Microsoft (MSFT) Stock Price, News & Analysis

Company Overview

Microsoft Corporation develops and supports software, services, devices and solutions worldwide. The Productivity and Business Processes segment offers office, exchange, SharePoint, Microsoft Teams, office 365 Security and Compliance, Microsoft viva, and Microsoft 365 copilot; and office consumer services, such as Microsoft 365 consumer subscriptions, Office licensed on-premises, and other office services. This segment also provides LinkedIn; and dynamics business solutions, including Dynamics 365, a set of intelligent, cloud-based applications across ERP, CRM, power apps, and power automate; and on-premises ERP and CRM applications. The Intelligent Cloud segment offers server products and cloud services, such as azure and other cloud services; SQL and windows server, visual studio, system center, and related client access licenses, as well as nuance and GitHub; and enterprise services including enterprise support services, industry solutions, and nuance professional services. The More Personal Computing segment offers Windows, including windows OEM licensing and other non-volume licensing of the Windows operating system; Windows commercial comprising volume licensing of the Windows operating system, windows cloud services, and other Windows commercial offerings; patent licensing; and windows Internet of Things; and devices, such as surface, HoloLens, and PC accessories. Additionally, this segment provides gaming, which includes Xbox hardware and content, and first- and third-party content; Xbox game pass and other subscriptions, cloud gaming, advertising, third-party disc royalties, and other cloud services; and search and news advertising, which includes Bing, Microsoft News and Edge, and third-party affiliates. The company sells its products through OEMs, distributors, and resellers; and directly through digital marketplaces, online, and retail stores. The company was founded in 1975 and is headquartered in Redmond, Washington.

Key Stats

• Today's Range: $527.24 to $537.30
• 50-Day Range: $457.36 to $535.64
• 52-Week Range: $344.79 to $555.45
• Volume: 19.13 million shs
• Average Volume: 19.35 million shs
• Market Capitalization: $3.92 trillion
• P/E Ratio: 38.69
• Dividend Yield: 0.63%
• Price Target: $609.86
• Consensus Rating: Moderate Buy

Microsoft Stock Analysis - MarketRank™

Microsoft scored higher than 99% of companies evaluated by MarketBeat, and ranked 17th out of 1,308 stocks in the computer and technology sector. Scores are calculated by averaging available category scores, with extra weight given to analysis and valuation.

Analyst's Opinion

• Score: 3.5 / 5
• Analyst Rating: Moderate Buy

Consensus Rating

Microsoft has received a consensus rating of Moderate Buy. The company's average rating score is 2.94, and is based on 30 buy ratings, 2 hold ratings, and no sell ratings.

Amount of Analyst Coverage

Microsoft has been the subject of 25 research reports in the past 90 days, demonstrating strong analyst interest in this stock.

Earnings and Valuation

• Score: 1.9 / 5
• Proj. Earnings Growth: 12.39%

Earnings Growth

Earnings for Microsoft are expected to grow by 12.39% in the coming year, from $13.08 to $14.70 per share.

Price to Earnings Ratio vs. the Market

The P/E ratio of Microsoft is 38.69, which means that it is trading at a more expensive P/E ratio than the market average P/E ratio of about 27.82.

Price to Earnings Ratio vs. Sector

The P/E ratio of Microsoft is 38.69, which means that it is trading at a less expensive P/E ratio than the Computer and Technology sector average P/E ratio of about 49.21.

Price to Earnings Growth Ratio

Microsoft has a PEG Ratio of 2.34. PEG Ratios above 1 indicate that a company could be overvalued.

Price to Book Value per Share Ratio

Microsoft has a P/B Ratio of 11.42. P/B Ratios above 3 indicate that a company could be overvalued with respect to its assets and liabilities.

Short Interest

• Score: 5.0 / 5
• Short Interest Level: Healthy

Percentage of Shares Shorted

0.73% of the float of Microsoft has been sold short.

Short Interest Ratio / Days to Cover

Microsoft has a short interest ratio ("days to cover") of 2.7, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Microsoft has recently decreased by 5.40%, indicating that investor sentiment is improving significantly.

Dividend

• Score: 3.3 / 5
• Dividend Strength: Strong

Dividend Yield

Microsoft has a dividend yield of 0.62%, which is in the bottom 25% of all stocks that pay dividends.

Dividend Growth

Microsoft has been increasing its dividend for 23 years.

Dividend Coverage

The dividend payout ratio of Microsoft is 24.34%. This payout ratio is at a healthy, sustainable level, below 75%.

Dividend Sustainability

Based on earnings estimates, Microsoft will have a dividend payout ratio of 22.59% next year. This indicates that Microsoft will be able to sustain or increase its dividend.

Sustainability and ESG

• Score: 2.9 / 5
• Environmental Score: -0.75

Percentage of Shares Shorted

0.73% of the float of Microsoft has been sold short.

Short Interest Ratio / Days to Cover

Microsoft has a short interest ratio ("days to cover") of 2.7, which is generally considered an acceptable ratio of short interest to trading volume.

Change versus previous month

Short interest in Microsoft has recently decreased by 5.40%, indicating that investor sentiment is improving significantly.

News and Social Media

• Score: 3.8 / 5
• News Sentiment: 0.90

News Sentiment

Microsoft has a news sentiment score of 0.90. This score is calculated as an average of sentiment of articles about the company over the last seven days and ranges from 2 (good news) to -2 (bad news). This is a higher news sentiment than the 0.57 average news sentiment score of Computer and Technology companies.

News Coverage This Week

MarketBeat has tracked 412 news articles for Microsoft this week, compared to 195 articles on an average week.

Search Interest

420 people have searched for MSFT on MarketBeat in the last 30 days. This is an increase of 44% compared to the previous 30 days.

MarketBeat Follows

509 people have added Microsoft to their MarketBeat watchlist in the last 30 days. This is an increase of 63% compared to the previous 30 days.

Company Ownership

• Score: 2.5 / 5
• Insider Trading: Selling Shares

Insider Buying vs. Insider Selling

In the past three months, Microsoft insiders have sold more of their company's stock than they have bought. Specifically, they have bought $0.00 in company stock and sold $27,520,933.00 in company stock.

Percentage Held by Insiders

Only 0.03% of the stock of Microsoft is held by insiders.

Percentage Held by Institutions

71.13% of the stock of Microsoft is held by institutions. High institutional ownership can be a signal of strong market trust in this company.

MSFT Stock Analysis - Frequently Asked Questions

How have MSFT shares performed this year?

Microsoft's stock was trading at $421.50 at the beginning of the year. Since then, MSFT stock has increased by 25.2% and is now trading at $527.75.

How were Microsoft's earnings last quarter?

Microsoft Corporation (NASDAQ:MSFT) announced its quarterly earnings results on Wednesday, July, 30th. The software giant reported $3.65 earnings per share for the quarter, topping analysts' consensus estimates of $3.35 by $0.30. Microsoft's revenue for the quarter was up 18.1% on a year-over-year basis.
Read the conference call transcript.

Is Microsoft doing a stock buyback?

Microsoft's Board of Directors initiated a stock repurchase program on Monday, September 16th 2024, which authorizes the company to buy back $60,000,000,000 in shares, according to EventVestor. This means that the company could buy up to 1.9% of its stock through open market purchases. Stock buyback programs are typically a sign that the company's leadership believes its stock is undervalued.

Does Microsoft have any subsidiaries?

Microsoft subsidiaries include these companies: Miburo, Minit, Activision Blizzard, Xandr, Two Hat Security, Clear Software, Ally.io, and others.

Who are Microsoft's major shareholders?

Top institutional shareholders of Microsoft include Kingstone Capital Partners Texas LLC (1.22%), Bank of New York Mellon Corp (0.76%), Jennison Associates LLC (0.30%) and Sumitomo Mitsui Trust Group Inc. (0.25%). Insiders that own company stock include Corp Microsoft, Satya Nadella, Amy Hood, Bradford L Smith, Kathleen T Hogan, Christopher David Young, Judson Althoff, Christopher C Capossela, Christopher C Capossela, Takeshi Numoto, Amy Coleman and Teri List.
View institutional ownership trends.

How do I buy shares of Microsoft?

Shares of MSFT stock can be purchased through any online brokerage account. Popular online brokerages with access to the U.S. stock market include Charles Schwab, E*TRADE, Fidelity, and Vanguard Brokerage Services.

What other stocks do shareholders of Microsoft own?

Based on aggregate information from My MarketBeat watchlists, some other companies that Microsoft investors own include Meta Platforms (META), Chevron (CVX), Bristol Myers Squibb (BMY), Comcast (CMCSA), Charles Schwab (SCHW), McKesson (MCK) and Edwards Lifesciences (EW).

Company Calendar

• Record date for 6/12 Dividend: 5/15/2025
• Ex-Dividend for 6/12 Dividend: 5/15/2025
• Dividend Payable: 6/12/2025
• Last Earnings: 7/30/2025
• Today: 8/05/2025
• Record date for 9/11 Dividend: 8/21/2025
• Ex-Dividend for 9/11 Dividend: 8/21/2025
• Dividend Payable: 9/11/2025
• Fiscal Year End: 6/30/2026

Industry, Sector and Symbol

• Stock Exchange: NASDAQ
• Sector: Computer and Technology
• Industry: COMP - SOFTWARE
• Sub-Industry: Systems Software
• Current Symbol: NASDAQ:MSFT
• CIK: 789019
• Web: www.microsoft.com
• Phone: (425) 882-8080
• Fax: 425-706-7329
• Employees: 228,000
• Year Founded: 1975

Price Target and Rating

• Average Price Target for Microsoft: $609.86
• High Price Target: $675.00
• Low Price Target: $475.00
• Potential Upside/Downside: +15.6%
• Consensus Rating: Moderate Buy
• Rating Score (0-4): 2.94
• Research Coverage: 32 Analysts

Profitability

• EPS (Trailing Twelve Months): $13.64
• Trailing P/E Ratio: 38.69
• Forward P/E Ratio: 40.35
• P/E Growth: 2.31
• Net Income: $101.83 billion
• Net Margins: 36.15%
• Pretax Margin: 43.88%
• Return on Equity: 32.44%
• Return on Assets: 18.20%

Debt

• Debt-to-Equity Ratio: 0.12
• Current Ratio: 1.35
• Quick Ratio: 1.35

Sales & Book Value

• Annual Sales: $281.72 billion
• Price / Sales: 13.92
• Cash Flow: $18.42 per share
• Price / Cash Flow: 28.65
• Book Value: $46.21 per share
• Price / Book: 11.42

Miscellaneous

• Outstanding Shares: 7,433,170,000
• Free Float: 7,430,937,000
• Market Cap: $3.92 trillion
• Optionable: Optionable
• Beta: 1.06