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IONQ vs MSFT

IONQ
IonQ, Inc.
BEARISH
Price
$43.08
Market Cap
$15.79B
Sector
Technology
AI Confidence
85%
MSFT
Microsoft Corporation
BULLISH
Price
$429.25
Market Cap
$3.19T
Sector
Technology
AI Confidence
85%

Valuation

P/E Ratio
IONQ
--
MSFT
26.6
Forward P/E
IONQ
-48.06
MSFT
22.68
P/B Ratio
IONQ
4.11
MSFT
8.16
P/S Ratio
IONQ
121.48
MSFT
10.44
EV/EBITDA
IONQ
-26.12
MSFT
18.38

Profitability

Gross Margin
IONQ
42.06%
MSFT
68.59%
Operating Margin
IONQ
-345.66%
MSFT
47.09%
Profit Margin
IONQ
0.0%
MSFT
39.04%
ROE
IONQ
-24.4%
MSFT
34.39%
ROA
IONQ
-10.42%
MSFT
14.86%

Growth

Revenue Growth
IONQ
428.5%
MSFT
16.7%
Earnings Growth
IONQ
--
MSFT
59.8%

Financial Health

Debt/Equity
IONQ
0.01
MSFT
0.32
Current Ratio
IONQ
15.5
MSFT
1.39
Quick Ratio
IONQ
14.85
MSFT
1.24

Dividends

Dividend Yield
IONQ
--
MSFT
0.85%
Payout Ratio
IONQ
0.0%
MSFT
21.28%

AI Verdict

IONQ BEARISH

IONQ exhibits a critically weak financial health profile with a Piotroski F-Score of 1/9, indicating severe fundamental instability despite explosive revenue growth. While the company maintains a strong liquidity position (Current Ratio 15.50) and negligible debt, its valuation is disconnected from current performance, evidenced by an extreme Price/Sales ratio of 121.48. The disconnect between the 'Strong Buy' analyst consensus and the bearish insider selling/technical trend suggests a speculative bubble driven by quantum computing hype rather than fiscal viability.

Strengths
Hyper-growth revenue expansion (YoY 428.50%)
Exceptional short-term liquidity (Current Ratio 15.50)
Minimal leverage with a Debt/Equity ratio of 0.01
Risks
Extreme valuation risk with a P/S ratio of 121.48
Severe operational inefficiency (Operating Margin -345.66%)
Poor earnings reliability with only 1 of the last 4 quarters beating estimates
MSFT BULLISH

Microsoft exhibits strong financial health with a Piotroski F-Score of 7/9, indicating robust operational efficiency and stability. While the stock trades at a significant premium to its Graham Number ($138.23), it remains below its growth-based intrinsic value of $476.13, suggesting reasonable upside. Exceptional earnings growth (59.8% YoY) and elite profit margins (39.04%) outweigh current bearish technical trends and insider selling. The company's consistent track record of beating earnings estimates over 25 quarters reinforces a strong long-term outlook.

Strengths
Strong Piotroski F-Score (7/9) confirming financial health
Exceptional profitability with 47.09% operating margins
Massive earnings growth (59.8% YoY) and consistent EPS beats
Risks
Bearish technical trend (0/100) indicating short-term price pressure
Net bearish insider sentiment with $32.64M in recent sales
High valuation multiples (P/B of 8.16 and P/S of 10.44)

Compare Another Pair

IONQ vs MSFT: Head-to-Head Comparison

This page compares IonQ, Inc. (IONQ) 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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