Side by sideAlphabet (GOOGL) and Microsoft (MSFT)Memos of October 11, 2026 and October 10, 2026
Alphabet vs Microsoft stock: the numbers side by side (October 2026)
How do Alphabet and Microsoft compare?
| Alphabet GOOGL | Microsoft MSFT | |
|---|---|---|
| Revenue growth | 15.1%2025 | 17.8%Year to Jun 2026 |
| Operating margin | 32.0%2025 | 46.8%Year to Jun 2026 |
| Free cash flow | 73,266US$ millions · 2025 | 66,987US$ millions · Year to Jun 2026 |
| Free cash flow yield | 1.7%Today (Oct 11, 2026) | 1.7%Today (Oct 8, 2026) |
| Dividend yield | 0.3%Today (Oct 11, 2026) | 0.8%Today (Oct 8, 2026) |
| P/E, last 12 months | 17.6xToday (Oct 11, 2026) | 29.1xToday (Oct 8, 2026) |
| P/E, next 12 months | 23.2xToday (Oct 11, 2026) | 22.2xToday (Oct 8, 2026) |
| Weighted price forecast, about 1 year | 376.88 (+7%)October 2027 | 519.25 (+0 %)October 2027 |
| Weighted price forecast, about 3 years | 510.69 (+46%)October 2029 | 392.64 (-22 %)October 2029 |
Who leads on what?
| Leads | The lead is | |
|---|---|---|
| Revenue growth | Microsoft | The higher figure |
| Operating margin | Microsoft | The higher figure |
| Free cash flow | Alphabet | The higher figure |
| Free cash flow yield | — | The higher figure |
| Dividend yield | Microsoft | The higher figure |
| P/E, last 12 months | Alphabet | The lower figure |
| P/E, next 12 months | Microsoft | The lower figure |
| Weighted price forecast, about 1 year | Alphabet | The higher weighted return |
| Weighted price forecast, about 3 years | Alphabet | The higher weighted return |
What does each company do?
Alphabet sells advertising to businesses, subscriptions and digital services to consumers, and computing and workplace tools to businesses.
Alphabet (GOOGL), from our memo of October 11, 2026 · Alphabet stock forecast
Microsoft sells workplace software, cloud computing, business applications, LinkedIn services, Windows, games, devices and advertising to businesses, governments, developers and consumers.
Microsoft (MSFT), from our memo of October 10, 2026 · Microsoft stock forecast
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