Microsoft Corporation (MSFT)

296.71 -2.12%
Jan 27 close; Powered by IEX
Bull case
Revenue growth higher than the industry and sector averages
Forward dividend yield higher than the industry and sector averages
Buy analyst rating
Average analyst stock price above current stock price
Bear case
Stock price high relative to the 52-week range
Company’s profitability is declining
Forward P/S ratio high relative to industry peers

Bull case

  1. MSFT quarterly revenue growth was 22.00%, higher than the industry and sector average revenue growth (10.63% and 8.56%, respectively). See MSFT revenue growth chart.
  2. MSFT forward dividend yield is 0.73%, higher than the industry (0.12%) and sector (0.19%) forward dividend yields. See MSFT forward dividend chart.
  3. MSFT average analyst rating is Strong Buy. See MSFT analyst rating chart.
  4. MSFT average analyst price target ($365.24) is above its current price ($331.41). See MSFT price target chart.

Bear case

  1. MSFT stock price ($331.41) is close to the 52-week high ($343.68). Perhaps now is a good time to sell? See MSFT price chart.
  2. MSFT profitability is declining. The YoY profit margin change was -8.56 percentage points. See MSFT profitability chart.
  3. MSFT Price/Sales ratio is 14.58, which is high compared to its industry peers’ P/S ratios. See MSFT forward Price/Sales ratio chart.