MSFT vs. TSLA

Last updated Apr 1, 2026

Compare and contrast key facts about Microsoft Corporation (MSFT) and Tesla, Inc. (TSLA).

Performance

MSFT vs. TSLA - Performance Comparison

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

MSFT vs. TSLA - Yearly Performance Comparison

	2026 (YTD)	2025	2024	2023	2022	2021	2020	2019	2018	2017
MSFT Microsoft Corporation	-23.28%	15.58%	12.93%	58.19%	-28.02%	52.48%	42.53%	57.56%	20.80%	40.73%
TSLA Tesla, Inc.	-17.34%	11.36%	62.52%	101.72%	-65.03%	49.76%	743.44%	25.70%	6.89%	45.70%

Fundamentals

Market Cap MSFT : $2.76T TSLA : $1.32T
EPS MSFT : $15.98 TSLA : $1.08
PE Ratio MSFT : 23.16 TSLA : 345.69
PEG Ratio MSFT : 1.62 TSLA : 42.29
PS Ratio MSFT : 9.04 TSLA : 13.83
PB Ratio MSFT : 7.06 TSLA : 16.02
Total Revenue (TTM) MSFT : $305.45B TSLA : $94.83B
Gross Profit (TTM) MSFT : $209.50B TSLA : $17.09B
EBITDA (TTM) MSFT : $191.39B TSLA : $11.76B

Returns By Period

In the year-to-date period, MSFT achieves a -23.28% return, which is significantly lower than TSLA's -17.34% return. Over the past 10 years, MSFT has underperformed TSLA with an annualized return of 22.44%, while TSLA has yielded a comparatively higher 37.10% annualized return.

MSFT

• 1D: 3.12%
• 1M: -5.75%
• YTD: -23.28%
• 6M: -28.23%
• 1Y: -0.64%
• 3Y*: 9.54%
• 5Y*: 9.74%
• 10Y*: 22.44%

TSLA

• 1D: 4.64%
• 1M: -7.64%
• YTD: -17.34%
• 6M: -16.41%
• 1Y: 43.44%
• 3Y*: 21.46%
• 5Y*: 11.00%
• 10Y*: 37.10%

*Multi-year figures are annualized to reflect compound growth (CAGR)

Return for Risk

MSFT vs. TSLA — Risk / Return Rank

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

MSFT

MSFT Risk / Return Rank: 38
MSFT Sharpe Ratio Rank: 41
MSFT Sortino Ratio Rank: 34
MSFT Omega Ratio Rank: 35
MSFT Calmar Ratio Rank: 41
MSFT Martin Ratio Rank: 40

TSLA

TSLA Risk / Return Rank: 69
TSLA Sharpe Ratio Rank: 70
TSLA Sortino Ratio Rank: 67
TSLA Omega Ratio Rank: 64
TSLA Calmar Ratio Rank: 72
TSLA Martin Ratio Rank: 72

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. TSLA - Risk-Adjusted Trends Comparison

This table presents a comparison of risk-adjusted performance metrics for Microsoft Corporation (MSFT) and Tesla, Inc. (TSLA). 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.

	MSFT	TSLA	Difference
Sharpe ratio Return per unit of total volatility	-0.02	0.79	-0.81
Sortino ratio Return per unit of downside risk	0.15	1.44	-1.28
Omega ratio Gain probability vs. loss probability	1.02	1.18	-0.15
Calmar ratio Return relative to maximum drawdown	-0.05	1.49	-1.54
Martin ratio Return relative to average drawdown	-0.12	3.66	-3.79
Data is calculated on a 1-year rolling basis and updated daily. The trend shows the change in the indicator over the past month.

MSFT vs. TSLA - Sharpe Ratio Comparison

The current MSFT Sharpe Ratio is -0.02, which is lower than the TSLA Sharpe Ratio of 0.79. The chart below compares the historical Sharpe Ratios of MSFT and TSLA, offering insights into how both investments have performed under varying market conditions. These values are calculated using daily returns over the previous 12 months.

Sharpe Ratios by Period

	MSFT	TSLA	Difference
Sharpe Ratio (1Y) Calculated over the trailing 1-year period	-0.02	0.79	-0.81
Sharpe Ratio (5Y) Calculated over the trailing 5-year period	0.37	0.19	+0.19
Sharpe Ratio (10Y) Calculated over the trailing 10-year period	0.84	0.63	+0.21
Sharpe Ratio (All Time) Calculated using the full available price history	0.74	0.72	+0.01

Correlation

The correlation between MSFT and TSLA is 0.36, which is considered to be low. This implies their price changes are not closely related. A low correlation is generally favorable for portfolio diversification, as it helps to reduce overall risk by spreading it across multiple assets with different performance patterns.

Dividends

MSFT vs. TSLA - Dividend Comparison

MSFT's dividend yield for the trailing twelve months is around 0.94%, while TSLA has not paid dividends to shareholders.

	TTM	2025	2024	2023	2022	2021	2020	2019	2018	2017	2016	2015
MSFT Microsoft Corporation	0.94%	0.70%	0.73%	0.74%	1.06%	0.68%	0.94%	1.20%	1.69%	1.86%	2.37%	2.33%
TSLA Tesla, 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%

Drawdowns

MSFT vs. TSLA - Drawdown Comparison

The maximum MSFT drawdown since its inception was -69.38%, smaller than the maximum TSLA drawdown of -73.63%. Use the drawdown chart below to compare losses from any high point for MSFT and TSLA.

Drawdown Indicators

	MSFT	TSLA	Difference
Max Drawdown Largest peak-to-trough decline	-69.38%	-73.63%	+4.25%
Max Drawdown (1Y) Largest decline over 1 year	-33.91%	-27.48%	-6.43%
Max Drawdown (5Y) Largest decline over 5 years	-37.15%	-73.63%	+36.48%
Max Drawdown (10Y) Largest decline over 10 years	-37.15%	-73.63%	+36.48%
Current Drawdown Current decline from peak	-31.43%	-24.11%	-7.32%
Average Drawdown Average peak-to-trough decline	-21.77%	-22.77%	+1.00%
Ulcer Index Depth and duration of drawdowns from previous peaks	12.46%	11.21%	+1.25%

Volatility

MSFT vs. TSLA - Volatility Comparison

The current volatility for Microsoft Corporation (MSFT) is 6.48%, while Tesla, Inc. (TSLA) has a volatility of 11.25%. This indicates that MSFT experiences smaller price fluctuations and is considered to be less risky than TSLA based on this measure. The chart below showcases a comparison of their rolling one-month volatility.

Volatility by Period

	MSFT	TSLA	Difference
Volatility (1M) Calculated over the trailing 1-month period	6.48%	11.25%	-4.77%
Volatility (6M) Calculated over the trailing 6-month period	19.15%	29.73%	-10.58%
Volatility (1Y) Calculated over the trailing 1-year period	26.46%	55.49%	-29.03%
Volatility (5Y) Calculated over the trailing 5-year period, annualized	26.19%	59.07%	-32.88%
Volatility (10Y) Calculated over the trailing 10-year period, annualized	26.89%	59.03%	-32.14%

Financials

MSFT vs. TSLA - Profitability Comparison

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

MSFT - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Microsoft Corporation reported a gross profit of 55.30B and revenue of 81.27B. Therefore, the gross margin over that period was 68.0%.

TSLA - Gross Margin

Gross margin is calculated as gross profit divided by revenue. For the three months ending on Apr 2026, Tesla, Inc. reported a gross profit of 5.01B and revenue of 24.90B. Therefore, the gross margin over that period was 20.1%.

MSFT - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Microsoft Corporation reported an operating income of 38.28B and revenue of 81.27B, resulting in an operating margin of 47.1%.

TSLA - Operating Margin

Operating margin is calculated as operating income divided by revenue. For the three months ending on Apr 2026, Tesla, Inc. reported an operating income of 1.41B and revenue of 24.90B, resulting in an operating margin of 5.7%.

MSFT - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Microsoft Corporation reported a net income of 38.46B and revenue of 81.27B, resulting in a net margin of 47.3%.

TSLA - Net Margin

Net margin is calculated as net income divided by revenue. For the three months ending on Apr 2026, Tesla, Inc. reported a net income of 840.00M and revenue of 24.90B, resulting in a net margin of 3.4%.