Microsoft Buy Hold or Sell Recommendation

MSFT -- USA Stock  

USD 138.79  5.40  4.05%

Given the investment horizon of 30 days, and your above average risk tolerance our recommendation regarding Microsoft Corporation is 'Strong Hold'. Macroaxis provides Microsoft buy hold or sell recommendation only in the context of selected investment horizon and investor attitude towards risk assumed by holding MSFT positions. The advice algorithm takes into account all of Microsoft available fundamental, technical, and predictive indicators you will find on this site. The advice is provided from MSFT buy-and-hold prospective. Please see also Microsoft Analyst Recommendation to compare Macroaxis Buy or Sell Recommendation with the current analyst consensus. To check ratings for muliple equity instruments please use Instant Ratings tool.

Time Horizon

Risk Tolerance

Symbol
Execute Advice
Sell MicrosoftBuy Microsoft
Strong Hold

Volatility

Hype Condition

Current Valuation

Odds of Distress

Economic Sensitivity

Analyst Consensus

Piotroski F Score

Financial Leverage

For the selected time horizon Microsoft Corporation has a risk adjusted performance of 0.009, jensen alpha of 0.1176, total risk alpha of 0.1393, sortino ratio of 0.0619 and treynor ratio of (0.001145)
Macroaxis provides buy or sell recommendations on Microsoft to complement and cross-verify current analyst consensus on Microsoft. Our advice engine determines the firm potential to grow exclusively from the prospective of investors current risk tolerance and investing horizon. To make sure Microsoft is not overpriced, please verify all Microsoft Corporation fundamentals including its Cash per Share, Beta and the relationship between Revenue and Cash Flow from Operations . Given that Microsoft has Price to Earning of 27.35X, we recommend you check Microsoft market performance and probability of bankruptcy to make sure the company can sustain itself in the current economic cycle given your last-minute risk tolerance and investing horizon.

Microsoft Trading Alerts and Improvement Suggestions

Microsoft has high financial leverage indicating that it may have difficulties to generate enough cash to satisfy its financial obligations
About 75.0% of the company shares are owned by institutional investors

Microsoft current analysts recommendations

Target Median Price155.00
Target Mean Price154.41
Recommendation Mean1.70
Target High Price170.00
Number Of Analyst Opinions32
Target Low Price93.00

Microsoft Returns Distribution Density

Mean Return0.008646Value At Risk3.19
Potential Upside1.88Standard Deviation1.38
 Return Density 
      Distribution 

Institutional Investors

Security TypeSharesValue
Vanguard Group IncCommon Shares613 M82.1 B
Blackrock IncCommon Shares505.7 M67.7 B
State Street CorpCommon Shares313.1 M41.9 B
Fmr LlcCommon Shares244.5 M32.8 B
Price T Rowe Associates IncCommon Shares194.1 M26 B
Capital World InvestorsCommon Shares184.2 M24.7 B
Geode Capital Management LlcCommon Shares104.6 M14 B

Microsoft Greeks

α
Alpha over DOW
=0.12
β
Beta against DOW=1.18
σ
Overall volatility
=1.38
Ir
Information ratio =0.07

Microsoft Volatility Alert

Microsoft Corporation has relatively low volatility with skewness of -0.8 and kurtosis of 0.97. However, we advise all investors to independently investigate Microsoft Corporation to ensure market all accessible information is consistent with the expectations about its upside potential and future risk-adjusted return.
    
 Better Than Average     
    
 Worse Than Average Compare Microsoft to competition

Microsoft Fundamental Vs Peers

FundamentalsMicrosoftPeer Average
Return On Equity42.41% (0.31)%
Return On Asset9.85% (0.14)%
Profit Margin31.18% (1.27)%
Operating Margin43.36% (5.51)%
Current Valuation992.03B16.62B
Shares Outstanding7.66B571.82M
Shares Owned by Insiders1.41% 10.09%
Shares Owned by Institutions74.70% 39.21%
Number of Shares Shorted53.07M4.71M
Price to Earning27.35X28.72X
Price to Book10.34X9.51X
Price to Sales8.40X11.42X
Revenue125.84B9.43B
Gross Profit82.93B27.38B
EBITDA54.56B3.9B
Net Income39.24B570.98M
Cash and Equivalents133.83B2.7B
Cash per Share17.53X5.01X
Total Debt86.46B5.32B
Debt to Equity84.40% 48.70%
Current Ratio2.53X2.16X
Book Value Per Share13.39X1.93K
Cash Flow from Operations30.93B971.22M
Short Ratio2.41X4.00X
Earnings Per Share5.06X3.12X
Price to Earnings To Growth1.76X4.89X
Number of Employees144K18.84K
Beta0.97-0.15
Market Capitalization1060B19.03B
Total Asset193.47B29.47B
Retained Earnings2.11B9.33B
Working Capital80.3B1.48B
Current Asset139.66B9.34B
   Sale by William Gates of 200000 shares of Microsoft [view details]
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