Microsoft Corporation
(MSFT : NMS)
Sector: Technology | Industry: Software - Infrastructure
$531.87
-1.65 (-0.31%)
MARKET CAP
$3.95T
FCF YIELD
0.42%
CURRENT PRICE
$531.87
P/E RATIO
29.63x
MODEL INPUTS
Intrinsic Fair Value
$103.84
per share
5-YEAR FREE CASH FLOW PROJECTIONS
| Year | Projected FCF | Discount Factor (WACC) | Present Value (PV) |
|---|---|---|---|
| Base (0) | $16.55B | - | - |
| Year 1 | $21.79B | at 31.7% growth | $19.99B |
| Year 2 | $28.70B | at 31.7% growth | $24.15B |
| Year 3 | $37.80B | at 31.7% growth | $29.18B |
| Year 4 | $49.78B | at 31.7% growth | $35.26B |
| Year 5 | $65.56B | at 31.7% growth | $42.61B |
VALUATION ARITHMETIC
| Valuation Step | Value |
|---|---|
| PV of Projected FCFs (Sum Y1-Y5) | $151.20B |
| Terminal Value (Perpetuity at 2.5%) | $1.03T |
| PV of Terminal Value | $671.87B |
| Enterprise Value (EV) | $823.07B |
| Less: Total Debt | -$128.81B |
| Add: Total Cash & Equivalents | +$76.84B |
| Equity Value | $771.10B |
| Divided by: Shares Outstanding | 7,425,545,491.00 |
| Intrinsic Value (Fair Value per Share) | $103.84 |
FINANCIAL RATIOS & STATS
| Financial Metric | Value |
|---|---|
| Trailing P/E | 29.63x |
| Forward P/E | 22.44x |
| Price-to-Book (P/B) | 8.93x |
| Price-to-Sales (P/S) | 11.90x |
| Net Profit Margin (Net Income / Revenue) | 40.30% |
| Operating Profit Margin (EBIT / Revenue) | 45.11% |
| Return on Equity (ROE) | 34.04% |
| Return on Assets (ROA) | 14.09% |
| Dividend Rate | $3.92 |
| Dividend Yield | 0.74% |
| Ex-Dividend Date | 2026-11-19 |
| Next Earnings Date | 2026-10-28 |