COMPOSITE RISK SCORE
70
LOW RISK
VAL:18/25 · FIN:19/25 · GRO:17/25 · TECH:16/25
📖 P/B RATIO
8.1x
Price to Book
🏛 MARKET CAP
$3.2T
Large Cap
📊 ROE
34.4%
Return on Equity
Overview
Technical
Financials
Analysis
Verdict
🏢 Company Analysis · Microsoft Corporation
💼 BUSINESS MODEL
Microsoft Corporation develops and supports software, services, devices, and solutions worldwide.. The Productivity and Business Processes segment offers Microsoft 365 commercial, enterprise mobility + security, windows commercial, power BI, exchange, sharepoint, Microsoft teams, security and compliance, and copilot; Microsoft 365 commercial products, such as Windows commercial on-premises and office licensed services; Microsoft 365 consumer products and cloud services, including Microsoft 365 consumer subscriptions, office licensed on-premises, and other consumer services; LinkedIn; dynamics products and cloud services, such as dynamics 365, cloud-based applications, and on-premises ERP and CRM applications.. Its Intelligent Cloud segment provides Server products and cloud services comprising Azure and other cloud services, GitHub, Nuance Healthcare, virtual desktop offerings, and other cloud services; server products, including SQL and windows server, visual studio and system center related client access licenses, and other on-premises offerings; enterprise and partner services, such as enterprise support and nuance professional services, industry solutions, Microsoft partner network, and learning experience.. The Personal Computing segment provides windows and devices, such as Windows OEM licensing and devices and surface and PC accessories; gaming services and solutions, such as Xbox hardware, content, and services, first- and third-party content Xbox game pass, subscriptions, and cloud gaming, advertising, and other cloud services; search and news advertising services that includes Bing and Copilot, Microsoft News and Edge, and third-party affiliates.. Operates in Software - Infrastructure within the Technology sector. Workforce of 228,000 employees.
🏰 MOAT & COMPETITION
Mega-cap ($3,154B) — dominant market position with significant scale advantages. ROE of 34.4% indicates strong competitive advantage and efficient capital deployment. Profit margin of 39.0% suggests pricing power / cost moat.
🚀 CATALYSTS
Revenue growing at 17% — strong top-line momentum. Earnings growth of 60% signals execution on profitability.
⚖️ ASYMMETRY CHECK
Analyst target range: $392 — $730 (mean $573, 54 analysts). Favorable asymmetry — upside potential of +72% vs downside floor of -8% (9.5x reward-to-risk).P/E of 26.6x — fair value territory; catalysts needed for re-rating.
🔭 FUTURE OUTLOOK
Analyst consensus: Strong Buy (54 analysts). Latest quarter earnings grew 60% YoY — positive trajectory.
P/E at 27x
P/B at 8.1x
Analyst target: $572.67 (+35.0%)
1Y return: +8.5%
ROE: 34.4%
Profit margin: 39.0%
Revenue growth: 16.7%
Debt/Equity: 32%
Revenue growth: 16.7%
Earnings growth: 59.8%
Beta: 1.11
Sector: Technology
RSI, MACD, MA crossovers
200 DMA & 50 EMA position
Volume trend analysis
Price momentum signals
📈 Price Movement
1D 1W 1M
6M 1Y 3Y 5Y
🕯 Candlestick Chart
1D 1W 1M
6M 1Y 3Y 5Y
🎯 Price Prediction · Analyst Target Cone
📉 Valuation Trends (at current CMP)
P/E P/B MCap/Sales EPS
50.6
44.6
38.5
32.5
26.4
2022
2023
2024
2025
2022: 44.0 2023: 43.8 2024: 36.0 2025: 31.1 31.1
21.8
18.3
14.8
11.3
7.8
2022
2023
2024
2025
2022: 18.9 2023: 15.3 2024: 11.7 2025: 9.2 9.2
18.3
16.1
13.9
11.7
9.5
2022
2023
2024
2025
2022: 15.9 2023: 14.9 2024: 12.9 2025: 11.2 11.2
15.7
13.8
11.9
10.1
8.2
2022
2023
2024
2025
2022: 9.7 2023: 9.7 2024: 11.8 2025: 13.6 13.6
💎 Valuation & Financial Metrics
P/E RATIO
26.6x
Trailing twelve months
P/B RATIO
8.1x
Price to Book value
PROFIT MARGIN
39.0%
Net profit margin
OPM
47.1%
Operating profit margin
ANALYST TARGET
$572.67
Range: $392.00 - $730.00
PEG RATIO
1.35
Price/Earnings to Growth
EV/EBITDA
18.4x
Enterprise value ratio
CURRENT RATIO
1.39
Liquidity measure
DIVIDEND YIELD
85.00%
Annual yield
GROSS MARGIN
68.6%
Gross profit margin
SECTOR BENCHMARKS — SOFTWARE - INFRASTRUCTURE
P/E (fair) 35.0x (sector mid)
P/B (fair) 8.0x (sector mid)
ROE (good) 25% (sector target)
OPM (good) 25% (sector target)
D/E comfort <20 (sector)
📋 Quarterly Performance Trend
Quarter Revenue QoQ % Net Profit QoQ % Op. Cash Flow EBITDA Margin
Q4 '24
$69.6B —
$24.1B —
$22.3B
51.2%
Q1 '25
$70.1B +0.6%
$25.8B +7.1%
$37.0B
58.1%
Q2 '25
$76.4B +9.1%
$27.2B +5.5%
$42.6B
58.1%
Q3 '25
$77.7B +1.6%
$27.7B +1.9%
$45.1B
61.9%
Q4 '25
$81.3B +4.6%
$38.5B +38.6%
$35.8B
71.6%
📊 Year-on-Year Trend
FY Revenue YoY % Net Profit YoY % Op. Cash Flow YoY %
2022
$198.3B —
$72.7B —
$89.0B —
2023
$211.9B +6.9%
$72.4B -0.5%
$87.6B -1.6%
2024
$245.1B +15.7%
$88.1B +21.8%
$118.5B +35.4%
2025
$281.7B +14.9%
$101.8B +15.5%
$136.2B +14.9%
📈 Revenue vs Earnings
Quarterly
Annual
💰 How Microsoft Corporation Makes Its Money
Quarterly
Annual
Revenue
$81.3B
Cost of Revenue
$26.0B
Gross Profit
$55.3B
R&D
$8.5B
SG&A
$8.5B
Operating Inc.
$38.3B
Tax
$9.8B
Interest
$736M
Other
$9.9B
Net Income
$38.5B
(47.3% margin)
Dec 2025 · All values in $ Millions
Revenue
$77.7B
Cost of Revenue
$24.0B
Gross Profit
$53.6B
R&D
$8.1B
SG&A
$7.5B
Operating Inc.
$38.0B
Tax
$6.6B
Interest
$698M
Other
$3.9B
Net Income
$27.7B
(35.7% margin)
Sep 2025 · All values in $ Millions
Revenue
$76.4B
Cost of Revenue
$24.0B
Gross Profit
$52.4B
R&D
$8.8B
SG&A
$9.3B
Operating Inc.
$34.3B
Tax
$5.4B
Interest
$615M
Other
$1.9B
Net Income
$27.2B
(35.6% margin)
Jun 2025 · All values in $ Millions
Revenue
$70.1B
Cost of Revenue
$21.9B
Gross Profit
$48.1B
R&D
$8.2B
SG&A
$7.9B
Operating Inc.
$32.0B
Tax
$5.6B
Interest
$594M
Other
$626M
Net Income
$25.8B
(36.9% margin)
Mar 2025 · All values in $ Millions
Revenue
$281.7B
Cost of Revenue
$87.8B
Gross Profit
$193.9B
R&D
$32.5B
SG&A
$32.9B
Operating Inc.
$128.5B
Tax
$21.8B
Interest
$2.4B
Other
$5.2B
Net Income
$101.8B
(36.1% margin)
Jun 2025 · All values in $ Millions
Revenue
$245.1B
Cost of Revenue
$74.1B
Gross Profit
$171.0B
R&D
$29.5B
SG&A
$32.1B
Operating Inc.
$109.4B
Tax
$19.7B
Interest
$2.9B
Other
$1.9B
Net Income
$88.1B
(36.0% margin)
Jun 2024 · All values in $ Millions
Revenue
$211.9B
Cost of Revenue
$65.9B
Gross Profit
$146.1B
R&D
$27.2B
SG&A
$30.3B
Operating Inc.
$88.5B
Tax
$16.9B
Interest
$2.0B
Net Income
$72.4B
(34.1% margin)
Jun 2023 · All values in $ Millions
Revenue
$198.3B
Cost of Revenue
$62.6B
Gross Profit
$135.6B
R&D
$24.5B
SG&A
$27.7B
Operating Inc.
$83.4B
Tax
$11.0B
Interest
$2.1B
Net Income
$72.7B
(36.7% margin)
Jun 2022 · All values in $ Millions
Dec 2025
Sep 2025
Jun 2025
Mar 2025
🏦 Snapshot of Microsoft Corporation's Balance Sheet
Quarterly
Annual
Total Assets
$665.3B
Cash & Equiv.: $24.3B (3.7%)
Receivables: $56.5B (8.5%)
Inventory: $1.1B (0.2%)
Other Current: $98.3B (14.8%)
PP&E: $286.2B (43.0%)
Goodwill: $119.6B (18.0%)
Other Intangibles: $20.3B (3.0%)
Other Non-Curr.: $59.0B (8.9%)
Liab. + Equity
$665.3B
Current Liab.: $130.0B (19.5%)
Long-Term Debt: $35.4B (5.3%)
Other Liab.: $109.0B (16.4%)
Equity: $390.9B (58.8%)
As of Dec 2025 · All values in $ Millions
Total Assets
$636.4B
Cash & Equiv.: $28.8B (4.5%)
Receivables: $52.9B (8.3%)
Inventory: $1.1B (0.2%)
Other Current: $106.2B (16.7%)
PP&E: $255.7B (40.2%)
Goodwill: $119.5B (18.8%)
Other Intangibles: $21.2B (3.3%)
Other Non-Curr.: $50.9B (8.0%)
Liab. + Equity
$636.4B
Current Liab.: $135.0B (21.2%)
Long-Term Debt: $35.4B (5.6%)
Other Liab.: $102.9B (16.2%)
Equity: $363.1B (57.1%)
As of Sep 2025 · All values in $ Millions
Total Assets
$619.0B
Cash & Equiv.: $30.2B (4.9%)
Receivables: $69.9B (11.3%)
Inventory: $938M (0.2%)
Other Current: $90.0B (14.5%)
PP&E: $229.8B (37.1%)
Goodwill: $119.5B (19.3%)
Other Intangibles: $22.6B (3.7%)
Other Non-Curr.: $56.0B (9.0%)
Liab. + Equity
$619.0B
Current Liab.: $141.2B (22.8%)
Long-Term Debt: $40.2B (6.5%)
Other Liab.: $94.2B (15.2%)
Equity: $343.5B (55.5%)
As of Jun 2025 · All values in $ Millions
Total Assets
$562.6B
Cash & Equiv.: $28.8B (5.1%)
Receivables: $51.7B (9.2%)
Inventory: $848M (0.2%)
Other Current: $75.3B (13.4%)
PP&E: $208.4B (37.0%)
Goodwill: $119.3B (21.2%)
Other Intangibles: $24.0B (4.3%)
Other Non-Curr.: $54.3B (9.6%)
Liab. + Equity
$562.6B
Current Liab.: $114.2B (20.3%)
Long-Term Debt: $39.9B (7.1%)
Other Liab.: $86.6B (15.4%)
Equity: $321.9B (57.2%)
As of Mar 2025 · All values in $ Millions
Total Assets
$619.0B
Cash & Equiv.: $30.2B (4.9%)
Receivables: $69.9B (11.3%)
Inventory: $938M (0.2%)
Other Current: $90.0B (14.5%)
PP&E: $229.8B (37.1%)
Goodwill: $119.5B (19.3%)
Other Intangibles: $22.6B (3.7%)
Other Non-Curr.: $56.0B (9.0%)
Liab. + Equity
$619.0B
Current Liab.: $141.2B (22.8%)
Long-Term Debt: $40.2B (6.5%)
Other Liab.: $94.2B (15.2%)
Equity: $343.5B (55.5%)
As of Jun 2025 · All values in $ Millions
Total Assets
$512.2B
Cash & Equiv.: $18.3B (3.6%)
Receivables: $56.9B (11.1%)
Inventory: $1.2B (0.2%)
Other Current: $83.2B (16.3%)
PP&E: $154.6B (30.2%)
Goodwill: $119.2B (23.3%)
Other Intangibles: $27.6B (5.4%)
Other Non-Curr.: $51.1B (10.0%)
Liab. + Equity
$512.2B
Current Liab.: $125.3B (24.5%)
Long-Term Debt: $42.7B (8.3%)
Other Liab.: $75.7B (14.8%)
Equity: $268.5B (52.4%)
As of Jun 2024 · All values in $ Millions
Total Assets
$412.0B
Cash & Equiv.: $34.7B (8.4%)
Receivables: $48.7B (11.8%)
Inventory: $2.5B (0.6%)
Other Current: $98.4B (23.9%)
PP&E: $110.0B (26.7%)
Goodwill: $67.9B (16.5%)
Other Intangibles: $9.4B (2.3%)
Other Non-Curr.: $40.5B (9.8%)
Liab. + Equity
$412.0B
Current Liab.: $104.1B (25.3%)
Long-Term Debt: $42.0B (10.2%)
Other Liab.: $59.6B (14.5%)
Equity: $206.2B (50.1%)
As of Jun 2023 · All values in $ Millions
Total Assets
$364.8B
Cash & Equiv.: $13.9B (3.8%)
Receivables: $44.3B (12.1%)
Inventory: $3.7B (1.0%)
Other Current: $107.8B (29.5%)
PP&E: $87.5B (24.0%)
Goodwill: $67.5B (18.5%)
Other Intangibles: $11.3B (3.1%)
Other Non-Curr.: $28.8B (7.9%)
Liab. + Equity
$364.8B
Current Liab.: $95.1B (26.1%)
Long-Term Debt: $47.0B (12.9%)
Other Liab.: $56.2B (15.4%)
Equity: $166.5B (45.6%)
As of Jun 2022 · All values in $ Millions
Dec 2025
Sep 2025
Jun 2025
Mar 2025
💸 Looking into Microsoft Corporation's Cash Flow
Quarterly
Annual
Operating CF
$35.8B
Capital Exp.
$29.9B
Free Cash Flow
$5.9B
Dividends
$6.8B
Buybacks
$7.4B
Debt Repaid
$3.0B
FY2025 · All values in $ Millions
Operating CF
$45.1B
Capital Exp.
$19.4B
Free Cash Flow
$25.7B
Dividends
$6.2B
Buybacks
$5.7B
Retained / Other
$13.8B
FY2025 · All values in $ Millions
Operating CF
$42.6B
Capital Exp.
$17.1B
Free Cash Flow
$25.6B
Dividends
$6.2B
Buybacks
$4.5B
Retained / Other
$14.9B
FY2025 · All values in $ Millions
Operating CF
$37.0B
Capital Exp.
$16.7B
Free Cash Flow
$20.3B
Dividends
$6.2B
Buybacks
$4.8B
Debt Repaid
$2.2B
Retained / Other
$7.1B
FY2025 · All values in $ Millions
Operating CF
$136.2B
Capital Exp.
$64.6B
Free Cash Flow
$71.6B
Dividends
$24.1B
Buybacks
$18.4B
Debt Repaid
$3.2B
Retained / Other
$25.9B
FY2025 · All values in $ Millions
Operating CF
$118.5B
Capital Exp.
$44.5B
Free Cash Flow
$74.1B
Dividends
$21.8B
Buybacks
$17.3B
Debt Repaid
$29.1B
Retained / Other
$6.0B
FY2024 · All values in $ Millions
Operating CF
$87.6B
Capital Exp.
$28.1B
Free Cash Flow
$59.5B
Dividends
$19.8B
Buybacks
$22.2B
Debt Repaid
$2.8B
Retained / Other
$14.7B
FY2023 · All values in $ Millions
Operating CF
$89.0B
Capital Exp.
$23.9B
Free Cash Flow
$65.1B
Dividends
$18.1B
Buybacks
$32.7B
Debt Repaid
$9.0B
Retained / Other
$5.3B
FY2022 · All values in $ Millions
FY2025
FY2025
FY2025
FY2025
🎯 EPS: Estimate vs Actual
Estimates
Quarterly
Annual
📅 Quarterly Results
Item Dec '25 Sep '25 Jun '25 Mar '25 Dec '24 Total Revenue $81.27B $77.67B $76.44B $70.07B $69.63B Cost of Revenue $25.98B $24.04B $24.01B $21.92B $21.80B Gross Profit $55.30B $53.63B $52.43B $48.15B $47.83B Operating Expense $17.02B $15.67B $18.10B $16.15B $16.18B Operating Income $38.27B $37.96B $34.32B $32.00B $31.65B Interest Expense $736.0M $698.0M $615.0M $594.0M $594.0M Pretax Income $48.25B $34.30B $32.62B $31.38B $29.36B Tax Provision $9.79B $6.55B $5.38B $5.55B $5.26B Net Income $38.46B $27.75B $27.23B $25.82B $24.11B EBITDA $58.18B $48.06B $44.43B $40.71B $35.63B EPS (Basic) $5.18 $3.73 $3.66 $3.47 $3.24 EPS (Diluted) $5.16 $3.72 $3.65 $3.46 $3.23 Shares Outstanding 7.46B 7.47B 7.46B 7.46B 7.47B
📊 Profit & Loss Statement
Item Jun '25 Jun '24 Jun '23 Jun '22 Total Revenue $281.72B $245.12B $211.91B $198.27B Cost of Revenue $87.83B $74.11B $65.86B $62.65B Gross Profit $193.89B $171.01B $146.05B $135.62B Operating Expense $65.36B $61.58B $57.53B $52.24B Operating Income $128.53B $109.43B $88.52B $83.38B Interest Expense $2.38B $2.94B $1.97B $2.06B Pretax Income $123.63B $107.79B $89.31B $83.72B Tax Provision $21.80B $19.65B $16.95B $10.98B Net Income $101.83B $88.14B $72.36B $72.74B EBITDA $160.16B $133.01B $105.14B $100.24B EPS (Basic) $13.70 $11.86 $9.72 $9.70 EPS (Diluted) $13.64 $11.80 $9.68 $9.65 Shares Outstanding 7.46B 7.47B 7.47B 7.54B
🏦 Balance Sheet
Item Jun '25 Jun '24 Jun '23 Jun '22 Jun '21 Total Assets $619.00B $512.16B $411.98B $364.84B — Current Assets $191.13B $159.73B $184.26B $169.68B — Cash & Equivalents $30.24B $18.32B $34.70B $13.93B — Accounts Receivable $69.91B $56.92B $48.69B $44.26B — Inventory $938.0M $1.25B $2.50B $3.74B — Non-Current Assets $427.87B $352.43B $227.72B $195.16B — Property Plant & Equip $229.79B $154.55B $109.99B $87.55B — Goodwill $119.51B $119.22B $67.89B $67.52B — Intangible Assets $142.11B $146.82B $77.25B $78.82B — Total Liabilities $275.52B $243.69B $205.75B $198.30B — Current Liabilities $141.22B $125.29B $104.15B $95.08B — Accounts Payable $27.72B $22.00B $18.09B $19.00B — Short-Term Debt $3.00B $8.94B $5.25B $2.75B — Long-Term Debt $40.15B $42.69B $41.99B $47.03B — Total Equity $343.48B $268.48B $206.22B $166.54B — Retained Earnings $237.73B $173.14B $118.85B $84.28B — Book Value/Share 201.37B 121.66B 128.97B 87.72B —
💰 Cash Flow Statement
Item Jun '25 Jun '24 Jun '23 Jun '22 Jun '21 Operating Cash Flow $136.16B $118.55B $87.58B $89.03B — Depreciation & Amort. $34.15B $22.29B $13.86B $14.46B — Change in Working Cap $-5.35B $1.82B $-2.39B $446.0M — Capital Expenditure $-64.55B $-44.48B $-28.11B $-23.89B — Free Cash Flow $71.61B $74.07B $59.48B $65.15B — Investing Cash Flow $-72.60B $-96.97B $-22.68B $-30.31B — Acquisitions $-5.98B $-69.13B $-1.67B $-22.04B — Financing Cash Flow $-51.70B $-37.76B $-43.94B $-58.88B — Debt Issued $0 $24.39B $0 $0 — Debt Repaid $-3.22B $-29.07B $-2.75B $-9.02B — Dividends Paid $-24.08B $-21.77B $-19.80B $-18.14B — Share Buyback $-18.42B $-17.25B $-22.25B $-32.70B — Net Change in Cash $11.86B $-16.18B $20.97B $-152.0M —
📈 Key Financial Ratios
Ratio FY2025 FY2024 FY2023 FY2022 Gross Margin % 68.8% 69.8% 68.9% 68.4% Operating Margin % 45.6% 44.6% 41.8% 42.1% Net Margin % 36.1% 36.0% 34.1% 36.7% EBITDA Margin % 56.9% 54.3% 49.6% 50.6% ROE % 29.6% 32.8% 35.1% 43.7% ROA % 16.5% 17.2% 17.6% 19.9% Debt/Equity % 17.6% 25.0% 29.1% 36.8% Current Ratio 1.35 1.27 1.77 1.78 FCF Margin % 25.4% 30.2% 28.1% 32.9% Asset Turnover 0.46 0.48 0.51 0.54
🚀 Compounded Growth Rates
Revenue
1-Year +14.9% 3-Year CAGR +15.3%
Net Profit
1-Year +15.5% 3-Year CAGR +18.6%
EPS
1-Year +15.6% 3-Year CAGR +18.7%
🏭 Industry Peers — Software - Infrastructure
Ticker Company Price P/E P/B MCap ROE Margin Rev Growth AAPL Apple Inc. $269.01 34.1 44.9 $3,949.4B 152.0% 27.0% 15.7% GOOGL Alphabet Inc. $350.42 32.4 10.2 $4,239.2B 35.7% 32.8% 18.0% META Meta Platforms, Inc. $671.57 28.6 7.8 $1,704.7B 30.2% 30.1% 23.8% NVDA NVIDIA Corporation $210.62 43.0 32.5 $5,119.1B 101.5% 55.6% 73.2% ORCL Oracle Corporation $162.84 29.2 14.0 $468.3B 57.6% 25.3% 21.7% CRM Salesforce, Inc. $180.23 23.1 2.8 $147.4B 12.4% 18.0% 12.1% ADBE Adobe Inc. $241.49 14.1 8.6 $97.6B 58.8% 29.5% 12.0% INTC Intel Corporation $92.57 62.9 4.0 $465.3B -2.9% -5.9% 7.2%
Peers selected from Technology sector · Data from Yahoo Finance
🏛 Shareholding Pattern
TOP HOLDERS
Holder Type Shares % Held Vanguard Group Inc Inst 717,942,580 9.67% Blackrock Inc. Inst 601,897,495 8.11% State Street Corporation Inst 306,150,608 4.12% FMR, LLC Inst 200,948,745 2.71% Geode Capital Management, LLC Inst 182,618,400 2.46% VANGUARD INDEX FUNDS-Vanguard Total MF 233,573,777 3.15% VANGUARD INDEX FUNDS-Vanguard 500 I MF 187,420,611 2.52% iShares Trust-iShares Core S&P 500 MF 94,745,626 1.28%
🟢 CATALYSTS
🏆 Positive Revenue Growth: Revenue growing at 16.7% YoY.
💹 High ROE (34.4%): Above sector norm of 25% — efficient capital use.
🔀 Healthy Margins (39.0%): Above sector norm of 25%.
🇺 Analyst Upside (35%): Mean target of $572.67 above current price.
🇸 Earnings Growth (60%): Above sector norm — strong profit expansion.
🔴 RISKS
📜 Market Risk: Broader market correction or sentiment shift could impact stock.
💰 Sector Risk: Regulatory or competitive changes in Technology space.
🔓 Execution Risk: Growth may not meet elevated expectations.
🕸 Factor Analysis · Radar
Momentum 5/10: 1M +18.2%, 6M -21.3%, RSI 62, MACD bullish, Below 200DMA Sentiment 9/10: Analyst upside +35.0%, Rec: strong buy Value 5/10: P/E 26.6, P/B 8.1, PEG 1.35, EV/EBITDA 18.4 Quality 8/10: ROE 34.4%, Margin 39.0%, D/E 32, CR 1.39 Low Volatility 6/10: Beta 1.11, Ann. vol 25% Momentum
5
Sentiment
9
Value
5
Quality
8
Low Vol
6
Momentum 5/10 1M +18.2%, 6M -21.3%, RSI 62, MACD bullish, Below 200DMA
Sentiment 9/10 Analyst upside +35.0%, Rec: strong buy
Value 5/10 P/E 26.6, P/B 8.1, PEG 1.35, EV/EBITDA 18.4
Quality 8/10 ROE 34.4%, Margin 39.0%, D/E 32, CR 1.39
Low Volatility 6/10 Beta 1.11, Ann. vol 25%
🎯 Decision Matrix — Game Theory
Action If Stock Rises If Stock Falls
BUY Capture 35.0% analyst upside OPM of 47% provides margin buffer HOLD Retain existing position; wait for better entry Miss further upside if momentum continues; 1M return of +18.2% shows momentum SELL Lock in +8.5% 1Y return Avoid further drawdown
REASONS TO BUY
Analyst upside of 35.0% with mean target of $572.67
ROE of 34.4% above sector norm of 25%
Revenue growing at 16.7% YoY (sector norm: 12%)
Operating margin of 47% shows pricing power (sector norm: 25%)
REASONS TO SELL / AVOID
No major red flags identified
Microsoft Corporation trades at $424.34 with a composite risk score of 70/100.
The stock scores 18/25 on valuation, 19/25 on financial health, 17/25 on growth, and 16/25 on technicals.
The company is currently profitable with strong return on equity.
Bottom Line: Attractive risk/reward for Technology at current levels. The current recommendation is BUY .
PROFITABLE
HIGH ROE
UPSIDE POTENTIAL