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IBTA vs MSFT

IBTA
Ibotta, Inc.
BEARISH
Price
$35.60
Market Cap
$848.9M
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
IBTA
296.67
MSFT
23.42
Forward P/E
IBTA
21.22
MSFT
19.86
P/B Ratio
IBTA
3.12
MSFT
7.11
P/S Ratio
IBTA
2.48
MSFT
9.11
EV/EBITDA
IBTA
196.39
MSFT
16.05

Profitability

Gross Margin
IBTA
79.25%
MSFT
68.59%
Operating Margin
IBTA
-1.56%
MSFT
47.09%
Profit Margin
IBTA
1.04%
MSFT
39.04%
ROE
IBTA
0.96%
MSFT
34.39%
ROA
IBTA
0.19%
MSFT
14.86%

Growth

Revenue Growth
IBTA
-10.0%
MSFT
16.7%
Earnings Growth
IBTA
--
MSFT
59.8%

Financial Health

Debt/Equity
IBTA
0.09
MSFT
0.32
Current Ratio
IBTA
1.96
MSFT
1.39
Quick Ratio
IBTA
1.91
MSFT
1.24

Dividends

Dividend Yield
IBTA
--
MSFT
0.97%
Payout Ratio
IBTA
0.0%
MSFT
21.28%

AI Verdict

IBTA BEARISH

IBTA exhibits significant valuation disconnects, trading at a massive premium to its Graham Number ($5.55) and Intrinsic Value ($0.84). While the Piotroski F-Score of 4/9 indicates stable financial health and the balance sheet is clean with very low debt (D/E 0.09), these are overshadowed by deteriorating fundamentals. Revenue growth is negative (-10% YoY) and earnings have collapsed (-87.2% YoY), suggesting the current price is speculative rather than data-driven.

Strengths
Strong Gross Margin (79.25%) typical of scalable software models
Very low Debt/Equity ratio (0.09) indicating minimal leverage risk
Healthy liquidity with a Current Ratio of 1.96
Risks
Severe valuation gap: Current price is >6x the Graham Number
Negative revenue growth (-10% YoY and Q/Q)
Collapsing profitability with YoY EPS growth at -87.2%
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

IBTA vs MSFT: Head-to-Head Comparison

This page compares Ibotta, Inc. (IBTA) 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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