This week, Microsoft and Apple are set to release their quarterly reports, with Microsoft focusing on cloud infrastructure and AI services, while Apple shines with its custom AI-powered silicon chips.

Microsoft’s Q2 sales are expected to rise 15% to $80.23 billion, with EPS spiking 20% to $3.88. Apple’s Q1 sales are projected to increase 10% to $137.47 billion, with EPS rising 10% to $2.65.

Looking ahead, Microsoft’s FY26 sales are estimated to increase 13% to $325.06 billion, while Apple’s total sales are expected to rise 8% to $451.64 billion in FY26.

In terms of stock performance, Apple has seen an 11% increase over the past year, slightly outperforming Microsoft’s 9%. Both trade at around 30X forward earnings, with Microsoft having a more attractive PEG ratio of 1.7X compared to Apple’s 2.2X.

Microsoft stock holds a Zacks Rank #2 (Buy), while Apple has a Zacks Rank #3 (Hold) ahead of their quarterly reports. Microsoft may see short-term upside, while Apple continues to propel its devices with advanced chips.

Read more at Nasdaq: Apple Vs Microsoft: Which is the Best Tech Investment as Quarterly Results Approach?