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General Motors vs Microsoft: Business Model & Financial Comparison 2026

General Motors · Consumer Cyclical / Auto Manufacturers·Microsoft · Technology / Software - Infrastructure

Financial Comparison

MetricGMGeneral MotorsMSFTMicrosoft
Market Cap$71.59B$2.78T
Revenue (TTM)$185.02B$305.45B
Revenue Growth-5.1%16.7%
Gross Margin10.7%68.6%
Operating Margin6.5%47.1%
Net Margin1.5%39.0%
Return on Equity4.3%34.4%
P/E (Trailing)23.5x23.4x
P/E (Forward)5.5x19.9x
Free Cash Flow$8.56B$53.64B
Cash$27.67B$89.46B
Total Debt$131.58B$123.28B

Data sourced from Yahoo Finance. Green highlights indicate better performance for that metric. Use the interactive tool for real-time data.

Business Model Comparison

General Motors

General Motors Company stands as a leading company in Consumer Cyclical. Generating $185.02 billion in annual revenue (growing -5.1% year-over-year) and carrying a market capitalization of $71.08 billion, the company has cemented its position as a foundational player in the global Auto Manufacturers landscape. Under the leadership of its leadership team, General Motors Company continues to execute on a multi-year strategic vision that balances gr…

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Microsoft

Microsoft stands as the world's leading enterprise software and cloud computing company. Generating $305.45 billion in annual revenue (growing 16.7% year-over-year) and carrying a market capitalization of $3.05 trillion, the company has cemented its position as a foundational player in the global Software - Infrastructure landscape. Under the leadership of Satya Nadella, Microsoft continues to execute on a multi-year strategic vision that balance…

Full Microsoft analysis →

SWOT Analysis Comparison

Strengths
General Motors
  • General Motors Company generated $8.56B in free cash flow, providing financial flexibility to invest in growth initiatives, return capital to shareholders, or strengthen the balance sheet.
Microsoft
  • With a market capitalization of $3.05T, Microsoft is one of the largest companies in its sector, providing the scale advantages of brand recognition, supplier leverage, and capital access that smaller
  • Microsoft's gross margin of 68.6% is well above industry averages, reflecting pricing power, operational efficiency, or a high-value product mix. The operating margin of 47.1% demonstrates disciplined
  • Revenue grew 16.7% year-over-year to $305.45B, indicating strong demand for Microsoft's products and services and outperformance relative to many industry peers.
Weaknesses
General Motors
  • With a debt-to-equity ratio of 208.3, General Motors Company carries significant debt relative to equity. While manageable given its cash flow, elevated leverage limits financial flexibility and incre
  • Year-over-year revenue declined 5.1%, raising questions about demand for General Motors Company's core offerings and requiring management to articulate a credible recovery path.
  • A net profit margin of 1.5% leaves limited buffer against revenue fluctuations or cost increases. Any significant market downturn could quickly pressure profitability.
Microsoft
  • With 228,000 employees globally, Microsoft faces inherent challenges in agility, decision-making speed, and maintaining a consistent culture across geographies — advantages that smaller, nimbler compe
  • Windows consumer PC market has been structurally declining for a decade
  • Azure still trails AWS in market share (22% vs 32%); gap may be difficult to close
Opportunities
General Motors
  • General Motors Company operates in the Auto Manufacturers segment of the broader Consumer Cyclical sector, which represents a $28 trillion global consumer spending market. Even modest share gains in t
  • Emerging markets — particularly India (1.4B people, rapidly growing middle class), Southeast Asia (700M people), and Sub-Saharan Africa — represent significant untapped addressable markets for General
  • With $27.67B in cash and strong free cash flow generation, General Motors Company is well-positioned to pursue strategic acquisitions that expand its capabilities, customer base, or geographic reach.
Microsoft
  • The rapid advancement of generative AI and large language models presents Microsoft with opportunities to automate operations, enhance products, and develop new AI-native services. Companies in Techno
  • Microsoft operates in the Software - Infrastructure segment of the broader Technology sector, which represents a $5.0 trillion by 2027 (IDC Global Technology Market). Even modest share gains in this e
  • Emerging markets — particularly India (1.4B people, rapidly growing middle class), Southeast Asia (700M people), and Sub-Saharan Africa — represent significant untapped addressable markets for Microso
Threats
General Motors
  • Global economic slowdowns, inflation, or rising interest rates can reduce consumer and enterprise spending. General Motors Company's revenue is not fully insulated from macroeconomic cycles, and a rec
  • Increasing government regulation — particularly data privacy laws (GDPR, CCPA), antitrust enforcement, and trade restrictions — poses compliance costs and potential restrictions on General Motors Comp
  • Competition for skilled technology, engineering, and management talent remains intense. High employee turnover or inability to attract top talent could slow innovation and execution — particularly cri
Microsoft
  • Global economic slowdowns, inflation, or rising interest rates can reduce consumer and enterprise spending. Microsoft's revenue is not fully insulated from macroeconomic cycles, and a recession scenar
  • Increasing government regulation — particularly data privacy laws (GDPR, CCPA), antitrust enforcement, and trade restrictions — poses compliance costs and potential restrictions on Microsoft's busines
  • The technology sector evolves at a pace where today's competitive advantages can erode quickly. New entrants with AI-native approaches, open-source alternatives, or disruptive business models could ch

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General Motors vs Microsoft: FAQ

Is General Motors bigger than Microsoft?
By market capitalization, Microsoft is larger at $2.78T vs General Motors's $71.59B.
Which has better profit margins — General Motors or Microsoft?
Microsoft has higher net profit margins (39.0%) compared to General Motors (1.5%). Gross and operating margins are compared in the table above.
What sectors do General Motors and Microsoft operate in?
General Motors operates in the Consumer Cyclical sector (Auto Manufacturers). Microsoft operates in the Technology sector (Software - Infrastructure).
How does General Motors's revenue compare to Microsoft's?
General Motors generates $185.02B in annual revenue (TTM) while Microsoft generates $305.45B. Microsoft is the larger company by revenue as of 2026.

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