(MSFT) Microsoft - Ratings and Ratios
Exchange: NASDAQ •
Country: United States •
Currency: USD •
Type: Common Stock •
ISIN: US5949181045
Windows, Office, Azure, Xbox, Dynamics
Dividends
| Dividend Yield | 0.69% |
| Yield on Cost 5y | 1.68% |
| Yield CAGR 5y | 10.18% |
| Payout Consistency | 94.5% |
| Payout Ratio | 24.2% |
| Risk via 10d forecast | |
|---|---|
| Volatility | 21.8% |
| Value at Risk 5%th | 35.4% |
| Relative Tail Risk | -1.52% |
| Reward TTM | |
|---|---|
| Sharpe Ratio | 0.41 |
| Alpha | 0.27 |
| CAGR/Max DD | 1.10 |
| Character TTM | |
|---|---|
| Hurst Exponent | 0.429 |
| Beta | 0.890 |
| Beta Downside | 0.801 |
| Drawdowns 3y | |
|---|---|
| Max DD | 23.73% |
| Mean DD | 5.61% |
| Median DD | 4.46% |
Description: MSFT Microsoft December 02, 2025
Microsoft Corporation (NASDAQ: MSFT) operates three primary segments: Productivity and Business Processes (including Microsoft 365, Teams, LinkedIn, and Dynamics 365), Intelligent Cloud (Azure, GitHub, server software, and enterprise services), and Personal Computing (Windows OEM licensing, Surface devices, Xbox gaming, and Bing advertising). The company distributes its products through OEMs, distributors, online and retail channels, and serves both commercial and consumer customers worldwide.
In FY 2024, Microsoft reported total revenue of roughly $211 billion, with Azure driving a 30% year-over-year growth and contributing to a cloud operating margin near 70%. AI-enhanced offerings such as Copilot are now embedded across Microsoft 365 and Azure, reflecting a sector-wide shift toward generative AI that is expected to lift average selling prices. Gaming revenue, powered by Xbox Game Pass subscriptions and cloud gaming, accounts for about 8% of total sales, while the firm’s exposure to enterprise-level digital transformation helps buffer macro-economic volatility.
For a deeper, data-driven breakdown of Microsoft’s valuation metrics, you may find ValueRay’s analyst toolkit useful.
Piotroski VR‑10 (Strict, 0-10) 6.0
| Net Income (104.91b TTM) > 0 and > 6% of Revenue (6% = 17.63b TTM) |
| FCFTA 0.12 (>2.0%) and ΔFCFTA -1.63pp (YES ≥ +1.0pp, WARN ≥ +0.5pp) |
| NWC/Revenue 18.40% (prev 13.66%; Δ 4.74pp) (YES ≤20% & Δ≤-1pp; WARN ≤25% & Δ≤0 oder ≤40% & Δ≤-3pp) |
| CFO/TA 0.23 (>3.0%) and CFO 147.04b > Net Income 104.91b (YES >=105%, WARN >=100%) |
| Net Debt (31.71b) to EBITDA (169.99b) ratio: 0.19 <= 3.0 (WARN <= 3.5) |
| Current Ratio 1.40 (target 1.5–3.0; WARN 1.2–<1.5 or >3.0–5.0; CFO/TA gate active) |
| Outstanding Shares last Quarter (7.47b) change vs 12m ago -0.05% (target <= -2.0% for YES) |
| Gross Margin 68.76% (prev 69.35%; Δ -0.59pp) >=18% & Δ>=+0.5pp (WARN >=15% & Δ>=0) |
| Asset Turnover 50.69% (prev 48.60%; Δ 2.08pp) >=50% & Δ>=+2pp (WARN >=35% & Δ>=0) |
| Interest Coverage Ratio 52.04 (EBITDA TTM 169.99b / Interest Expense TTM 2.50b) >= 6 (WARN >= 3) |
Altman Z'' 4.77
| (A) 0.08 = (Total Current Assets 189.07b - Total Current Liabilities 135.00b) / Total Assets 636.35b |
| (B) 0.40 = Retained Earnings (Balance) 254.87b / Total Assets 636.35b |
| (C) 0.22 = EBIT TTM 130.16b / Avg Total Assets 579.68b |
| (D) 1.33 = Book Value of Equity 363.08b / Total Liabilities 273.27b |
| Total Rating: 4.77 = (6.56 * A) + (3.26 * B) + (6.72 * C) + (1.05 * D) |
ValueRay F-Score (Strict, 0-100) 90.73
| 1. Piotroski 6.0pt |
| 2. FCF Yield 2.16% |
| 3. FCF Margin 26.55% |
| 4. Debt/Equity 0.17 |
| 5. Debt/Ebitda 0.19 |
| 6. ROIC - WACC (= 18.83)% |
| 7. RoE 31.53% |
| 8. Rev. Trend 97.36% |
| 9. EPS Trend 95.00% |
What is the price of MSFT shares?
As of December 09, 2025, the stock is trading at USD 491.02 with a total of 21,965,802 shares traded.
Over the past week, the price has changed by +0.88%, over one month by -2.78%, over three months by -1.26% and over the past year by +10.90%.
Over the past week, the price has changed by +0.88%, over one month by -2.78%, over three months by -1.26% and over the past year by +10.90%.
Is MSFT a buy, sell or hold?
Microsoft has received a consensus analysts rating of 4.59.
Therefore, it is recommended to buy MSFT.
- Strong Buy: 41
- Buy: 15
- Hold: 5
- Sell: 0
- Strong Sell: 0
What are the forecasts/targets for the MSFT price?
| Issuer | Target | Up/Down from current |
|---|---|---|
| Wallstreet Target Price | 625.4 | 27.4% |
| Analysts Target Price | 625.4 | 27.4% |
| ValueRay Target Price | 591.9 | 20.5% |
MSFT Fundamental Data Overview December 06, 2025
Market Cap USD = 3574.16b (3574.16b USD * 1.0 USD.USD)
P/E Trailing = 34.2235
P/E Forward = 30.4878
P/S = 12.1648
P/B = 9.7794
P/EG = 1.9854
Beta = 1.065
Revenue TTM = 293.81b USD
EBIT TTM = 130.16b USD
EBITDA TTM = 169.99b USD
Long Term Debt = 35.38b USD (from longTermDebt, last quarter)
Short Term Debt = 7.83b USD (from shortTermDebt, last quarter)
Debt = 60.56b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 31.71b USD (from netDebt column, last quarter)
Enterprise Value = 3605.87b USD (3574.16b + Debt 60.56b - CCE 28.85b)
Interest Coverage Ratio = 52.04 (Ebit TTM 130.16b / Interest Expense TTM 2.50b)
FCF Yield = 2.16% (FCF TTM 78.02b / Enterprise Value 3605.87b)
FCF Margin = 26.55% (FCF TTM 78.02b / Revenue TTM 293.81b)
Net Margin = 35.71% (Net Income TTM 104.91b / Revenue TTM 293.81b)
Gross Margin = 68.76% ((Revenue TTM 293.81b - Cost of Revenue TTM 91.78b) / Revenue TTM)
Gross Margin QoQ = 69.05% (prev 68.58%)
Tobins Q-Ratio = 5.67 (Enterprise Value 3605.87b / Total Assets 636.35b)
Interest Expense / Debt = 1.15% (Interest Expense 698.0m / Debt 60.56b)
Taxrate = 19.11% (6.55b / 34.30b)
NOPAT = 105.29b (EBIT 130.16b * (1 - 19.11%))
Current Ratio = 1.40 (Total Current Assets 189.07b / Total Current Liabilities 135.00b)
Debt / Equity = 0.17 (Debt 60.56b / totalStockholderEquity, last quarter 363.08b)
Debt / EBITDA = 0.19 (Net Debt 31.71b / EBITDA 169.99b)
Debt / FCF = 0.41 (Net Debt 31.71b / FCF TTM 78.02b)
Total Stockholder Equity = 332.79b (last 4 quarters mean from totalStockholderEquity)
RoA = 16.49% (Net Income 104.91b / Total Assets 636.35b)
RoE = 31.53% (Net Income TTM 104.91b / Total Stockholder Equity 332.79b)
RoCE = 35.35% (EBIT 130.16b / Capital Employed (Equity 332.79b + L.T.Debt 35.38b))
RoIC = 27.98% (NOPAT 105.29b / Invested Capital 376.34b)
WACC = 9.15% (E(3574.16b)/V(3634.72b) * Re(9.29%) + D(60.56b)/V(3634.72b) * Rd(1.15%) * (1-Tc(0.19)))
Discount Rate = 9.29% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -81.65 | Cagr: -0.01%
[DCF Debug] Terminal Value 74.19% ; FCFE base≈75.88b ; Y1≈77.41b ; Y5≈85.49b
Fair Price DCF = 162.8 (DCF Value 1210.09b / Shares Outstanding 7.43b; 5y FCF grow 1.83% → 3.0% )
EPS Correlation: 95.00 | EPS CAGR: 11.42% | SUE: 0.60 | # QB: 0
Revenue Correlation: 97.36 | Revenue CAGR: 11.45% | SUE: 1.11 | # QB: 1
EPS next Quarter (2026-03-31): EPS=3.91 | Chg30d=-0.008 | Revisions Net=+11 | Analysts=33
EPS current Year (2026-06-30): EPS=15.72 | Chg30d=-0.016 | Revisions Net=+15 | Growth EPS=+15.2% | Growth Revenue=+16.0%
EPS next Year (2027-06-30): EPS=18.63 | Chg30d=-0.003 | Revisions Net=+25 | Growth EPS=+18.5% | Growth Revenue=+15.0%
P/E Trailing = 34.2235
P/E Forward = 30.4878
P/S = 12.1648
P/B = 9.7794
P/EG = 1.9854
Beta = 1.065
Revenue TTM = 293.81b USD
EBIT TTM = 130.16b USD
EBITDA TTM = 169.99b USD
Long Term Debt = 35.38b USD (from longTermDebt, last quarter)
Short Term Debt = 7.83b USD (from shortTermDebt, last quarter)
Debt = 60.56b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 31.71b USD (from netDebt column, last quarter)
Enterprise Value = 3605.87b USD (3574.16b + Debt 60.56b - CCE 28.85b)
Interest Coverage Ratio = 52.04 (Ebit TTM 130.16b / Interest Expense TTM 2.50b)
FCF Yield = 2.16% (FCF TTM 78.02b / Enterprise Value 3605.87b)
FCF Margin = 26.55% (FCF TTM 78.02b / Revenue TTM 293.81b)
Net Margin = 35.71% (Net Income TTM 104.91b / Revenue TTM 293.81b)
Gross Margin = 68.76% ((Revenue TTM 293.81b - Cost of Revenue TTM 91.78b) / Revenue TTM)
Gross Margin QoQ = 69.05% (prev 68.58%)
Tobins Q-Ratio = 5.67 (Enterprise Value 3605.87b / Total Assets 636.35b)
Interest Expense / Debt = 1.15% (Interest Expense 698.0m / Debt 60.56b)
Taxrate = 19.11% (6.55b / 34.30b)
NOPAT = 105.29b (EBIT 130.16b * (1 - 19.11%))
Current Ratio = 1.40 (Total Current Assets 189.07b / Total Current Liabilities 135.00b)
Debt / Equity = 0.17 (Debt 60.56b / totalStockholderEquity, last quarter 363.08b)
Debt / EBITDA = 0.19 (Net Debt 31.71b / EBITDA 169.99b)
Debt / FCF = 0.41 (Net Debt 31.71b / FCF TTM 78.02b)
Total Stockholder Equity = 332.79b (last 4 quarters mean from totalStockholderEquity)
RoA = 16.49% (Net Income 104.91b / Total Assets 636.35b)
RoE = 31.53% (Net Income TTM 104.91b / Total Stockholder Equity 332.79b)
RoCE = 35.35% (EBIT 130.16b / Capital Employed (Equity 332.79b + L.T.Debt 35.38b))
RoIC = 27.98% (NOPAT 105.29b / Invested Capital 376.34b)
WACC = 9.15% (E(3574.16b)/V(3634.72b) * Re(9.29%) + D(60.56b)/V(3634.72b) * Rd(1.15%) * (1-Tc(0.19)))
Discount Rate = 9.29% (= CAPM, Blume Beta Adj.)
Shares Correlation 3-Years: -81.65 | Cagr: -0.01%
[DCF Debug] Terminal Value 74.19% ; FCFE base≈75.88b ; Y1≈77.41b ; Y5≈85.49b
Fair Price DCF = 162.8 (DCF Value 1210.09b / Shares Outstanding 7.43b; 5y FCF grow 1.83% → 3.0% )
EPS Correlation: 95.00 | EPS CAGR: 11.42% | SUE: 0.60 | # QB: 0
Revenue Correlation: 97.36 | Revenue CAGR: 11.45% | SUE: 1.11 | # QB: 1
EPS next Quarter (2026-03-31): EPS=3.91 | Chg30d=-0.008 | Revisions Net=+11 | Analysts=33
EPS current Year (2026-06-30): EPS=15.72 | Chg30d=-0.016 | Revisions Net=+15 | Growth EPS=+15.2% | Growth Revenue=+16.0%
EPS next Year (2027-06-30): EPS=18.63 | Chg30d=-0.003 | Revisions Net=+25 | Growth EPS=+18.5% | Growth Revenue=+15.0%
Additional Sources for MSFT Stock
News:
Wall Street Journal |
Benzinga |
Yahoo Finance
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle
Tweets: X | Stocktwits
Fund Manager Positions: Dataroma | Stockcircle