FIS vs MSFT

For growth investors, Microsoft Corporation (MSFT) is the stronger pick with 14.

9% revenue growth year-over-year, versus 5. 4% for Fidelity National Information Services, Inc. (FIS). Microsoft Corporation (MSFT) offers the better valuation at 30. 3x trailing P/E (24. 9x forward), making it the more compelling value choice. Analysts rate Fidelity National Information Services, Inc. (FIS) a "Buy" — based on 37 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Microsoft Corporation (MSFT) is the cheapest at 30.

3x versus Fidelity National Information Services, Inc. at 61. 3x. On forward P/E, Fidelity National Information Services, Inc. is actually cheaper at 7. 3x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Fidelity National Information Services, Inc. wins at 0. 30x versus Microsoft Corporation's 1. 32x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, Microsoft Corporation (MSFT) delivered a total return of +71.

5%, compared to -64. 0% for Fidelity National Information Services, Inc. (FIS). Over 10 years, the gap is even starker: MSFT returned +768. 1% versus FIS's -14. 4%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Fidelity National Information Services, Inc.

(FIS) is the lower-risk stock at 0. 76β versus Microsoft Corporation's 0. 89β — meaning MSFT is approximately 17% more volatile than FIS relative to the S&P 500. On balance sheet safety, Fidelity National Information Services, Inc. (FIS) carries a lower debt/equity ratio of 29% versus 33% for Microsoft Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Microsoft Corporation (MSFT) is pulling ahead at 14.

9% versus 5. 4% for Fidelity National Information Services, Inc. (FIS). On earnings-per-share growth, the picture is similar: Microsoft Corporation grew EPS 15. 6% year-over-year, compared to -47. 2% for Fidelity National Information Services, Inc.. Over a 3-year CAGR, MSFT leads at 12. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Microsoft Corporation (MSFT) is the more profitable company, earning 36.

1% net margin versus 3. 6% for Fidelity National Information Services, Inc. — meaning it keeps 36. 1% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: MSFT leads at 45. 6% versus 16. 5% for FIS. At the gross margin level — before operating expenses — MSFT leads at 68. 8%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Fidelity National Information Services, Inc. (FIS) is the more undervalued stock at a PEG of 0. 30x versus Microsoft Corporation's 1. 32x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, Fidelity National Information Services, Inc. (FIS) trades at 7. 3x forward P/E versus 24. 9x for Microsoft Corporation — 17. 6x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for FIS: 46. 6% to $67. 38.

All stocks in this comparison pay dividends.

Fidelity National Information Services, Inc. (FIS) offers the highest yield at 3. 6%, versus 0. 8% for Microsoft Corporation (MSFT).

For long-horizon retirement investors, Microsoft Corporation (MSFT) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

89), 0. 8% yield, +768. 1% 10Y return). Both have compounded well over 10 years (MSFT: +768. 1%, FIS: -14. 4%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Technology sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: FIS is a mid-cap income-oriented stock; MSFT is a mega-cap quality compounder stock. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.