Microsoft Stock Performance

MSFT Stock  USD 417.32  0.90  0.22%   
Microsoft has a performance score of 12 on a scale of 0 to 100. The company secures a Beta (Market Risk) of 0.66, which conveys possible diversification benefits within a given portfolio. As returns on the market increase, Microsoft returns are expected to increase less than the market. However, during the bear market, the loss on holding Microsoft will be expected to be smaller as well. Although it is important to respect Microsoft price patterns, it is better to be realistic regarding the information on the equity's historical price patterns. Microsoft right now secures a risk of 1.18%. Please verify Microsoft value at risk, and the relationship between the jensen alpha and skewness to decide if Microsoft will be following its current price movements.

Risk-Adjusted Performance

12 of 100

 
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Compared to the overall equity markets, risk-adjusted returns on investments in Microsoft are ranked lower than 12 (%) of all global equities and portfolios over the last 90 days. In spite of comparatively weak technical and fundamental indicators, Microsoft may actually be approaching a critical reversion point that can send shares even higher in April 2024. ...more

Actual Historical Performance (%)

One Day Return
(2.07)
Five Day Return
3.14
Year To Date Return
12.28
Ten Year Return
994.4
All Time Return
428.2 K
Forward Dividend Yield
0.0072
Payout Ratio
0.2586
Last Split Factor
2:1
Forward Dividend Rate
3
Dividend Date
2024-06-13
1
US House Forms Task Force to Navigate Stalled AI Legislation with Bipartisan Approach
02/20/2024
2
Microsoft confirms its working on a new next-gen Xbox console heres what we know so far
02/26/2024
3
Microsoft investigates claims of chatbot Copilot producing harmful responses
02/28/2024
4
Copilot for OneDrive will fetch your files and summarize them
03/01/2024
5
OpenAI Plans to Move to Dismiss Elon Musks Lawsuit
03/06/2024
6
Disposition of 10000 shares by Judson Althoff of Microsoft at 403.649 subject to Rule 16b-3
03/11/2024
7
Smaller AI Models Challenge GPT-4, Boost Business Accessibility
03/13/2024
 
Microsoft dividend paid on 14th of March 2024
03/14/2024
8
Internet outages hit 13 countries in Africa due to undersea cable damage
03/15/2024
Begin Period Cash Flow13.9 B
Total Cashflows From Investing Activities-22.7 B
  

Microsoft Relative Risk vs. Return Landscape

If you would invest  37,257  in Microsoft on December 19, 2023 and sell it today you would earn a total of  4,475  from holding Microsoft or generate 12.01% return on investment over 90 days. Microsoft is currently generating 0.19% in daily expected returns and assumes 1.1816% risk (volatility on return distribution) over the 90 days horizon. In different words, 10% of stocks are less volatile than Microsoft, and 97% of all traded equity instruments are projected to make higher returns than the company over the 90 days investment horizon.
  Expected Return   
       Risk  
Given the investment horizon of 90 days Microsoft is expected to generate 1.98 times more return on investment than the market. However, the company is 1.98 times more volatile than its market benchmark. It trades about 0.16 of its potential returns per unit of risk. The NYSE Composite is currently generating roughly 0.17 per unit of risk.

Microsoft Market Risk Analysis

Today, many novice investors tend to focus exclusively on investment returns with little concern for Microsoft's investment risk. Standard deviation is the most common way to measure market volatility of stocks, such as Microsoft, and traders can use it to determine the average amount a Microsoft's price has deviated from the expected return over a period of time. It is calculated by determining the expected price for the established period and then subtracting this figure from each price point. The differences are then squared, summed, and averaged to produce the variance.

Sharpe Ratio = 0.1608

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Estimated Market Risk

 1.18
  actual daily
10
90% of assets are more volatile

Expected Return

 0.19
  actual daily
3
97% of assets have higher returns

Risk-Adjusted Return

 0.16
  actual daily
12
88% of assets perform better
Based on monthly moving average Microsoft is performing at about 12% of its full potential. If added to a well diversified portfolio the total return can be enhanced and market risk can be reduced. You can increase risk-adjusted return of Microsoft by adding it to a well-diversified portfolio.

Microsoft Fundamentals Growth

Microsoft Stock prices reflect investors' perceptions of the future prospects and financial health of Microsoft, and Microsoft fundamentals are critical determinants of its market performance. Overall, investors pay close attention to revenue and earnings growth, profit margins, and debt levels. These fundamentals can have a significant impact on Microsoft Stock performance.

About Microsoft Performance

To evaluate Microsoft Stock as a possible investment, you need to clearly understand its upside potential, downside risk, and overall future performance outlook. You may be satisfied when Microsoft generates a 15% return over the last few months, but what if the market is generating 25% over the same period? In this case, it makes sense to compare Microsoft Stock's performance with different market indexes, such as the Dow or NASDAQ Composite. These indexes can act as benchmarks that will help you to understand Microsoft market performance in a much more refined way. The Macroaxis performance score is an integer between 0 and 100 that represents Microsoft's market performance from a risk-adjusted return perspective. Generally speaking, the higher the score, the better is overall performance as compared to other investors. The score is normalized against the average investing universe (the best we can interpret from the data available). Within this methodology, scores of individual equity instruments will always be inferior to the scores of portfolios of equities as portfolios typically diversify a lot of unsystematic risks away. The formula to derive the Macroaxis score bases on multiple unequally-weighted factors. For more information, refer to our portfolio performance evaluation section.
Please also refer to our technical analysis and fundamental analysis pages.
Last ReportedProjected for 2024
Return On Capital Employed 0.33  0.36 
Return On Assets 0.18  0.20 
Return On Equity 0.32  0.24 

Things to note about Microsoft performance evaluation

Checking the ongoing alerts about Microsoft for important developments is a great way to find new opportunities for your next move. Stock alerts and notifications screener for Microsoft help investors to be notified of important events, changes in technical or fundamental conditions, and significant headlines that can affect investment decisions.
Microsoft has a strong financial position based on the latest SEC filings
About 74.0% of the company shares are owned by institutional investors
On 14th of March 2024 Microsoft paid $ 0.75 per share dividend to its current shareholders
Latest headline from arstechnica.com: Internet outages hit 13 countries in Africa due to undersea cable damage
Evaluating Microsoft's performance can involve analyzing a variety of financial metrics and factors. Some of the key considerations to evaluate Microsoft's stock performance include:
  • Analyzing Microsoft's financial statements, including its income statement, balance sheet, and cash flow statement, helps in understanding its overall financial health and growth potential.
  • Getting a closer look at valuation ratios like price-to-earnings (P/E) ratio, price-to-sales (P/S) ratio, and price-to-book (P/B) ratio help in understanding whether Microsoft's stock is overvalued or undervalued compared to its peers.
  • Examining Microsoft's industry or sector and how it is performing can give you an idea of its growth potential and how it is positioned relative to its competitors.
  • Evaluating Microsoft's management team can have a significant impact on its success or failure. Reviewing the track record and experience of Microsoft's management team can help you assess the Company's leadership.
  • Pay attention to analyst opinions and ratings of Microsoft's stock. These opinions can provide insight into Microsoft's potential for growth and whether the stock is currently undervalued or overvalued.
It's essential to remember that evaluating Microsoft's stock performance is not an exact science, and many factors can impact Microsoft's stock market price. Therefore, it's also important to diversify your portfolio and not rely solely on one company or stock for your investments.
When determining whether Microsoft is a good investment, qualitative aspects like company management, corporate governance, and ethical practices play a significant role. A comparison with peer companies also provides context and helps to understand if Microsoft Stock is undervalued or overvalued. This multi-faceted approach, blending both quantitative and qualitative analysis, forms a solid foundation for making an informed investment decision about Microsoft Stock. Highlighted below are key reports to facilitate an investment decision about Microsoft Stock:
Check out Correlation Analysis to better understand how to build diversified portfolios, which includes a position in Microsoft. Also, note that the market value of any Company could be tightly coupled with the direction of predictive economic indicators such as signals in census.
For more information on how to buy Microsoft Stock please use our How to Invest in Microsoft guide.
Note that the Microsoft information on this page should be used as a complementary analysis to other Microsoft'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 the Cryptocurrency Center module to build and monitor diversified portfolio of extremely risky digital assets and cryptocurrency.

Complementary Tools for Microsoft Stock analysis

When running Microsoft's price analysis, check to measure Microsoft'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 is operating at the current time. Most of Microsoft's value examination focuses on studying past and present price action to predict the probability of Microsoft's future price movements. You can analyze the entity against its peers and the financial market as a whole to determine factors that move Microsoft's price. Additionally, you may evaluate how the addition of Microsoft to your portfolios can decrease your overall portfolio volatility.
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Is Microsoft'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. 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 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
0.332
Dividend Share
2.86
Earnings Share
11.08
Revenue Per Share
30.612
Quarterly Revenue Growth
0.176
The market value of Microsoft 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's value that differs from its market value or its book value, called intrinsic value, which is Microsoft'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's market value can be influenced by many factors that don't directly affect Microsoft'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's value and its price as these two are different measures arrived at by different means. Investors typically determine if Microsoft is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, Microsoft'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.