Compare Stocks › CVNA vs MSFT
Carvana Co. (CVNA) vs Microsoft Corporation (MSFT)
CVNA
Carvana Co.
$294.18
VS
MSFT
Microsoft Corporation
$389.02
Rewards
CVNA
- ★Each dollar of retained earnings has created $28.80 of market value — management is an exceptional capital allocator.
- ★Trailing P/E of 34.9x is 39% below the historical average of 57.5x — potentially undervalued relative to its own history.
- ★PEG ratio of 0.04 suggests the stock is undervalued relative to its growth rate — paying less than 1x for each unit of earnings growth.
MSFT
- ★Microsoft Corporation has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Gross margin of 68.6% indicates strong pricing power — typical of businesses with significant intellectual property or brand strength.
- ★Microsoft Corporation scores 88/100 on the Economic Moat Score (Wide Moat), with revenue predictability as the strongest competitive dimension.
Risks
CVNA
- ⚠Gross margin of 20.6% is low, suggesting a competitive or commodity-like market with limited pricing power.
- ⚠Share count has increased by 34% over the past 4 years, diluting existing shareholders.
- ⚠FCF yield of 1.4% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
MSFT
- ⚠FCF yield of 2.5% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
Key Valuation Metrics
Learn more →CVNA
MSFT
Valuation
$889.00M
Free Cash Flow
$71.61B
1.38%
FCF Yield
2.48%
34.86
Trailing P/E
24.33
27.59
Forward P/E
20.64
Quality & Moat
12.40%
ROIC
22.10%
45.09%
ROE
26.05%
20.63%
Gross Margin
68.59%
0.04
PEG Ratio
0.41
Balance Sheet Safety
1.33
Debt / Equity
0.32
N/A
Interest Coverage
N/A
1.29
Net Debt / EBITDA
0.19
N/A
Dividend Yield
0.94%
CVNA: 2Ties: 1MSFT: 8
CVNAMSFT
Historical Fundamentals
Learn more →CVNA
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
MSFT
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
Price ÷ Earnings Per Share — how many years of current earnings you're paying for at today's price. Lower P/E may indicate undervaluation.
$1 Retained Earnings Test
Learn more →CVNA
$28.80
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$2.07B
Δ Market Cap
+$59.52B
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
MSFT
$9.18
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$196.68B
Δ Market Cap
+$1.81T
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Buffett's "$1 Test": For every $1 of earnings retained, has management created at least $1 of market value?
> $1 created per $1 retained = Value Creator · < $1 created = Value Destroyer
Discounted Cash Flow (DCF) Analysis
Learn more →CVNA
35.2% Margin of Safety
Price is 35.2% below estimated fair value
Current Price: $294.18
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $454.10
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
MSFT
0.5% Overvalued
Price is 0.5% above estimated fair value
Current Price: $389.02
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $387.10
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Reverse DCF — Market-Implied Growth
Learn more →CVNA
What growth rate is the market pricing in at $294?
+19.6%
Market-Implied Owner Earnings Growth
Standard FCF implies +25.9%
The market implies +19.6% Owner Earnings growth, below historical trends — potential opportunity.
Standard FCF implies a more demanding +25.9%, reflecting heavy growth investment expected to generate future returns.
MSFT
What growth rate is the market pricing in at $389?
+12.6%
Market-Implied Owner Earnings Growth
Standard FCF implies +17.4%
The market implies +12.6% Owner Earnings growth, roughly in line with history — reasonably priced.
Standard FCF implies +17.4%, reflecting ongoing growth investment.
Economic Moat Score
Learn more →CVNA
38/100
No Moat
70+ Wide · 40-69 Narrow · <40 None
No durable moat detected, though reinvestment efficiency shows some competitive positioning. The business lacks consistent evidence of sustainable advantages.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
MSFT
88/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by revenue predictability. Reinvestment Efficiency is the area most vulnerable to competitive pressure.
Composite score measuring competitive advantage durability across four dimensions: returns above cost of capital, pricing power stability, revenue predictability, and capital efficiency. Based on 4 years of fundamental data.
Forensic Accounting
Learn more →CVNA
-0.36
Likely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
MSFT
-2.51
Unlikely Manipulator
Above -1.78 = likely manipulator · -2.22 to -1.78 = grey zone
M-Score Trend
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Beneish's 8-variable model estimates the probability of earnings manipulation. An M-Score above -1.78 signals elevated risk — companies in this range have historically been 3-5× more likely to be manipulating earnings. Scores between -2.22 and -1.78 fall in a grey zone warranting further investigation.
Ownership Breakdown
Learn more →CVNA
Insiders 2.1%Institutions 104.8%
No. of Institutional Holders1,165
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
MSFT
Insiders 0.1%Institutions 76.0%Retail & Other 23.9%
No. of Institutional Holders8,054
High insider ownership aligns management incentives with shareholders — a key signal in Buffett-style analysis. Institutional concentration can indicate smart-money conviction but also crowding risk.
High insider ownership aligns management incentives with shareholders. Institutional concentration can indicate smart-money conviction but also crowding risk.
Insider Buying Activity
Learn more →CVNA
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
Open market purchases · includes direct & indirect ownership · excludes option exercises
MSFT
1
Buys (3M)
2
Buys (12M)
Total value (12M): $3.44M
STANTON JOHN W.
Director
$1.99M
@ $397.35 · 2026-02-18
SMITH BRADFORD LEE
President
$1.45M
@ $377.47 · 2025-04-23
Open market purchases · includes direct & indirect ownership · excludes option exercises
Open market purchases · includes direct & indirect ownership · excludes option exercises.
Insider Selling Activity
Learn more →CVNA
13
Sells (3M)
54
Sells (12M)
Total value (12M): $469.77M
QUAYLE DAN
Director
$898,913
@ $309.97 · 2026-03-09
TAIRA THOMAS
Officer
$309,725
@ $325.00 · 2026-03-09
PALMER STEPHEN R
Officer
$324,840
@ $324.84 · 2026-03-02
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$3.23M
@ $322.67 · 2026-03-02
JENKINS MARK W
Chief Financial Officer
$4.12M
@ $323.15 · 2026-03-02
TAIRA THOMAS
Officer
$417,271
@ $398.54 · 2026-02-09
PALMER STEPHEN R
Officer
$393,040
@ $393.04 · 2026-02-02
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$4.11M
@ $411.27 · 2026-02-02
JENKINS MARK W
Chief Financial Officer
$5.23M
@ $410.19 · 2026-02-02
TAIRA THOMAS
Officer
$524,778
@ $447.00 · 2026-01-08
PALMER STEPHEN R
Officer
$419,480
@ $419.48 · 2026-01-02
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$4.02M
@ $401.94 · 2026-01-02
JENKINS MARK W
Chief Financial Officer
$5.14M
@ $403.02 · 2026-01-02
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$9.50M
@ $475.00 · 2025-12-12
GILL DANIEL J
Officer
$19.01M
@ $475.24 · 2025-12-12
BREAUX PAUL W
General Counsel
$4.75M
@ $475.00 · 2025-12-12
TAIRA THOMAS
Officer
$4.75M
@ $475.00 · 2025-12-12
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$17.58M
@ $439.50 · 2025-12-08
GILL DANIEL J
Officer
$35.16M
@ $439.50 · 2025-12-08
BREAUX PAUL W
General Counsel
$8.77M
@ $438.50 · 2025-12-08
TAIRA THOMAS
Officer
$13.49M
@ $435.96 · 2025-12-08
KEETON RYAN SCOTT
Officer
$4.00M
@ $400.00 · 2025-12-03
TAIRA THOMAS
Officer
$10.00M
@ $400.00 · 2025-12-03
MAROONE MICHAEL E
Director
$12.38M
@ $400.34 · 2025-12-03
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$3.77M
@ $377.11 · 2025-12-01
PALMER STEPHEN R
Officer
$372,310
@ $372.31 · 2025-12-01
JENKINS MARK W
Chief Financial Officer
$4.79M
@ $376.07 · 2025-12-01
KEETON RYAN SCOTT
Officer
$3.75M
@ $375.04 · 2025-11-28
TAIRA THOMAS
Officer
$3.75M
@ $375.01 · 2025-11-28
KEETON RYAN SCOTT
Officer
$3.50M
@ $350.00 · 2025-11-25
SULLIVAN GREGORY B
Director
$850,000
@ $340.00 · 2025-11-12
KEETON RYAN SCOTT
Officer
$3.25M
@ $325.03 · 2025-11-10
TAIRA THOMAS
Officer
$309,400
@ $325.00 · 2025-11-10
SULLIVAN GREGORY B
Director
$805,500
@ $322.20 · 2025-11-04
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$3.25M
@ $324.57 · 2025-11-03
PALMER STEPHEN R
Officer
$305,000
@ $305.00 · 2025-11-03
JENKINS MARK W
Chief Financial Officer
$4.12M
@ $323.35 · 2025-11-03
KEETON RYAN SCOTT
Officer
$9.77M
@ $301.68 · 2025-10-31
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$3.89M
@ $389.27 · 2025-10-01
PALMER STEPHEN R
Officer
$390,140
@ $390.14 · 2025-10-01
BREAUX PAUL W
General Counsel
$5.97M
@ $398.00 · 2025-10-01
JENKINS MARK W
Chief Financial Officer
$4.96M
@ $389.27 · 2025-10-01
BREAUX PAUL W
General Counsel
$5.63M
@ $375.00 · 2025-09-09
HUSTON BENJAMIN EDWARD
Chief Operating Officer
$3.65M
@ $364.66 · 2025-09-02
PALMER STEPHEN R
Officer
$361,040
@ $361.04 · 2025-09-02
JENKINS MARK W
Chief Financial Officer
$4.65M
@ $364.42 · 2025-09-02
GARCIA ERNEST C II
Beneficial Owner of more than 10% of a Class of Security
$33.19M
@ $349.09 · 2025-08-13
GARCIA ERNEST C II
Beneficial Owner of more than 10% of a Class of Security
$28.70M
@ $346.26 · 2025-08-12
GARCIA ERNEST C II
Beneficial Owner of more than 10% of a Class of Security
$42.47M
@ $346.68 · 2025-08-11
GARCIA ERNEST C II
Beneficial Owner of more than 10% of a Class of Security
$35.96M
@ $359.63 · 2025-08-07
GARCIA ERNEST C II
Beneficial Owner of more than 10% of a Class of Security
$35.11M
@ $351.10 · 2025-08-06
BREAUX PAUL W
General Counsel
$5.43M
@ $361.96 · 2025-08-05
GARCIA ERNEST C II
Beneficial Owner of more than 10% of a Class of Security
$36.02M
@ $360.20 · 2025-08-05
BREAUX PAUL W
General Counsel
$12.26M
@ $371.54 · 2025-08-04
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
MSFT
1
Sells (3M)
13
Sells (12M)
Total value (12M): $172.43M
HOGAN KATHLEEN T
Officer
$5.05M
@ $409.55 · 2026-03-06
NUMOTO TAKESHI
Officer
$1.36M
@ $478.72 · 2025-12-04
ALTHOFF JUDSON
Officer
$6.27M
@ $491.52 · 2025-12-02
SMITH BRADFORD LEE
President
$19.97M
@ $518.64 · 2025-11-03
NADELLA SATYA
Chief Executive Officer
$75.32M
@ $504.78 · 2025-09-03
NUMOTO TAKESHI
Officer
$2.56M
@ $527.32 · 2025-08-12
NUMOTO TAKESHI
Officer
$1.39M
@ $463.00 · 2025-06-03
NUMOTO TAKESHI
Officer
$460,008
@ $460.01 · 2025-05-30
HOGAN KATHLEEN T
Officer
$9.76M
@ $453.77 · 2025-05-21
ALTHOFF JUDSON
Officer
$7.33M
@ $458.18 · 2025-05-19
COLEMAN AMY
Officer
$5.99M
@ $452.04 · 2025-05-15
SMITH BRADFORD LEE
President
$1.68M
@ $438.44 · 2025-05-05
SMITH BRADFORD LEE
President
$35.30M
@ $435.84 · 2025-05-05
NUMOTO TAKESHI
Officer
$1.12M
@ $447.41 · 2024-12-09
NUMOTO TAKESHI
Officer
$874,634
@ $437.32 · 2024-12-04
NUMOTO TAKESHI
Officer
$1.50M
@ $428.76 · 2024-12-02
ALTHOFF JUDSON
Officer
$10.43M
@ $417.00 · 2024-11-22
NUMOTO TAKESHI
Officer
$414,720
@ $414.72 · 2024-11-22
YOUNG CHRISTOPHER DAVID
Officer
$3.05M
@ $423.66 · 2024-11-12
HOGAN KATHLEEN T
Officer
$7.16M
@ $411.86 · 2024-09-10
NUMOTO TAKESHI
Officer
$1.03M
@ $411.04 · 2024-09-10
SMITH BRADFORD LEE
President
$16.10M
@ $402.59 · 2024-09-09
HOOD AMY E
Chief Financial Officer
$15.60M
@ $410.55 · 2024-09-05
NADELLA SATYA
Chief Executive Officer
$32.02M
@ $408.63 · 2024-09-04
NUMOTO TAKESHI
Officer
$235,535
@ $416.14 · 2024-06-03
ALTHOFF JUDSON
Officer
$10.64M
@ $425.68 · 2024-05-23
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives
Direct ownership only · excludes indirect, option exercises, planned (10b5-1) sales & derivatives.
🎭 Mr. Market's Mood
Learn more →CVNA
😨Fear(31/100)
"Market is pessimistic — investigate whether fears are temporary or structural"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
MSFT
😐Neutral(43/100)
"Market is pricing this stock without strong emotion in either direction"
Composite sentiment score based on 6 market signals. Inspired by Buffett's "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
Composite sentiment score based on market signals. Inspired by Buffett’s "Mr. Market" allegory — fear = potential opportunity, greed = potential risk. Must be used alongside fundamental analysis, not in isolation.
⚖️ Buffett Signal
Learn more →CVNA
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Fear (31)
MSFT
⚪Awaiting DCF Data
The Buffett Signal cross-references market sentiment with DCF valuation. Configure the DCF Analysis above to generate a signal.
DCF Margin of Safety: N/AMr. Market's Mood: Neutral (43)