Microsoft Stock Financials

MSFT
 Stock
  

USD 259.58  2.75  1.07%   

Microsoft Corp Earnings Before Interest Taxes and Depreciation Amortization EBITDA are comparatively stable at the moment as compared to the past year. Microsoft Corp reported Earnings Before Interest Taxes and Depreciation Amortization EBITDA of 97.9 Billion in 2021. Earnings before Tax is likely to gain to about 88.2 B in 2022, whereas Average Assets are likely to drop slightly above 304.7 B in 2022.
  
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With this module, you can analyze Microsoft financials for your investing period. You should be able to track the changes in Microsoft Corp individual financial statements over time to develop the understanding of its risk, liquidity, profitability, or other critical and vital indicators.

Microsoft Most Recent Estimates

Quarterly Earnings Growth YOY
0.094
Diluted Eps
9.58
EPS Estimate Current Year
9.3
EPS Estimate Next Year
10.74
EPS Estimate Current Quarter
2.18
Earnings Share
9.58

Revenues

161.58 Billion

Share
Understanding current and past Microsoft Corp Financials, including the trends in assets, liabilities, equity and income are directly related to making proper and timely investing decisions. All of Microsoft Corp's financial statements are interrelated, with each one affecting the others. For example, an increase in Microsoft Corp's assets may result in an increase in income on the income statement.
The fundamental analysis of Microsoft Corp is a critical element in measuring its lifeblood. The essential information of the day-to-day investment outlook for Microsoft Corp includes many different criteria found on its balance sheet. For example, investors should never minimize Microsoft Corp's ability to pay suppliers or employees on time, making sure interest payments are not accumulating or correctly timing where and how to re-invest extra cash. Any individual investor needs to monitor Microsoft Corp's cash flow, debt, and profitability to effectively and accurately make more informed decisions on whether to invest in Microsoft Corp.

Microsoft Corp Cash

Chance Of Financial Distress
Less than 1
Microsoft Corp has less than 1 (%) percent chance of experiencing financial distress in the next two years of operations. The calculation of odds of distress for Microsoft Corp stock is tightly coupled with the Probability of Bankruptcy. It complements the equity performance score by supplying investors with insight into company financials without requiring them to know too much about all of the complex accounting and financial indicators surrounding the entity. More Info
The data published in Microsoft Corp's official financial statements usually reflect Microsoft Corp's business processes, product offerings, services, and other fundamental events. But there are other numbers, ratios, or fundamental indicators derived from these statements that are easier to understand and visualize within the underlying realities that drive quantitative information of Microsoft Corp. For example, before you start analyzing numbers published by Microsoft accountants, it's critical to develop an understanding of what Microsoft Corp's liquidity, profitability, and earnings quality are in the context of the Technology space in which it operates.
Please note, the presentation of Microsoft Corp's financial position, as portrayed in its financial statements, is often influenced by management's estimates, judgments, and sometimes even manipulations. In the best case, Microsoft Corp's management is honest, while the outside auditors are strict and uncompromising. Whatever the case, the imprecision that can be found in Microsoft Corp's accounting process means that the reasonable investor should take a skeptical approach toward the financial statement analysis of Microsoft Corp. Please utilize our Beneish M Score to check the likelihood of Microsoft Corp's management to manipulate its earnings.

Microsoft Corp Company Summary

Microsoft Corp competes with Black Knight, Travelers Companies, Cisco Systems, Coca Cola, and Pfizer. Microsoft Corporation develops, licenses, and supports software, services, devices, and solutions worldwide. Microsoft Corporation was founded in 1975 and is based in Redmond, Washington. Microsoft Corp operates under SoftwareInfrastructure classification in the United States and is traded on NASDAQ Exchange. It employs 181000 people.
Foreign Associates
Specialization
Technology, Software - Infrastructure
InstrumentUSA Stock View All
ExchangeNASDAQ Exchange
CIK Number0000789019
ISINUS5949181045
CUSIP594918104
RegionNorth America
LocationWashington; U.S.A
Business AddressOne Microsoft Way,
SectorTechnology
IndustrySoftware—Infrastructure
BenchmarkDOW
Websitewww.microsoft.com
Phone425 882 8080
CurrencyUSD - US Dollar
You should never invest in Microsoft Corp without having analyzed its financial statements. Do not rely on someone else's analysis or guesses about the future performance of Microsoft Stock, because this is throwing your money away. Analyzing the key information contained in Microsoft Corp's financial statements can give you an edge over other investors and help to ensure that your investments perform well for you.

Microsoft Corp Key Financial Ratios

Generally speaking, Microsoft Corp's financial ratios allow both analysts and investors to convert raw data from Microsoft Corp's financial statements into concise, actionable information that can be used to evaluate the performance of Microsoft Corp over time and compare it to other companies across industries. There are many critical financial ratios that investors are exposed to on a daily basis, but they are usually grouped into few meaningful categories from each financial statement that Microsoft Corp reports annually and quarterly.

Microsoft Corp Key Balance Sheet Accounts

201720182019202020212022 (projected)
Inventories2.66 B2.06 B1.9 B2.64 B2.37 B2.11 B
Receivables26.48 B29.52 B32.01 B38.04 B34.24 B27.24 B
Accounts Payable8.62 B9.38 B12.53 B15.16 B13.65 B14.72 B
Total Assets258.85 B286.56 B301.31 B333.78 B383.85 B325.37 B
Current Assets169.66 B175.55 B181.91 B184.41 B212.07 B191.21 B
Assets Non Current89.19 B111 B119.4 B149.37 B171.78 B185.34 B
Cash and Equivalents133.77 B133.82 B136.53 B130.33 B149.88 B139.71 B
Total Debt81.81 B78.37 B71 B67.78 B77.94 B69.52 B
Debt Current4 B5.52 B3.75 B8.07 B9.28 B8.25 B
Debt Non Current77.81 B72.85 B67.25 B59.7 B68.66 B61.57 B
Deferred Revenue32.72 B37.21 B39.18 B44.14 B50.76 B43.76 B
Shareholders Equity82.72 B102.33 B118.3 B141.99 B163.29 B137.38 B
Inventory2.66 B2.06 B1.9 B2.64 B3.03 B2.84 B
Investments1.86 B2.65 B2.96 B5.98 B5.39 B6.2 B
Total Liabilities176.13 B184.23 B183.01 B191.79 B220.56 B187.99 B
Current Liabilities58.49 B69.42 B72.31 B88.66 B101.96 B85.14 B
Tax Liabilities32.93 B35.51 B31.77 B29.56 B34 B36.68 B

Microsoft Corp Key Income Statement Accounts

An income statement is very similar to a cash flow statement, but instead of showing net revenue minus expenses, it only includes earnings before interest and taxes (EBIT). This number does not have all of the same line items that are on a cash flow statement, but it leaves out non-cash expenses like depreciation and amortization. For example, if you bought $100 worth of goods from Walmart (WMT) using your debit card that has an interest rate of 20%, then paid off the balance at the end of the month with a credit card that charges 30% interest, you would have an income statement showing EBIT of $80 because your expenses are lower than the amount that went into your pocket. The other reason investors look at the income statement is to determine what Microsoft Corp's earnings per share (EPS) will be in order to see if they want to buy more shares or not. For example, if a company earned $20 million in the last quarter and has 100,000 shares outstanding, its EPS is 20 cents. If you find that this number beats analysts' forecasts or is higher than it was from the same period last year, then you might want to buy more of this stock even though its price per share may not have changed.
201720182019202020212022 (projected)
Direct Expenses38.35 B42.91 B46.08 B52.23 B47.01 B37.81 B
Consolidated Income16.57 B39.24 B44.28 B61.27 B70.46 B76.02 B
Cost of Revenue38.35 B42.91 B46.08 B52.23 B60.07 B50.57 B
Gross Profit72.01 B82.93 B96.94 B115.86 B133.23 B111 B
Interest Expense2.73 B2.69 B2.59 B2.35 B2.7 B2.28 B
Net Income16.57 B39.24 B44.28 B61.27 B70.46 B76.02 B
Operating Expenses36.95 B39.97 B43.98 B45.94 B52.83 B48.81 B
Operating Income35.06 B42.96 B52.96 B69.92 B80.4 B86.75 B
Revenues110.36 B125.84 B143.01 B168.09 B193.3 B161.58 B
Income Tax Expense19.9 B4.45 B8.76 B9.83 B11.31 B10.16 B

Microsoft Corp Key Cash Accounts

Cash flow analysis captures how much money flows into and out of Microsoft Corp. It measures of how well Microsoft is doing because it can show the actual money that comes into and out of the company from sales instead of measuring expenses against revenue to determine earnings. You have to read the cash flow statement in three sections. The first section shows how much money Microsoft Corp brought in, usually known as net revenue or sales. This is different from earnings because it does not include expenses when determining net revenue for use on this part of the cash flow statement. Next, are operating activities, which show how much money Microsoft had leftover after paying for its expenses. This number can be calculated in two ways: by subtracting the total of all operating expenses from net revenue or by adding up changes to cash and other assets or liabilities on this part of the statement. The third section is about investing activities, which shows what Microsoft Corp has done with the money that it received from the sale of assets or what it spent to acquire new ones. This section can be broken down into two parts: investing in existing businesses (in other words, buying more stock) and investing in non-business activities like paying off debt or making acquisitions.
201720182019202020212022 (projected)
Capital Expenditure(11.63 B)(13.93 B)(15.44 B)(20.62 B)(18.56 B)(19.05 B)
Depreciation Amortization and Accretion10.26 B11.68 B12.8 B11.69 B13.44 B11.41 B
Net Cash Flow or Change in Cash and Cash Equivalents4.28 B(590 M)2.22 B648 M745.2 M851.11 M
Net Cash Flow Business Acquisitions and Disposals(888 M)(2.39 B)(2.52 B)(8.91 B)(8.02 B)(8.65 B)
Issuance Purchase of Equity Shares(9.72 B)(18.4 B)(21.62 B)(25.69 B)(23.12 B)(23.73 B)
Issuance Repayment of Debt Securities(10.2 B)(4 B)(8.94 B)(5.5 B)(4.95 B)(5.08 B)
Payment of Dividends and Other Cash Distributions(12.7 B)(13.81 B)(15.14 B)(16.52 B)(14.87 B)(16.04 B)
Net Cash Flow from Financing(33.59 B)(36.89 B)(46.03 B)(48.49 B)(43.64 B)(44.79 B)
Net Cash Flow from Investing(6.06 B)(15.77 B)(12.22 B)(27.58 B)(31.71 B)(34.22 B)
Net Cash Flow Investment Acquisitions and Disposals6.56 B540 M6.98 B2.88 B3.31 B3.57 B
Net Cash Flow from Operations43.88 B52.19 B60.67 B76.74 B88.25 B70.44 B
Effect of Exchange Rate Changes on Cash50 M(115 M)(201 M)(29 M)(26.1 M)(28.16 M)
Share Based Compensation3.94 B4.65 B5.29 B6.12 B7.04 B5.67 B

Microsoft Financial Ratios Relationships

Comparative valuation techniques use various fundamental indicators to help in determining Microsoft Corp's current stock value. Our valuation model uses many indicators to compare Microsoft Corp value to that of its competitors to determine the firm's financial worth. You can analyze the relationship between different fundamental ratios across Microsoft Corp competition to find correlations between indicators driving Microsoft Corp's intrinsic value. More Info.
Microsoft Corp is considered to be number one stock in shares owned by insiders category among related companies. It is considered to be number one stock in book value per share category among related companies creating about  289.14  of Book Value Per Share per Shares Owned by Insiders. Microsoft Corp Book Value per Share is comparatively stable at the moment as compared to the past year. Microsoft Corp reported Book Value per Share of 21.64 in 2021. Comparative valuation analysis is a catch-all model that can be used if you cannot value Microsoft Corp by discounting back its dividends or cash flows. This model doesn't attempt to find an intrinsic value for Microsoft Corp's Stock . Still, instead, it compares the stock's price multiples to a benchmark or nearest competition to determine if the stock is relatively undervalued or overvalued. The reason why the comparable model can be used in almost all circumstances is due to the vast number of multiples that can be utilized, such as the price-to-earnings (P/E), price-to-book (P/B), price-to-sales (P/S), price-to-cash flow (P/CF), and many others. The P/E ratio is the most commonly used of these ratios because it focuses on the Microsoft Corp's earnings, one of the primary drivers of an investment's value.

Microsoft Corp Systematic Risk

Microsoft Corp's systematic risk plays a vital role in portfolio allocation when considering its stock to be added to a well-diversified portfolio. Microsoft Corp volatility which cannot be eliminated through diversification, requires returns over the risk-free rate. Over the long run, a well-diversified portfolio provides returns that match its exposure to systematic risk. In this case, investors face a trade-off between expected returns and systematic risk and, therefore, can only reduce a portfolio's exposure to systematic risk by sacrificing expected returns on the portfolio.
The output start index for this execution was five with a total number of output elements of fifty-six. The Beta measures systematic risk based on how returns on Microsoft Corp correlated with the market. If Beta is less than 0 Microsoft Corp generally moves in the opposite direction as compared to the market. If Microsoft Corp Beta is about zero movement of price series is uncorrelated with the movement of the benchmark. if Beta is between zero and one Microsoft Corp is generally moves in the same direction as, but less than the movement of the market. For Beta = 1 movement of Microsoft Corp is generally in the same direction as the market. If Beta > 1 Microsoft Corp moves generally in the same direction as, but more than the movement of the benchmark.
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About Microsoft Corp Financials

What exactly are Microsoft Corp Financials? Typically, a company's financial statements are the reports that show the financial position of the company. Three primary documents fall into the category of financial statements. These documents include Microsoft Corp's income statement, its balance sheet, and the statement of cash flows. Potential Microsoft Corp investors and stakeholders use financial statements to determine how well the company is positioned to perform in the future. Although Microsoft Corp investors may use each financial statement separately, they are all related. The changes in Microsoft Corp's assets and liabilities, for example, are also reflected in the revenues and expenses that we see on Microsoft Corp's income statement, which results in the company's gains or losses. Cash flows can provide more information regarding cash listed on a balance sheet, but not equivalent to net income shown on the income statement. Please read more on our technical analysis and fundamental analysis pages.
There are several different ways that investors can use financial statements to try and predict whether a stock price will go up or down. Unfortunately, there is no surefire formula, but there are some general guidelines that you should keep in mind when looking at the numbers. First, realize what kind of company it is so you know if its revenues are more likely to grow or shrink over time. For example, a software company's revenue is expected to increase year after year due to new products and services that its customers will want to buy. At the same time, a car manufacturer might not be able to sell as many cars when the economy slows down, so it would have less net income during those times. Second, pay attention to its debt to equity ratio because this number will tell you how much risk it has. If a company such as Microsoft Corp is not taking on any additional risks, its debt-to-equity should be less than one. As a general rule of thumb, if the market value or book value (which can be found in the footnotes) of assets exceeds the company's liabilities, then it is probably in good shape. Finally, use other financial statements to try and figure out if a stock price will go up or down because investors are always looking for growth opportunities when they buy new stocks. For example, if you see that net revenue of Microsoft grown by more than 25% over the last five years, then there is a good chance that it will continue growing at least by 20% or more each year. On the other hand, if you see that net revenue has only grown by about 15%, which is barely above inflation levels, then chances are it will not grow much faster than this over time, and investors may shy away from buying it.

Microsoft Corp Thematic Clasifications

Microsoft Corp is part of several thematic ideas from Driverless Cars to Artificial Intelligence. If you are a theme-oriented, socially responsible, and at the same time, a result-driven investor, you can align your investing habits with your values without jeopardizing your expectations about returns. You can easily create an optimal portfolio of stocks, ETFs, funds, or cryptocurrencies based on a specific theme of your liking. Get More Thematic Ideas
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Microsoft Corp July 2, 2022 Opportunity Range

Along with financial statement analysis, the daily predictive indicators of Microsoft Corp help investors to analyze its daily demand and supply, volume, patterns, and price swings to determine the real value of Microsoft Corp. We use our internally-developed statistical techniques to arrive at the intrinsic value of Microsoft Corp based on widely used predictive technical indicators. In general, we focus on analyzing Microsoft Stock price patterns and their correlations with different microeconomic environment and drivers. We also apply predictive analytics to build Microsoft Corp's daily price indicators and compare them against related drivers.
Information Ratio(0.035662)
Maximum Drawdown9.36
Value At Risk(4.24)
Potential Upside2.97
Additionally, see Stocks Correlation. Note that the Microsoft Corp information on this page should be used as a complementary analysis to other Microsoft Corp's statistical models used to find the right mix of equity instruments to add to your existing portfolios or create a brand new portfolio. You can also try Money Flow Index module to determine momentum by analyzing Money Flow Index and other technical indicators.

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When running Microsoft Corp price analysis, check to measure Microsoft Corp'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 Corp is operating at the current time. Most of Microsoft Corp's value examination focuses on studying past and present price action to predict the probability of Microsoft Corp's future price movements. You can analyze the entity against its peers and financial market as a whole to determine factors that move Microsoft Corp's price. Additionally, you may evaluate how the addition of Microsoft Corp to your portfolios can decrease your overall portfolio volatility.
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Is Microsoft Corp's industry expected to grow? Or is there an opportunity to expand the business' product line in the future? Factors like these will boost the valuation of Microsoft Corp. If investors know Microsoft will grow in the future, the company's valuation will be higher. The financial industry is built on trying to define current growth potential and future valuation accurately. All the valuation information about Microsoft Corp listed above have to be considered, but the key to understanding future value is determining which factors weigh more heavily than others.
Quarterly Earnings Growth YOY
0.094
Market Capitalization
1941.4 B
Quarterly Revenue Growth YOY
0.18
Return On Assets
0.16
Return On Equity
0.49
The market value of Microsoft Corp is measured differently than its book value, which is the value of Microsoft that is recorded on the company's balance sheet. Investors also form their own opinion of Microsoft Corp's value that differs from its market value or its book value, called intrinsic value, which is Microsoft Corp's true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because Microsoft Corp's market value can be influenced by many factors that don't directly affect Microsoft Corp's underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between Microsoft Corp's value and its price as these two are different measures arrived at by different means. Investors typically determine Microsoft Corp value by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Microsoft Corp's price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.