Microsoft Intrinsic Value | Microsoft Corp (MSFT) (2024)

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Microsoft Intrinsic Value | Microsoft Corp (MSFT)? ›

As of 2024-05-14, the Intrinsic Value of Microsoft Corp (MSFT) is 262.85 USD. This Microsoft valuation is based on the model Discounted Cash Flows (Growth Exit 5Y). With the current market price of 416.56 USD, the upside of Microsoft Corp is -36.9%.

As of today (2024-05-14), Microsoft's Intrinsic Value: Projected FCF is $132.65. The stock price of Microsoft is $412.7952. Therefore, Microsoft's Price-to-Intrinsic-Value-Projected-FCF of today is 3.1.

As of 2024-05-13, the Fair Value of Microsoft Corp (MSFT) is 289.89 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 414.74 USD, the upside of Microsoft Corp is -30.1%.

Fair Value Estimate for Microsoft Stock

With its 3-star rating, we believe Microsoft's stock is fairly valued compared with our long-term fair value estimate of $435 per share, which implies a fiscal 2024 enterprise value/sales multiple of 12 times and an adjusted price/earnings multiple of 37 times.

In Q2 2024 earnings, Microsoft reported EPS of $2.93 was 5.77% higher than the expected $2.77. Then, in revenue, Microsoft beat by 1.45% the estimated revenue of $61.11B. After re-evaluating the stock, I concluded that Microsoft is now slightly overvalued, which prompts a downgrade from "buy" to "hold".

Intrinsic value is the anticipated or calculated value of a company, stock, currency or product determined through fundamental analysis. It includes tangible and intangible factors. Intrinsic value is also called the real value and may or may not be the same as the current market value.

Intrinsic value is how much a particular stock is worth based on how much a company makes on its assets, as well as other factors. Value investors​ may use an intrinsic value formula to determine whether a stock is overvalued or under-priced in the market.

As of today (2024-05-11), Alphabet(Google)'s intrinsic value calculated from the Discounted Cash Flow model is $164.25.

Dividend Data

Microsoft Corporation's ( MSFT ) dividend yield is 0.73%, which means that for every $100 invested in the company's stock, investors would receive $0.73 in dividends per year. Microsoft Corporation's payout ratio is 24.66% which means that 24.66% of the company's earnings are paid out as dividends.

Is it too late to buy Microsoft stock? ›

It's not too late to buy Microsoft's stock

Microsoft's stock isn't cheap, but investors should continue to pay a premium for its shares as long as its cloud and AI businesses keep growing.

Microsoft stock has received a consensus rating of buy. The average rating score is Aaa and is based on 96 buy ratings, 1 hold ratings, and 2 sell ratings. What was the 52-week low for Microsoft stock? The low in the last 52 weeks of Microsoft stock was 307.60.

According to Various Analysts, Microsoft Stock the Price Per Share at $420 by the End of 2024, $480 in 2025, $530 in 2026, $530 — $580 in 2027, $580 — $630 in 2028, $680 in 2029, $730 in 2030, $3,000 or Even $5,000 in 2035, $10,000 in 2040, $50,000 or Even $100,000 in 2050, $50k to $100k+ in 2060, According to ...

Microsoft Stock Investors Should Think Long Term

Microsoft stock's sound track record, combined with its leadership in generative AI and cloud computing, makes it a compelling investment opportunity in 2024.

What is the Intrinsic Value of one AAPL stock? The intrinsic value of one AAPL stock under the Base Case scenario is 131.36 USD.

If you read Berkshire Hathway's manual, Buffett said, “The intrinsic value can be defined simply. It is the discounted value of the cash that can be taken out of a business during its remaining life. As our definition suggests, intrinsic value is an estimate rather than a price figure.