Microsoft Valuation
| MSF Stock | 400.55 0.45 0.11% |
At this time, the firm appears to be overvalued. Microsoft secures a last-minute Real Value of USD380.52 per share. The latest price of the firm is USD400.55. Our model forecasts the value of Microsoft from analyzing the firm fundamentals such as Gross Profit of 55.69 B, price to sales of 9.38 X, and Current Valuation of 1.77 T as well as examining its technical indicators and probability of bankruptcy.
Overvalued
Today
Please note that Microsoft's price fluctuation is very steady at this time. Calculation of the real value of Microsoft is based on 3 months time horizon. Increasing Microsoft's time horizon generally increases the accuracy of value calculation and significantly improves the predictive power of the methodology used.
Microsoft's intrinsic value may or may not be the same as its current market price of 400.55, in which case there is an opportunity to profit from the mispricing, assuming the market price will eventually merge with its intrinsic value. | Historical | Market 400.55 | Real 380.52 | Hype 400.55 | Naive 409.25 |
The intrinsic value of Microsoft's stock can be calculated using various methods such as discounted cash flow analysis, price-to-earnings ratio, or price-to-book ratio. That value may differ from its current market price, which is determined by supply and demand factors such as investor sentiment, market trends, news, and other external factors that may influence Microsoft's stock price. It is important to note that the real value of any stock may change over time based on changes in the company's performance.
Estimating the potential upside or downside of Microsoft helps investors to forecast how Microsoft stock's addition to their portfolios will impact the overall performance. We also use other valuation drivers to help us estimate the true value of Microsoft more accurately as focusing exclusively on Microsoft's fundamentals will not take into account other important factors: Microsoft Total Value Analysis
Microsoft is now anticipated to have takeover price of 1.77 T with market capitalization of 2.28 T, debt of 47.03 B, and cash on hands of . Please note that takeover price may be misleading and is a subject to mistakes in financial statements. We encourage investors to thoroughly investigate all of the Microsoft fundamentals before making investing decisions based on enterprise value of the company| Takeover Price | Market Cap | Debt Obligations | Cash |
1.77 T | 2.28 T | 47.03 B |
Microsoft Investor Information
The company has Price/Earnings To Growth (PEG) ratio of 2.24. Microsoft had not issued any dividends in recent years. Based on the key indicators related to Microsoft's liquidity, profitability, solvency, and operating efficiencyBased on the analysis of, Microsoft is not in a good financial situation at the moment. It has a very high risk of going through financial straits in January.Microsoft Asset Utilization
The concept of asset utilization usually refers to the revenue earned for every dollar of assets a company currently reports. The newest return on assets of Microsoft implies not a very effective usage of assets in December.Microsoft Profitability Analysis
The company reported the revenue of 198.27 B. Net Income was 72.74 B with profit before overhead, payroll, taxes, and interest of 55.69 B.About Microsoft Valuation
The stock valuation mechanism determines Microsoft's current worth on a daily basis. In general, an absolute valuation approach attempts to find the value of Microsoft based exclusively on its fundamental and basic technical indicators. As compared to an absolute model, our relative valuation model uses a comparative analysis of Microsoft. We calculate exposure to Microsoft's market risk, different technical and fundamental indicators, and relevant financial multiples and ratios and then compare them to those of Microsoft's related companies.8 Steps to conduct Microsoft's Valuation Analysis
Company's valuation is the process of determining the worth of any company in monetary terms. It estimates Microsoft's potential worth based on factors such as financial performance, market conditions, growth prospects, and overall economic environment. The result of company valuation is a single number representing a Company's current market value. This value can be used as a benchmark for various financial transactions such as mergers and acquisitions, initial public offerings (IPOs), or private equity investments. To conduct Microsoft's valuation analysis, follow these 8 steps:- Gather financial information: Obtain Microsoft's financial statements, including balance sheets, income statements, and cash flow statements.
- Determine Microsoft's revenue streams: Identify Microsoft's primary sources of revenue, including products or services offered, target markets, and pricing strategies.
- Analyze market data: Research Microsoft's industry and market trends, including the size of the market, growth rate, and competition.
- Establish Microsoft's growth potential: Evaluate Microsoft's management, business model, and growth potential.
- Determine Microsoft's financial performance: Analyze its financial statements to assess its historical performance and future potential.
- Choose a valuation method: Consider the Company's specific circumstances and choose an appropriate valuation method, such as the discounted cash flow (DCF) or comparable analysis method.
- Calculate the value: Apply the chosen valuation method to the financial information and market data to calculate Microsoft's estimated value.
- Review and adjust: Review the results and make necessary adjustments, considering any relevant factors that may have been missed or overlooked.
Additional Tools for Microsoft Stock Analysis
When running Microsoft's price analysis, check to measure Microsoft's market volatility, profitability, liquidity, solvency, efficiency, growth potential, financial leverage, and other vital indicators. We have many different tools that can be utilized to determine how healthy Microsoft is operating at the current time. Most of Microsoft's value examination focuses on studying past and present price action to predict the probability of Microsoft's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Microsoft's price. Additionally, you may evaluate how the addition of Microsoft to your portfolios can decrease your overall portfolio volatility.