesses worldwide. Its products include operating systems, server applications, business solution applications, software development tools, desktop and server management tools, and video games; and devices, such as PCs, tablets, gaming and entertainment consoles, other intelligent devices, and related accessories.
Technology · Software - Infrastructure · 223,000 employees
AMZN vs MSFT FAQ
Which is bigger, Amazon.com or Microsoft?
Microsoft (MSFT) is larger, with a market capitalization of $3.93T compared with $2.80T for Amazon.com (AMZN).
Which stock has performed better over the past year, AMZN or MSFT?
AMZN returned +17.20% over the past 12 months, compared with +1.10% for MSFT (price return, excluding dividends). Past performance does not predict future results.
Which has the lower P/E ratio, AMZN or MSFT?
AMZN has the lower trailing P/E at 20.6, versus 29.5 for MSFT. A lower P/E is not by itself a sign of a better investment; it can reflect slower expected growth or higher risk.
Which pays a higher dividend, Amazon.com or Microsoft?
Microsoft pays a dividend yielding 0.69%, while Amazon.com does not currently pay a regular dividend.
Are Amazon.com and Microsoft in the same industry?
No. Amazon.com is in the Consumer Discretionary sector, while Microsoft is in Technology.