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FTV vs MSFT

FTV
Fortive Corporation
BEARISH
Price
$61.09
Market Cap
$18.81B
Sector
Technology
AI Confidence
85%
MSFT
Microsoft Corporation
BULLISH
Price
$374.33
Market Cap
$2.78T
Sector
Technology
AI Confidence
85%

Valuation

P/E Ratio
FTV
38.42
MSFT
23.42
Forward P/E
FTV
19.15
MSFT
19.86
P/B Ratio
FTV
2.97
MSFT
7.11
P/S Ratio
FTV
4.52
MSFT
9.11
EV/EBITDA
FTV
18.78
MSFT
16.05

Profitability

Gross Margin
FTV
63.5%
MSFT
68.59%
Operating Margin
FTV
20.12%
MSFT
47.09%
Profit Margin
FTV
13.93%
MSFT
39.04%
ROE
FTV
6.4%
MSFT
34.39%
ROA
FTV
3.13%
MSFT
14.86%

Growth

Revenue Growth
FTV
4.6%
MSFT
16.7%
Earnings Growth
FTV
-2.6%
MSFT
59.8%

Financial Health

Debt/Equity
FTV
0.51
MSFT
0.32
Current Ratio
FTV
0.71
MSFT
1.39
Quick Ratio
FTV
0.54
MSFT
1.24

Dividends

Dividend Yield
FTV
0.43%
MSFT
0.97%
Payout Ratio
FTV
17.61%
MSFT
21.28%

AI Verdict

FTV BEARISH

FTV exhibits a severe valuation disconnect, trading at $61.09 despite a Graham Number of $27.14 and an Intrinsic Value of $11.13. The Piotroski F-Score of 4/9 indicates only stable health, which is further undermined by a concerning current ratio of 0.71, signaling potential liquidity constraints. While the PEG ratio of 0.98 suggests growth potential, the recent Q/Q revenue collapse of -30.72% and bearish insider activity create a high-risk profile. The stock is currently priced at a massive premium that is not supported by its deterministic health or value scores.

Strengths
Strong gross margins at 63.50%
Consistent historical track record of beating earnings estimates over 25 quarters
Attractive PEG ratio (0.98) suggesting growth is priced reasonably relative to earnings
Risks
Severe Q/Q revenue contraction of -30.72%
Poor short-term liquidity with a Current Ratio of 0.71 and Quick Ratio of 0.54
Extreme premium to Graham Number ($27.14) and Intrinsic Value ($11.13)
MSFT BULLISH

Microsoft exhibits strong fundamental health with a Piotroski F-Score of 7/9, indicating robust financial stability. While the stock is currently experiencing a severe technical downtrend (0/100) and significant 6-month price depreciation (-28.6%), the current price of $374.33 sits well below the growth-based intrinsic value of $471.41 and the analyst target of $587.31. Exceptional earnings growth (59.8% YoY) and high operating margins (47.09%) suggest that the current price correction presents a value opportunity despite bearish insider sentiment.

Strengths
Strong financial health evidenced by a Piotroski F-Score of 7/9
Exceptional profitability with a 39.04% profit margin and 47.09% operating margin
Robust earnings growth (59.8% YoY) and consistent history of beating estimates
Risks
Severe short-term technical bearishness (0/100 trend score)
Bearish insider activity with $32.64M in net sales over the last 6 months
High Price-to-Book ratio (7.11) indicating a premium over book value

Compare Another Pair

FTV vs MSFT: Head-to-Head Comparison

This page compares Fortive Corporation (FTV) and Microsoft Corporation (MSFT) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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