MSFT Stock Analysis: Microsoft CDR (CAD Hedged) | TO
Software - Infrastructure | TO, Canada | Market Cap: 5.074.117m CAD | 12M Return: -3.9% | Charts, Fundamentals & Technical Analysis
Avg Turnover: 22.0M
Rev. Trend: 99.9%
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Seasonality 5 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Microsoft is a global technology company that develops software, cloud services, devices, and gaming products for consumers and businesses. Its business spans productivity tools such as Microsoft 365 and LinkedIn; cloud and server offerings, including Azure-related services and SQL Server; and Windows, Xbox, Surface, and search advertising.
The company sells through partners and retail networks, earning revenue from software licenses, subscriptions, cloud services, hardware, and advertising. It operates in the technology sector, with a focus on software infrastructure.
- Azure and AI demand drive Intelligent Cloud revenue growth
- AI infrastructure spending pressures margins and free cash flow
- Copilot adoption boosts Microsoft 365 revenue amid rising competition
| Net Income: 134b TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.09 > 0.02 and ΔFCF/TA -2.74 > 1.0 |
| NWC/Revenue: 11.72% < 20% (prev 23.09%; Δ -11.37% < -1%) |
| CFO/TA 0.30 > 3% & CFO 228b > Net Income 134b |
| Net Debt (-4.40b) to EBITDA (212b): -0.02 < 3 |
| Current Ratio: 1.23 > 1.5 & < 3 |
| Outstanding Shares: last quarter (7.43b) vs 12m ago -0.09% < -2% |
| Gross Margin: 67.94% > 18% (prev 59.36%; Δ 8.58% > 0.5%) |
| Asset Turnover: 48.18% > 50% (prev 34.92%; Δ 13.27% > 0%) |
| Interest Coverage Ratio: 55.39 > 6 (EBIT TTM 169b / Interest Expense TTM 3.05b) |
| A: 0.05 (Total Current Assets 208b - Total Current Liabilities 169b) / Total Assets 758b |
| B: 0.43 (Retained Earnings 328b / Total Assets 758b) |
| C: 0.25 (EBIT TTM 169b / Avg Total Assets 689b) |
| D: 1.40 (Book Value of Equity 442b / Total Liabilities 316b) |
| Altman-Z'' = 4.87 = AA |
| DSRI: 0.75 (Receivables 80.9b/69.9b, Revenue 332b/216b) |
| GMI: 0.87 (GM 59.36% / 67.94%) |
| AQI: 0.88 (AQ_t 0.28 / AQ_t-1 0.32) |
| SGI: 1.54 (Revenue 332b / 216b) |
| TATA: -0.12 (NI 134b - CFO 228b) / TA 758b) |
| Beneish M = -3.04 (Cap -4..+1) = AA |
As of November 03, 2026, the stock is trading at CAD 35.28 with a total of 1,238,967 shares traded. Over the past week, the price has changed by -4.91%, over one month by -2.24%, over three months by +2.51% and over the past year by -3.86%.
Current recommended Stop Loss: 33.50 (which is 5% or 2.1 ATR below the current price).
Microsoft CDR (CAD Hedged) has no consensus analysts rating.
Market Cap USD = 3626b (5074b CAD * 0.7147 CAD.USD)
P/E Trailing = 30.1983
P/E Forward = 23.5849
P/S = 15.2909
P/B = 7.8446
P/EG = 1.517
Revenue TTM = 332b USD
EBIT TTM = 169b USD
EBITDA TTM = 212b USD
Long Term Debt = 31.1b USD (from longTermDebt, last quarter)
Short Term Debt = 9.23b USD (from shortLongTermDebt, last quarter)
Debt = 16.5b USD (Leases only: 16.5b)
Net Debt = -4.40b USD (calculated: Debt 16.5b - CCE 20.9b)
Enterprise Value = 3622b USD (3626b + Debt 16.5b - CCE 20.9b)
Interest Coverage Ratio = 55.39 (Ebit TTM 169b / Interest Expense TTM 3.05b)
EV/FCF = 54.07x (Enterprise Value 3622b / FCF TTM 67.0b)
FCF Yield = 1.85% (FCF TTM 67.0b / Enterprise Value 3622b)
FCF Margin = 20.19% (FCF TTM 67.0b / Revenue TTM 332b)
Net Margin = 40.31% (Net Income TTM 134b / Revenue TTM 332b)
Gross Margin = 67.94% ((Revenue TTM 332b - Cost of Revenue TTM 106b) / Revenue TTM)
Gross Margin QoQ = 67.20% (prev 67.63%)
Tobins Q-Ratio = 4.78 (Enterprise Value 3622b / Total Assets 758b)
Interest Expense / Debt = 18.46% (Interest Expense 3.05b / Debt 16.5b)
Taxrate = 19.40% (32.2b / 166b)
NOPAT = 136b (EBIT 169b * (1 - 19.40%))
Current Ratio = 1.23 (Total Current Assets 208b / Total Current Liabilities 169b)
Debt / Equity = 0.04 (Debt 16.5b / totalStockholderEquity, last quarter 442b)
Debt / EBITDA = -0.02 (Net Debt -4.40b / EBITDA 212b)
Debt / FCF = -0.07 (Net Debt -4.40b / FCF TTM 67.0b)
Total Stockholder Equity = 403b (last 4 quarters mean from totalStockholderEquity)
RoA = 19.42% (Net Income 134b / Total Assets 758b)
RoE = 33.22% (Net Income TTM 134b / Total Stockholder Equity 403b)
RoCE = 38.96% (EBIT 169b / Capital Employed (Equity 403b + L.T.Debt 31.1b))
RoIC = 23.77% (NOPAT 136b / Invested Capital 573b)
WACC = 10.18% (E(3626b)/V(3643b) * Re(10.16%) + D(16.5b)/V(3643b) * Rd(18.46%) * (1-Tc(0.19)))
Discount Rate = 10.16% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -93.45 | Cagr: -0.07%
[DCF] Terminal Value 68.22% ; FCFF base≈68.8b ; Y1≈65.4b ; Y5≈62.0b
[DCF] Fair Price = 5.41 (EV 746b - Net Debt -4.40b = Equity 751b / Shares 139b; r=10.18% [WACC]; 5y FCF grow -6.46% → 2.50% )
Revenue Correlation: 99.89 | Revenue CAGR: 16.35% | SUE: N/A | # QB: 0
EPS current Quarter (2026-12-31): EPS=0.00 | Chg30d=N/A | Revisions=N/A | Analysts=0
EPS current Year (2027-06-30): EPS=0.00 | Chg30d=N/A | Revisions=N/A | GrowthEPS=+0.0% | GrowthRev=+18.0%
EPS next Year (2028-06-30): EPS=0.00 | Chg30d=N/A | Revisions=N/A | GrowthEPS=+0.0% | GrowthRev=+19.7%