Comparing MSFT, AAPL, and AMZN: Which Mega-Cap Tech Stock Reigns Supreme?

Mega-cap tech stocks MSFT, AAPL, and AMZN were compared using TipRanks' Stock Comparison Tool. MSFT has risen 21% YTD, driven by Azure cloud computing and AI services growth. AAPL has recovered from a 7% YTD decline, but concerns about AI lagging and iPhone sales impacted investor sentiment. AMZN has seen a 13% YTD decline due to slowing growth and increased competition. Wall Street analysts have a Strong Buy consensus rating on MSFT, with an average price target of $624.08, indicating 22.5% upside potential.

Wall Street analysts are highly optimistic about the future prospects of the three leading mega-cap tech stocks: Microsoft (MSFT), Apple (AAPL), and Amazon (AMZN). According to TipRanks' Stock Comparison Tool, these stocks have been compared to determine the best pick among them. Here's a detailed analysis of each company's performance and analyst sentiments.

Microsoft (MSFT)
Microsoft has been a standout performer in 2025, with a 21% year-to-date (YTD) increase in stock price. The software and cloud computing giant reported strong results for the fourth quarter of Fiscal 2025, driven by robust growth in its Azure cloud computing business and artificial intelligence (AI) services. Azure and other cloud services generated $75 billion in revenue, marking a 34% year-over-year (YoY) growth. Analysts expect continued growth, with Truist Securities analyst Terry Tillman raising his price target to $675 and reiterating a Buy rating. Tillman anticipates low-teens double-digit revenue, profit, and cash flow growth over an extended period. Wall Street has a Strong Buy consensus rating on MSFT, with an average price target of $624.08, indicating 22.5% upside potential [1].

Apple (AAPL)
Apple stock has recovered from a 7% YTD decline but still faces investor concerns about lagging AI integration and iPhone sales. The company reported strong third-quarter Fiscal 2025 results, with overall revenue growth of 10% and iPhone revenue growing 13%. However, the stock's performance is closely tied to its upcoming September 9 event, where new products and AI integrations are expected to be unveiled. Morgan Stanley analyst Erik Woodring reiterated a Buy rating on AAPL, citing potential upside from stronger-than-expected iPhone builds in China and the possibility of estimates being revised higher. Wall Street has a Moderate Buy consensus rating on AAPL, with an average price target of $239.60, indicating 3% upside potential [1].

Amazon (AMZN)
Amazon's stock has declined 13% YTD, primarily due to concerns about the performance of its cloud computing unit, Amazon Web Services (AWS), and the payoff from its massive AI investments. While AWS continues to dominate the cloud infrastructure market, its June quarter revenue growth of about 18% lagged behind Microsoft Azure and Google Cloud. However, Amazon's advertising business delivered better-than-expected growth of 23% in Q2 2025. Morgan Stanley analyst Brian Nowak maintains a Buy rating on AMZN, expecting AWS growth to accelerate above 20% in 2026. Wall Street has a Strong Buy consensus rating on AMZN, with an average price target of $263.74, indicating about 14% upside potential [1].

Conclusion
Wall Street is highly bullish on Microsoft and Amazon, but cautiously optimistic on Apple stock. Analysts see higher upside potential in Microsoft stock than in the other two mega-cap tech stocks. Microsoft's Azure cloud business and productivity tools offerings are expected to gain from robust AI tailwinds.

References:
[1] https://www.tipranks.com/news/msft-vs-aapl-vs-amzn-which-mega-cap-tech-stock-is-the-best-pick-according-to-wall-street
[2] https://finance.yahoo.com/news/apple-aapl-explores-google-gemini-043308141.html
[3] https://www.nasdaq.com/articles/msft-rides-ai-strategy-can-rising-capex-drive-future-growth