PortfoliosLab logoPortfoliosLab logo
MSFT vs. ADBE
Performance
Return for Risk
Drawdowns
Volatility
Dividends
Financials

Performance

MSFT vs. ADBE - Performance Comparison

The chart below illustrates the hypothetical performance of a $10,000 investment in Microsoft Corporation (MSFT) and Adobe Inc (ADBE). The values are adjusted to include any dividend payments, if applicable.

Loading charts...

Returns By Period

In the year-to-date period, MSFT achieves a -11.24% return, which is significantly higher than ADBE's -26.79% return. Over the past 10 years, MSFT has outperformed ADBE with an annualized return of 25.03%, while ADBE has yielded a comparatively lower 10.01% annualized return.


MSFT

1D
-3.17%
1M
3.54%
YTD
-11.24%
6M
-10.15%
1Y
-6.96%
3Y*
9.26%
5Y*
12.17%
10Y*
25.03%

ADBE

1D
-2.24%
1M
0.90%
YTD
-26.79%
6M
-21.59%
1Y
-37.88%
3Y*
-16.26%
5Y*
-12.67%
10Y*
10.01%
*Multi-year figures are annualized to reflect compound growth (CAGR)

MSFT vs. ADBE - Yearly Performance Comparison


2026 (YTD)202520242023202220212020201920182017
MSFT
Microsoft Corporation
-11.24%15.58%12.93%58.19%-28.02%52.48%42.53%57.56%20.80%40.73%
ADBE
Adobe Inc
-26.79%-21.29%-25.46%77.28%-40.65%13.38%51.64%45.78%29.10%70.22%

Correlation

The correlation between MSFT and ADBE is 0.33, which is low. Their price movements are largely independent, making them effective diversification partners.


Correlation
Correlation (1Y)
Calculated over the trailing 1-year period

0.33

Correlation (3Y)
Calculated over the trailing 3-year period

0.47

Correlation (5Y)
Calculated over the trailing 5-year period

0.61

Correlation (10Y)
Calculated over the trailing 10-year period

0.68

Correlation (All Time)
Calculated using the full available price history since Aug 21, 1986

0.47

The correlation between MSFT and ADBE shifts across timeframes, from 0.33 (1 year) to 0.68 (10 years), reflecting how their relationship changes across market environments.

Fundamentals

Market Cap

MSFT:

$3.18T

ADBE:

$105.31B

EPS

MSFT:

$16.79

ADBE:

$17.19

PE Ratio

MSFT:

25.45

ADBE:

14.91

PEG Ratio

MSFT:

1.78

ADBE:

1.05

PS Ratio

MSFT:

10.01

ADBE:

4.39

PB Ratio

MSFT:

7.68

ADBE:

9.21

Total Revenue (TTM)

MSFT:

$318.27B

ADBE:

$24.45B

Gross Profit (TTM)

MSFT:

$217.41B

ADBE:

$21.82B

EBITDA (TTM)

MSFT:

$200.96B

ADBE:

$9.71B

Compare stocks, funds, or ETFs

Search for stocks, ETFs, and funds for a quick comparison or use the comparison tool for more options.


Return for Risk

MSFT vs. ADBE — Risk / Return Rank

Compare risk-adjusted metric ranks to identify better-performing investments over the past 12 months.

MSFT
MSFT Risk / Return Rank: 2929
Overall Rank
MSFT Sharpe Ratio Rank: 2929
Sharpe Ratio Rank
MSFT Sortino Ratio Rank: 2525
Sortino Ratio Rank
MSFT Omega Ratio Rank: 2525
Omega Ratio Rank
MSFT Calmar Ratio Rank: 3333
Calmar Ratio Rank
MSFT Martin Ratio Rank: 3333
Martin Ratio Rank

ADBE
ADBE Risk / Return Rank: 66
Overall Rank
ADBE Sharpe Ratio Rank: 33
Sharpe Ratio Rank
ADBE Sortino Ratio Rank: 44
Sortino Ratio Rank
ADBE Omega Ratio Rank: 66
Omega Ratio Rank
ADBE Calmar Ratio Rank: 99
Calmar Ratio Rank
ADBE Martin Ratio Rank: 77
Martin Ratio Rank
The rank (0–100) shows how this investment's returns compare to the risk taken. Higher = better. Based on the past 12 months of data, combining Sharpe, Sortino, and other metrics used by quantitative funds and institutional investors.

MSFT vs. ADBE - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Microsoft Corporation (MSFT) and Adobe Inc (ADBE). Risk-adjusted metrics are performance indicators that assess an investment's returns in relation to its risk, enabling a more accurate comparison of different investment options.


MSFTADBEDifference
Sharpe ratioReturn per unit of total volatility

+0.85

Sortino ratioReturn per unit of downside risk

+1.42

Omega ratioGain probability vs. loss probability

0.97

0.80

+0.17

Calmar ratioReturn relative to maximum drawdown

-0.21

-0.83

+0.62

Martin ratioReturn relative to average drawdown

-0.44

-1.41

+0.98

MSFT vs. ADBE - Sharpe Ratio Comparison

The current MSFT Sharpe Ratio is -0.28, which is higher than the ADBE Sharpe Ratio of -1.13. The chart below compares the historical Sharpe Ratios of MSFT and ADBE, calculated using daily returns over the previous 12 months. A higher Sharpe Ratio indicates better risk-adjusted performance relative to the risk-free rate.


Loading charts...

Sharpe Ratios by Period


MSFTADBEDifference

Sharpe Ratio (1Y)

Calculated over the trailing 1-year period

-0.28

-1.13

+0.85

Sharpe Ratio (5Y)

Calculated over the trailing 5-year period

0.46

-0.35

+0.81

Sharpe Ratio (10Y)

Calculated over the trailing 10-year period

0.93

0.29

+0.64

Sharpe Ratio (All Time)

Calculated using the full available price history

0.75

0.41

+0.33

Drawdowns

MSFT vs. ADBE - Drawdown Comparison

The maximum MSFT drawdown since its inception was -69.38%, smaller than the maximum ADBE drawdown of -79.89%. Use the drawdown chart below to compare losses from any high point for MSFT and ADBE.


Loading charts...

Drawdown Indicators


MSFTADBEDifference

Max Drawdown

Largest peak-to-trough decline

-69.38%

-79.89%

+10.51%

Max Drawdown (1Y)

Largest decline over 1 year

-33.91%

-45.95%

+12.04%

Max Drawdown (3Y)

Largest decline over 3 years

-33.91%

-64.50%

+30.59%

Max Drawdown (5Y)

Largest decline over 5 years

-37.15%

-67.26%

+30.11%

Max Drawdown (10Y)

Largest decline over 10 years

-37.15%

-67.26%

+30.11%

Current Drawdown

Current decline from peak

-20.67%

-62.78%

+42.11%

Average Drawdown

Average peak-to-trough decline

-21.78%

-25.97%

+4.19%

Ulcer Index

Depth and duration of drawdowns from previous peaks

15.95%

26.83%

-10.88%

Volatility

MSFT vs. ADBE - Volatility Comparison

The current volatility for Microsoft Corporation (MSFT) is 9.95%, while Adobe Inc (ADBE) has a volatility of 13.95%. This indicates that MSFT experiences smaller price fluctuations and is considered to be less risky than ADBE based on this measure. The chart below showcases a comparison of their rolling one-month volatility.


Loading charts...

Volatility by Period


MSFTADBEDifference

Volatility (1M)

Calculated over the trailing 1-month period

9.95%

13.95%

-4.00%

Volatility (6M)

Calculated over the trailing 6-month period

22.34%

28.02%

-5.68%

Volatility (1Y)

Calculated over the trailing 1-year period

25.12%

33.69%

-8.57%

Volatility (5Y)

Calculated over the trailing 5-year period, annualized

26.63%

36.32%

-9.69%

Volatility (10Y)

Calculated over the trailing 10-year period, annualized

27.04%

34.33%

-7.29%

Dividends

MSFT vs. ADBE - Dividend Comparison

MSFT's dividend yield for the trailing twelve months is around 0.83%, while ADBE has not paid dividends to shareholders.


PositionTTM20252024202320222021202020192018201720162015
ADBE
Adobe Inc
0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%0.00%
MSFT
Microsoft Corporation
0.83%0.70%0.73%0.74%1.06%0.68%0.94%1.20%1.69%1.86%2.37%2.33%

Financials

MSFT vs. ADBE - Financials Comparison

This section allows you to compare key financial metrics between Microsoft Corporation and Adobe Inc. You can select fields from income statements, balance sheets, and cash flow statements to easily visualize and compare the financial health of both companies.


Quarterly
Annual

Total Revenue: Total amount of money received from sales and other business activities


0.0020.00B40.00B60.00B80.00B20222023202420252026
82.89B
6.40B
(MSFT) Total Revenue
(ADBE) Total Revenue
Values in USD except per share items

MSFT vs. ADBE - Profitability Comparison

The chart below illustrates the profitability comparison between Microsoft Corporation and Adobe Inc over time, highlighting three key metrics: Gross Profit Margin, Operating Margin, and Net Profit Margin.

Gross Margin
Operating Margin
Net Margin
Quarterly
Annual

70.0%75.0%80.0%85.0%90.0%20222023202420252026
67.6%
89.6%
Portfolio components
MSFT - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Microsoft Corporation reported a gross profit of 56.06B and revenue of 82.89B. Therefore, the gross margin over that period was 67.6%.

ADBE - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Jun 2026, Adobe Inc reported a gross profit of 5.73B and revenue of 6.40B. Therefore, the gross margin over that period was 89.6%.

MSFT - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Microsoft Corporation reported an operating income of 38.40B and revenue of 82.89B, resulting in an operating margin of 46.3%.

ADBE - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Jun 2026, Adobe Inc reported an operating income of 2.42B and revenue of 6.40B, resulting in an operating margin of 37.8%.

MSFT - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Microsoft Corporation reported a net income of 31.78B and revenue of 82.89B, resulting in a net margin of 38.3%.

ADBE - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Jun 2026, Adobe Inc reported a net income of 1.89B and revenue of 6.40B, resulting in a net margin of 29.5%.


Frequently Asked Questions


MSFT and ADBE have a correlation of 0.33, meaning they provide meaningful diversification benefit when combined. Depending on your allocation goals, holding both could reduce overall portfolio risk.

ADBE has higher volatility (13.95%) compared to MSFT (9.95%). In terms of maximum drawdown, MSFT dropped -69.38% vs ADBE's -79.89%.

MSFT currently has the higher Sharpe Ratio (-0.28 vs -1.13), meaning it's delivered slightly more return per unit of risk over the trailing 12 months. However, this ranking shifts over time - use the Risk/Return Score above for a more comprehensive view that combines Sharpe, Sortino, and other measures used by quantitative funds.

Portfolio Optimizer

Find the right allocation for MSFT and ADBE

Add both to a portfolio and optimize allocations for your target — whether that's maximizing returns, minimizing drawdowns, or balancing risk across holdings.

Open Portfolio Optimizer