Compare Stocks › MSFT vs NFLX
Microsoft Corporation (MSFT) vs Netflix, Inc. (NFLX)
MSFT
Microsoft Corporation
$419.32
VS
NFLX
Netflix, Inc.
$92.11
Rewards
MSFT
- ★Microsoft Corporation has maintained ROIC above 15% for 4 consecutive years, indicating a durable competitive advantage.
- ★Gross margin of 68.3% 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.
NFLX
- ★Netflix, Inc. has maintained ROIC above 10% for 4 consecutive years, suggesting solid business economics.
- ★Netflix, Inc. scores 81/100 on the Economic Moat Score (Wide Moat), with reinvestment efficiency as the strongest competitive dimension.
- ★Free cash flow has grown at a 80.1% CAGR over the past 4 years, demonstrating strong earnings power growth.
Risks
MSFT
- ⚠FCF yield of 2.3% is below 3%, meaning the market is pricing in substantial future growth to justify the current price.
NFLX
- ⚠FCF yield of 6.7% suggests reasonable valuation assuming continued moderate growth.
- ⚠9 insider sales totaling $94.8M with no purchases in the past 3 months — insiders are reducing their exposure.
Key Valuation Metrics
Learn more →MSFT
NFLX
Valuation
$71.61B
Free Cash Flow
$25.99B
2.30%
FCF Yield
6.70%
24.99
Trailing P/E
29.71
21.72
Forward P/E
23.98
Quality & Moat
21.58%
ROIC
25.00%
24.58%
ROE
35.28%
68.31%
Gross Margin
49.03%
1.07
PEG Ratio
0.34
Balance Sheet Safety
0.30
Debt / Equity
0.54
N/A
Interest Coverage
N/A
0.26
Net Debt / EBITDA
0.31
0.88%
Dividend Yield
N/A
MSFT: 6Ties: 1NFLX: 4
MSFTNFLX
Historical Fundamentals
Learn more →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.
NFLX
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 →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
NFLX
$10.54
created per $1 retained over 3 years
Exceptional Value Creator
Σ Retained
$25.10B
Δ Market Cap
+$264.55B
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 →MSFT
4.3% Overvalued
Price is 4.3% above estimated fair value
Current Price: $419.32
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Fair Value: $402.01
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
NFLX
77.7% Overvalued
Price is 77.7% above estimated fair value
Current Price: $92.11
Strongly undervalued
Fairly valued
Strongly overvalued
Fair Value: $51.82
Strongly undervalued
Undervalued
Fairly valued
Overvalued
Strongly overvalued
Reverse DCF — Market-Implied Growth
Learn more →MSFT
What growth rate is the market pricing in at $419?
+13.7%
Market-Implied Owner Earnings Growth
Standard FCF implies +18.5%
The market implies +13.7% Owner Earnings growth, roughly in line with history — reasonably priced.
Standard FCF implies +18.5%, reflecting ongoing growth investment.
NFLX
What growth rate is the market pricing in at $92?
+15.6%
Market-Implied Owner Earnings Growth
Standard FCF implies +3.9%
The market implies +15.6% Owner Earnings growth, below historical trends — potential opportunity.
Standard FCF implies a more demanding +3.9%, reflecting heavy growth investment expected to generate future returns.
Economic Moat Score
Learn more →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.
NFLX
81/100
Wide Moat
70+ Wide · 40-69 Narrow · <40 None
Wide moat driven primarily by reinvestment efficiency. Margin Stability 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 →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.
NFLX
-1.96
Possible 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 →MSFT
Insiders 0.1%Institutions 75.9%Retail & Other 24.0%
No. of Institutional Holders8,016
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.
NFLX
Insiders 0.6%Institutions 84.3%Retail & Other 15.1%
No. of Institutional Holders4,646
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 →MSFT
1
Buys (3M)
1
Buys (12M)
Total value (12M): $1.99M
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
NFLX
0
Buys (3M)
0
Buys (12M)
No open market insider purchases found.
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 →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
NFLX
9
Sells (3M)
55
Sells (12M)
Total value (12M): $524.04M
NEUMANN SPENCER ADAM
Chief Financial Officer
$2.81M
@ $98.00 · 2026-04-02
HASTINGS REED
Director
$40.16M
@ $95.49 · 2026-04-01
NEUMANN SPENCER ADAM
Chief Financial Officer
$2.78M
@ $97.00 · 2026-03-02
HASTINGS REED
Director
$39.83M
@ $97.01 · 2026-03-02
NEUMANN SPENCER ADAM
Chief Financial Officer
$5.47M
@ $95.50 · 2026-02-27
PETERS GREGORY K.
Chief Executive Officer
$2.27M
@ $83.24 · 2026-02-10
WILLEMS CLETUS R
Officer
$259,253
@ $82.67 · 2026-02-10
HYMAN DAVID A
Officer
$464,231
@ $81.06 · 2026-02-09
NEUMANN SPENCER ADAM
Chief Financial Officer
$751,598
@ $81.27 · 2026-02-06
HASTINGS REED
Director
$32.70M
@ $83.63 · 2026-02-02
PETERS GREGORY K.
Chief Executive Officer
$8.77M
@ $82.94 · 2026-01-29
HYMAN DAVID A
Officer
$2.07M
@ $88.11 · 2026-01-16
SMITH BRADFORD LEE
Director
$2.82M
@ $88.86 · 2026-01-15
HASTINGS REED
Director
$39.08M
@ $91.67 · 2026-01-02
HASTINGS REED
Director
$40.71M
@ $108.43 · 2025-12-01
WILLEMS CLETUS R
Officer
$261,879
@ $1100.33 · 2025-11-06
PETERS GREGORY K.
Chief Executive Officer
$2.22M
@ $1095.68 · 2025-11-04
SARANDOS THEODORE ANTHONY JR.
Chief Executive Officer
$2.21M
@ $1092.08 · 2025-11-04
HYMAN DAVID A
Officer
$34.60M
@ $1099.84 · 2025-11-04
NEUMANN SPENCER ADAM
Chief Financial Officer
$2.59M
@ $1097.56 · 2025-11-03
NEUMANN SPENCER ADAM
Chief Financial Officer
$269,200
@ $1121.67 · 2025-11-03
HASTINGS REED
Director
$45.28M
@ $1121.51 · 2025-10-31
NEUMANN SPENCER ADAM
Chief Financial Officer
$3.05M
@ $1172.51 · 2025-10-01
HASTINGS REED
Director
$49.43M
@ $1171.92 · 2025-10-01
NEUMANN SPENCER ADAM
Chief Financial Officer
$3.14M
@ $1207.76 · 2025-09-02
HASTINGS REED
Director
$31.35M
@ $1207.71 · 2025-09-02
WILLEMS CLETUS R
Officer
$274,538
@ $1153.52 · 2025-08-06
NEUMANN SPENCER ADAM
Chief Financial Officer
$795,432
@ $1161.21 · 2025-08-06
PETERS GREGORY K.
Chief Executive Officer
$2.34M
@ $1157.44 · 2025-08-05
SARANDOS THEODORE ANTHONY JR.
Chief Executive Officer
$2.35M
@ $1160.62 · 2025-08-05
HYMAN DAVID A
Officer
$491,276
@ $1158.67 · 2025-08-05
NEUMANN SPENCER ADAM
Chief Financial Officer
$3.02M
@ $1162.40 · 2025-08-01
HASTINGS REED
Director
$26.46M
@ $1162.45 · 2025-08-01
MASIYIWA STRIVE
Director
$387,597
@ $1336.54 · 2025-07-01
NEUMANN SPENCER ADAM
Chief Financial Officer
$3.40M
@ $1307.22 · 2025-07-01
HASTINGS REED
Director
$21.82M
@ $1295.78 · 2025-07-01
HASTINGS REED
Director
$12.86M
@ $1329.11 · 2025-07-01
KARBOWSKI JEFFREY WILLIAM
Officer
$797,841
@ $1286.84 · 2025-06-25
KILGORE LESLIE JEAN
Director
$273,480
@ $1290.00 · 2025-06-25
KILGORE LESLIE JEAN
Director
$546,290
@ $1267.49 · 2025-06-24
KILGORE LESLIE JEAN
Director
$816,070
@ $1251.64 · 2025-06-05
MATHER ANN
Director
$1.36M
@ $1250.00 · 2025-06-05
KILGORE LESLIE JEAN
Director
$273,175
@ $1225.00 · 2025-06-03
NEUMANN SPENCER ADAM
Chief Financial Officer
$3.15M
@ $1211.67 · 2025-06-02
HASTINGS REED
Director
$32.63M
@ $1211.66 · 2025-06-02
KARBOWSKI JEFFREY WILLIAM
Officer
$764,653
@ $1194.77 · 2025-05-27
KILGORE LESLIE JEAN
Director
$545,210
@ $1172.49 · 2025-05-15
MASIYIWA STRIVE
Director
$1.13M
@ $1124.26 · 2025-05-12
SMITH BRADFORD LEE
Director
$4.41M
@ $1124.26 · 2025-05-12
MATHER ANN
Director
$1.56M
@ $1150.00 · 2025-05-09
WILLEMS CLETUS R
Officer
$339,124
@ $1138.00 · 2025-05-07
PETERS GREGORY K.
Chief Executive Officer
$2.31M
@ $1141.51 · 2025-05-06
NEUMANN SPENCER ADAM
Chief Financial Officer
$782,915
@ $1141.28 · 2025-05-06
SARANDOS THEODORE ANTHONY JR.
Chief Executive Officer
$2.31M
@ $1140.25 · 2025-05-06
HYMAN DAVID A
Officer
$485,817
@ $1143.10 · 2025-05-06
KILGORE LESLIE JEAN
Director
$271,400
@ $1150.00 · 2025-05-02
NEUMANN SPENCER ADAM
Chief Financial Officer
$2.95M
@ $1132.38 · 2025-05-01
HASTINGS REED
Director
$30.57M
@ $1133.05 · 2025-05-01
DOPFNER MATHIAS
Director
$6.69M
@ $1112.65 · 2025-04-30
KARBOWSKI JEFFREY WILLIAM
Officer
$702,106
@ $1097.04 · 2025-04-25
KILGORE LESLIE JEAN
Director
$848,491
@ $1047.52 · 2025-04-23
KARBOWSKI JEFFREY WILLIAM
Officer
$160,000
@ $1000.00 · 2025-04-21
NEUMANN SPENCER ADAM
Chief Financial Officer
$2.40M
@ $921.72 · 2025-04-01
HASTINGS REED
Officer and Director
$23.36M
@ $921.15 · 2025-04-01
KARBOWSKI JEFFREY WILLIAM
Officer
$469,526
@ $978.18 · 2025-03-25
NEUMANN SPENCER ADAM
Chief Financial Officer
$2.55M
@ $982.05 · 2025-03-03
HASTINGS REED
Officer and Director
$29.93M
@ $981.92 · 2025-03-03
KARBOWSKI JEFFREY WILLIAM
Officer
$635,027
@ $992.23 · 2025-02-26
PETERS GREGORY K.
Chief Executive Officer
$4.73M
@ $1035.00 · 2025-02-13
PETERS GREGORY K.
Chief Executive Officer
$5.09M
@ $1030.00 · 2025-02-10
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 →MSFT
😐Neutral(49/100)
"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.
NFLX
😨Fear(34/100)
"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.
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 →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 (49)
NFLX
⚪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 (34)