Microsoft Corporation
NASDAQ: MSFT
Stock price
522.61 USD
(+77.25%) 5 years
Financial Performance
5Y price score: 100
The price score is a basic measure of the stock's performance against the S&P 500 Index over a five-year period.
A score of 100 indicates that the stock did as well as the S&P 500 Index.
A score below 100 means the stock underperformed the index, while a score above 100 means it outperformed the S&P 500.
10Y return: 841.9%
%
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349.2
52-week range
553.7
Your model inputs
Your fair value & Margin of safety
To calculate fair value based on cost of capital and terminal growth assumptions above, please select free cash flow forecast.
Forecast:
Valuation
Free Cash Flow Yield
1.7 %
Dividend Yield TTM
0.7 %
Market cap $
$ 3,880,667
Price / Earnings TTM
29.1
Price / Book TTM
8.8
PEG TTM
0.9
Earnings growth and return
LTM
5YR
10YR
Total return (price & dividends)
0.2 %
81.8 %
841.9 %
Free cash flow per share growth
(23.1) %
21.9 %
188.3 %
Earnings per share growth
31.5 %
123 %
754.8 %
Founded: 1,975
Employees: 221,000
Business Summary:
Q&A
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Latest Earnings Call Takeaways
2026 Q4 (Jul 29, 2026)
1) Strategy & Leadership
- Microsoft reported a record fiscal year with annual revenue surpassing $331 billion, up 18% YoY.
- The company aims to empower individuals and organizations through AI, focusing on building a continuous learning loop and retaining core intellectual property.
- Satya Nadella emphasized the importance of AI sovereignty for customers, highlighting partnerships to enhance offerings in Microsoft Sovereign Cloud.
2) Financial & Segment Results
- Q4 revenue reached $90 billion, also up 18% YoY; gross margin percentage was 67%.
- Microsoft Cloud revenue grew 27% to $59.3 billion, with Azure revenue increasing 43% YoY.
- Productivity and Business Processes revenue was $37.8 billion, growing 14%, driven by M365 Commercial cloud and Copilot momentum.
- Operating income increased 21% to over $155 billion for the fiscal year, with earnings per share at $4.74, a 23% increase.
3) Operational & Product Plans
- Microsoft added 31 new data centers across five continents, aiming to double overall capacity in two years.
- The company introduced several AI models and tools, including the MAI family and Foundry, enhancing enterprise AI capabilities.
- Copilot saw significant growth, with over 30 million paid seats and a doubling of net seat adds quarter-over-quarter.
- The introduction of Agent 365 has registered nearly 40 million agents across thousands of companies.
4) Problems / Headwinds
- The More Personal Computing segment saw a revenue decline of 4%, impacted by lower PC market demand and inventory levels.
- Xbox revenue decreased 10%, reflecting challenges in content performance and operational resets.
- Operating expenses increased 10%, driven by investments in R&D and AI infrastructure, which may pressure margins in the short term.
5) Guidance & Outlook / Investor Angle
- For FY '27, Microsoft expects revenue growth to remain in the double digits, despite anticipated declines in certain segments like Windows OEM and Devices.
- Capital expenditures are projected to grow year-over-year, with a focus on meeting demand while maintaining operational efficiency.
- The company expects to remain free cash flow positive and anticipates an effective tax rate of approximately 20%.
Bottom line: Microsoft is positioned for sustained growth, driven by strong cloud demand and AI innovations, despite facing challenges in certain segments. The strategic focus on AI and operational efficiency should enhance long-term shareholder value.
Annual Reports, Presentations And IR Contacts
Go to the website
Microsoft Corporation — Financial Overview, Stock Price, Market Cap
Microsoft Corporation is a company. Founded in 1975. As of October 9, 2026, the company's market capitalization is $3880666685500 with a current stock price of $522.61.