Better Stock to Buy Now: Amazon vs. Microsoft | The Motley Fool

Better Stock to Buy Now: Amazon vs. Microsoft | The Motley Fool

By Keithen Drury
Publication Date: 2026-06-14 11:30:00

Two of the largest and most important companies in the world are Microsoft (MSFT +0.11%) and Amazon (AMZN 1.24%). Both companies rank among the top five largest companies in the world, coming in at fourth and fifth, respectively. However, investors may be torn between which is the better choice.

On the surface, they look like completely different businesses, but the more you dig, the more you’ll find they have in common. But which is the better buy? Let’s find out.

Image source: Getty Images.

Cloud computing is a major component for each

Ask your average person what each company does, and you’d likely get a response along the lines of: “Microsoft makes computer software, and Amazon sells goods and delivers them.” While those two statements aren’t wrong, they ignore the most important part of each business: cloud computing.

Both Microsoft and Amazon have major cloud computing divisions, with Microsoft Azure and Amazon Web Services (AWS) integral to their businesses. The effect