STOCK COMPARISON
Bytes Technology vs Microsoft: Fair Value & Quality
Both stocks run through our valuation models. Here is how Bytes Technology (BYIT) and Microsoft (MSFT) compare, as of Aug 10, 2026.
As of Aug 10, 2026, Fair Value Calculator sees Bytes Technology as the less overvalued of the two: Bytes Technology trades at £4.19 versus a fair value of £3.46 (-17%), while Microsoft trades at $500 versus $274 (-45%).
Bytes Technology
BYIT.LSE · GBX · Information Technology
-17%
upside to fair value
overvalued
Price£4.19
Fair Value£3.46
Quality67/100
Microsoft
MSFT · USD · Information Technology
-45%
upside to fair value
overvalued
Price$500
Fair Value$274
Quality68/100
Head-to-head numbers
Green value = the better side for that row (for valuation multiples: lower = cheaper).
Bytes TechnologyMicrosoft
Valuation
19.8×P/E (TTM)22.9×
5.92×P/S (TTM)8.99×
16.10×P/B8.33×
18.6×EV/EBITDA15.6×
—PEG1.19×
2.4%Dividend yield0.9%
£0.10Dividend per share$3.56
Profitability
23%Net margin39%
27%Operating margin46%
57%Return on equity34%
8%Return on assets15%
Growth
1%Revenue growth (YoY)18%
6.1%Avg. growth/yr (3Y)12.4%
-10.9%Avg. growth/yr (5Y)14.5%
Balance & size
—Debt / equity0.12×
$1BMarket cap$2.9T
weakGrowth qualityexpensive
Microsoft leads: 4 to 8 metric wins.
Dash = not meaningfully computable, for example with negative equity.
Quality in detail
The quality score, broken down into the same factor families as on the stock page, 0 to 100 per family.
Bytes Technologyof which business quality 66 · market factors 74
Microsoftof which business quality 65 · market factors 51
ProfitabilityMargins and returns on capital today
71
75
Quality GrowthAre margins and returns improving?
29
53
CashflowEarnings quality: real cash, not paper profit
85
71
Fin. StrengthBalance sheet, leverage, solvency risk
57
79
InvestmentDisciplined investing over empire-building
61
1
Low VolatilityCalm price path (market factor)
70
57
MomentumPrice trend over the last 3–12 months (market factor)
75
48
52W MomentumDistance to the 52-week high (market factor)
75
51
Net IssuanceBuybacks instead of dilution
88
84
What the models say
The median fair value (base case) per model family, each in the currency of its trading venue. Green = above the current price, red = below.
Bytes Technology
DCF Models£3.21
Earnings-Based£2.18
Dividend Discount£1.91
Multiples£3.45
Asset-Based£0.23
Growth DCF£3.04
Economic Profit£1.72
Growth Earnings£3.34
22 of 24 models see the stock below the current price.
Microsoft
DCF Models$289
Earnings-Based$189
Dividend Discount$61.93
Multiples$206
Asset-Based$30.98
Growth DCF$201
Economic Profit$184
Growth Earnings$276
26 of 26 models see the stock below the current price.
Scenario ranges
From our cautious bear case to the optimistic bull case. The white tick is the current price: left of fair value means room to run.
Bytes Technology
Bear £2.70Fair Value £3.46Bull £4.61
£4.19 = current price (white tick)
Microsoft
Bear $159Fair Value $274Bull $358
$500 = current price (white tick)
Compare two other stocks
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Ranked within their sector
Where each stock sits within its sector peer group. Band = middle 50% of peers, tick = median, dot = this stock.
Bytes Technology · Information Technology
Quality score67 · Top 25%
Fair value upside-17% · above median
Microsoft · Information Technology
Quality score68 · Top 25%
Fair value upside-45% · below median
Bottom line
As of Aug 10, 2026, Fair Value Calculator sees Bytes Technology as the less overvalued of the two: Bytes Technology trades at £4.19 versus a fair value of £3.46 (-17%), while Microsoft trades at $500 versus $274 (-45%).
Microsoft has the higher quality score (68/100).
See the full analysis →
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A model-based valuation snapshot from 21 models. Values change with price and fundamentals; the date shown above applies.