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Microsoft Corp

MSFT
479.280USD
+1.170+0.24%
Close 01/09, 16:00ETQuotes delayed by 15 min
3.56TMarket Cap
33.96P/E TTM

Microsoft Corp

479.280
+1.170+0.24%
TradingKey Stock Score
Overall Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
Peer Comparison
TradingKey Stock Score
Overall Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
Peer Comparison

TradingKey Stock Score of Microsoft Corp

Currency: USD Updated: 2026-01-09

Key Insights

Microsoft Corp's fundamentals are relatively healthy, and its growth potential is high.Its valuation is considered fairly valued, ranking 20 out of 487 in the Software & IT Services industry.Institutional ownership is very high.Over the past month, multiple analysts have rated it as Buy, with the highest price target at 620.13.In the medium term, the stock price is expected to remain stable.Despite an average stock market performance over the past month, the company shows strong fundamentals and technicals.The stock price is trading sideways between the support and resistance levels, making it suitable for range-bound swing trading.

Microsoft Corp's Score

Industry at a Glance

Industry Ranking
20 / 487
Overall Ranking
69 / 4562
Industry
Software & IT Services

Support & Resistance

Relevant data have not been disclosed by the company yet.

Score Analysis

Current score
Previous score

Media Coverage

Last 24 hours
Coverage Level

73°C

Very Low
Very High
Positive

Microsoft Corp Highlights

StrengthsRisks

Headquartered in Redmond, Washington, Microsoft Corporation operates as an American multinational technology conglomerate. Founded in 1975, the firm gained prominence in the personal computer revolution through software like Windows and has since expanded into internet services, cloud computing, video gaming, and other domains. Recognized as the world’s largest software provider, one of the most valuable U.S. public enterprises, and a globally iconic brand, Microsoft shapes the tech landscape.

Co-founded by Bill Gates and Paul Allen to develop and market BASIC interpreters for the Altair 8800, Microsoft emerged as a dominant force in PC operating systems with MS-DOS in the mid-1980s, succeeded by Windows. Between 1980 and 2021, the company released nine MS-DOS versions (median interval: 2 years) and thirteen Windows versions (median interval: 3 years). Its 1986 IPO and subsequent stock growth created three billionaires and approximately 12,000 millionaires among employees. Since the 1990s, it has diversified beyond operating systems. Steve Ballmer succeeded Gates as CEO in 2000, overseeing the 2011 acquisition of Skype Technologies (then Microsoft’s largest deal), a hardware push leading to the 2012 debut of its in-house Surface PCs, and the formation of Microsoft Mobile through Nokia.


Under Satya Nadella’s leadership (since 2014), Microsoft shifted focus to cloud computing, highlighted by the $26.2 billion 2016 acquisition of LinkedIn. Nadella also expanded gaming, establishing the Microsoft Gaming division in 2022 and acquiring Activision Blizzard for $68.7 billion in 2023, reinforcing Xbox’s global presence.


Since the 1990s, Microsoft has dominated IBM PC-compatible OS and office software markets. Notable products include Windows OS, Microsoft Office/Microsoft 365 (featuring Word, Excel, PowerPoint), Surface PCs, Xbox consoles/network, and services like Bing, MSN, Outlook.com, and Microsoft Store. In enterprise/development, it offers Azure cloud, SQL Server, and Visual Studio.


Counted among the Big Five U.S. tech giants (with Alphabet, Amazon, Apple, Meta), Microsoft hit a $1 trillion market cap in April 2019, the third U.S. firm to achieve this milestone. While criticized for monopolistic practices and software usability/security issues, its innovations continue to define industry standards.

Industry Leader
The company's revenue leads the industry, with the latest annual revenue totaling USD 281.72B.
High Growth
The company's revenue has grown steadily over the past 3 years, averaging 32.94% year-on-year.
High Profit Growth
The company's net income leads the industry, with the latest annual income totaling USD 281.72B.
High Dividend
The company is a high dividend payer, with the latest dividend payout ratio of 24.23%.
Stable Dividend
The company has regularly paid dividends over the past 5 years, with the latest dividend payout ratio of 24.23%.
Fairly Valued
The company’s latest PE is 33.96, at a medium 3-year percentile range.
Institutional Buying
The latest institutional holdings are 5.61B shares, increasing 0.98% quarter-over-quarter.
Held by Wasatch Global Investors
Star Investor Wasatch Global Investors holds 411.00 shares of this stock.

Analyst Rating

Based on 60 analysts
Buy
Current Rating
620.131
Target Price
+31.15%
Upside Space
Data disclaimer: Analyst ratings and target prices are provided by LSEG for informational purposes only and do not constitute investment advice.

Financial Health

Currency: USD Updated: 2026-01-09

The current financial score of Microsoft Corp is 8.55, ranking 65 out of 487 in the Software & IT Services industry. Its financial status is stable, and its operating efficiency is high. Its latest quarterly revenue reached 77.67B, representing a year-over-year increase of 18.43%, while its net profit experienced a year-over-year increase of 12.49%.

Score

Industry at a Glance

Previous score
8.55
Change
0

Financials

7.39

Key Metrics

Cash and cash equivalents
Total assets
Total liabilities
Free cash flow
Relevant data have not been disclosed by the company yet.

Quality of Earnings

8.49

Operational Efficiency

9.19

Growth Potential

10.00

Shareholder Returns

7.67

Microsoft Corp's Company Valuation

Currency: USD Updated: 2026-01-09

The current valuation score of Microsoft Corp is 8.10, ranking 132 out of 487 in the Software & IT Services industry. Its current P/E ratio is 33.96, which is 16.52% below the recent high of 39.57 and 27.52% above the recent low of 24.61.

Score

Industry at a Glance

Previous score
8.10
Change
0

Valuation Dimensions

P/E
P/B
P/S
P/CF
Industry Ranking 20/487
Relevant data have not been disclosed by the company yet.

Earnings Forecast

Currency: USD Updated: 2026-01-09

The current earnings forecast score of Microsoft Corp is 8.67, ranking 22 out of 487 in the Software & IT Services industry. The average price target is 630.00, with a high of 730.00 and a low of 444.65.

Score

Industry at a Glance

Previous score
8.67
Change
0

Support & Resistance

Relevant data have not been disclosed by the company yet.

Analyst Rating

Based on 60 analysts
Buy
Current Rating
620.131
Target Price
+31.15%
Upside Space
Strong Buy
Buy
Hold
Sell
Strong Sell

Peer Comparison

242
Total
9
Median
12
Average
Company name
Ratings
Analysts
Microsoft Corp
MSFT
60
Palo Alto Networks Inc
PANW
55
CrowdStrike Holdings Inc
CRWD
54
Zscaler Inc
ZS
48
ServiceNow Inc
NOW
47
Datadog Inc
DDOG
46
1
2
3
...
49

Financial Forecasting

EPS
Revenue
Net Profit
EBIT
Relevant data have not been disclosed by the company yet.

Data disclaimer: Analyst ratings and target prices are provided by LSEG for informational purposes only and do not constitute investment advice.

Price Momentum

Currency: USD Updated: 2026-01-09

The current price momentum score of Microsoft Corp is 7.26, ranking 169 out of 487 in the Software & IT Services industry. Currently, the stock price is trading between the resistance level at 489.49 and the support level at 469.29, making it suitable for range-bound swing trading.

Score

Industry at a Glance

Previous score
7.16
Change
0.1

Support & Resistance

Relevant data have not been disclosed by the company yet.

Indicators

The Indicators feature provides value and direction analysis for various instruments under a selection of technical indicators, together with a technical summary.

This feature includes nine of the commonly used technical indicators: MACD, RSI, KDJ, StochRSI, ATR, CCI, WR, TRIX and MA. You may also adjust the timeframe depending on your needs.

Please note that technical analysis is only part of investment reference, and there is no absolute standard for using numerical values to assess direction. The results are for reference only, and we are not responsible for the accuracy of the indicator calculations and summaries.

Indicators
Sell(2)
Neutral(5)
Buy(0)
Indicators
Value
Direction
MACD(12,26,9)
0.394
Neutral
RSI(14)
45.413
Neutral
STOCH(KDJ)(9,3,3)
48.091
Neutral
ATR(14)
6.515
High Vlolatility
CCI(14)
-78.450
Neutral
Williams %R
51.584
Neutral
TRIX(12,20)
-0.067
Sell
StochRSI(14)
70.678
Sell
Moving Average
Sell(5)
Neutral(0)
Buy(1)
Indicators
Value
Direction
MA5
478.444
Buy
MA10
481.107
Sell
MA20
481.505
Sell
MA50
490.689
Sell
MA100
501.603
Sell
MA200
480.225
Sell

Institutional Confidence

Currency: USD Updated: 2026-01-09

The current institutional shareholding score of Microsoft Corp is 7.00, ranking 129 out of 487 in the Software & IT Services industry. The latest institutional shareholding proportion is 75.52%, representing a quarter-over-quarter increase of 1.54%. The largest institutional shareholder is The Vanguard, holding a total of 698.73M shares, representing 9.40% of shares outstanding, with 1.52% increase in holdings.

Score

Industry at a Glance

Previous score
7.00
Change
0

Institutional Shareholding

Relevant data have not been disclosed by the company yet.

Shareholder Activity

Name
Shares Held
Chg %
The Vanguard Group, Inc.
Star Investors
698.73M
-0.45%
BlackRock Institutional Trust Company, N.A.
373.05M
+1.17%
State Street Investment Management (US)
299.76M
+0.19%
Fidelity Management & Research Company LLC
195.32M
+2.33%
Geode Capital Management, L.L.C.
180.71M
+0.95%
T. Rowe Price Associates, Inc.
Star Investors
121.08M
-3.83%
JP Morgan Asset Management
102.16M
+1.54%
Norges Bank Investment Management (NBIM)
101.51M
-3.51%
Capital International Investors
79.40M
-0.14%
Capital Research Global Investors
72.66M
+1.23%
1
2

Risk Assessment

Currency: USD Updated: 2026-01-09

The U.S. Dollar Index is currently in a neutral state, which has a neutral effect on the Software & IT Services domestic-focused industry. The Dollar Index (DXY) measures the value of the U.S. dollar against a basket of major currencies, including the euro, yen, pound sterling, Canadian dollar, Swedish krona, and Swiss franc. The current risk assessment score of Microsoft Corp is 9.20, ranking 10 out of 487 in the Software & IT Services industry. The company's beta value is 1.08. This indicates that the stock tends to outperform the index during upward trending markets but experiences larger declines during downward trending markets.

Score

Industry at a Glance

Previous score
9.20
Change
0
Beta vs S&P 500 index
1.08
VaR
+2.61%
240-Day Maximum Drawdown
+20.72%
240-Day Volatility
+26.66%

Return

Best Daily Return
60 days
+1.98%
120 days
+3.95%
5 years
+10.13%
Worst Daily Return
60 days
-2.92%
120 days
-2.92%
5 years
-7.72%
Sharpe Ratio
60 days
-1.43
120 days
-0.62
5 years
+0.75

Risk Assessment

Maximum Drawdown
240 days
+20.72%
3 years
+24.17%
5 years
+37.56%
Return-to-Drawdown Ratio
240 days
+0.50
3 years
+1.26
5 years
+0.55
Skewness
240 days
+1.30
3 years
+0.50
5 years
+0.21

Volatility

Realised Volatility
240 days
+26.66%
5 years
+26.30%
Standardised True Range
240 days
+1.85%
5 years
+1.53%
Downside Risk-Adjusted Return
120 days
-89.78%
240 days
-89.78%
Maximum Daily Upside Volatility
60 days
+15.31%
Maximum Daily Downside Volatility
60 days
+17.69%

Liquidity

Average Turnover Rate
60 days
+0.27%
120 days
+0.29%
5 years
--
Turnover Deviation
20 days
-3.20%
60 days
-8.10%
120 days
+0.17%

Peer Comparison

Software & IT Services
Microsoft Corp
Microsoft Corp
MSFT
8.16 /10
Score
Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
Visa Inc
Visa Inc
V
8.82 /10
Score
Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
Amdocs Ltd
Amdocs Ltd
DOX
8.73 /10
Score
Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
Mastercard Inc
Mastercard Inc
MA
8.64 /10
Score
Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
Cognizant Technology Solutions Corp
Cognizant Technology Solutions Corp
CTSH
8.62 /10
Score
Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
QXO Inc
QXO Inc
QXO
8.59 /10
Score
Financial Health
Valuation Dimensions
Earnings Forecast
Price Momentum
Institutional Confidence
Risk Assessment
View more

FAQs

How does TradingKey generate the Stock Score of Microsoft Corp?

The TradingKey Stock Score provides a comprehensive assessment of Microsoft Corp based on 34 indicators derived from over 100 underlying data points.
These indicators are categorised into six key dimensions: financial health, company profile, earnings forecasts, price momentum, institutional confidence, and risk assessment, collectively providing investors with a thorough analysis of Microsoft Corp’s performance and outlook.

How do we generate the financial health score of Microsoft Corp?

To generate the financial health score of Microsoft Corp, we analyse various key financial indicators across several core dimensions, including financial fundamentals, earnings quality, operational efficiency, growth potential, and shareholder returns.
By integrating these comprehensive data, the financial health score not only reflects Microsoft Corp's overall stability, operational efficiency, and growth potential but also captures the investment returns delivered to shareholders. This score aims to support rational decision-making for investors and other stakeholders. A higher score indicates a better financial health of Microsoft Corp.

How do we generate the company valuation score of Microsoft Corp?

To generate the company valuation score of Microsoft Corp, we use several key financial ratios, including P/E, P/B, P/S, and P/CF. These metrics compare Microsoft Corp’s market value to its earnings, assets, sales, and cash flow, serving as core indicators for assessing company value.
By analysing these ratios in an all-round manner, the valuation score reflects not only the market’s current perception of Microsoft Corp’s value but also its future profitability and growth potential, thereby supporting more informed investment decisions. A higher score indicates a fairer valuation of Microsoft Corp.

How do we generate the earnings forecast score of Microsoft Corp?

To calculate the earnings forecast score of Microsoft Corp, we consider various key indicators such as analyst ratings, financial forecasts, support and resistance levels, and peer comparisons:
Current ratings and price targets directly reflect analysts’ expectations, while the upside space indicates their views on the stock’s growth potential.
Financial metrics like earnings per share (EPS), revenue, net income, and earnings before interest and taxes (EBIT) are core measures for assessing profitability.
By analysing the high, median, and low ranges of the target price, we can identify price trends and determine key support and resistance levels.
Comparing these indicators against peers provides context for the stock’s performance and helps anchor more realistic expectations.
These factors together form a comprehensive earnings forecast score that accurately reflects the stock’s expected financial performance and growth potential. A higher score suggests that analysts have a more optimistic outlook on Microsoft Corp’s future.

How do we generate the price momentum score of Microsoft Corp?

When generating the price momentum score for Microsoft Corp, we examine momentum indicators including support and resistance levels as well as volume metrics.
Support levels represent price points where buying interest is strong enough to prevent further declines, while resistance levels indicate prices where selling pressure may hinder upward movement. By analysing typical price volume alongside total volume, we assess overall market activity and liquidity. These indicators help identify price trends and potential shifts, enabling more accurate predictions of future earnings.
This comprehensive approach can reflect market sentiment and enable rational forecasts of Microsoft Corp’s prices. A higher score indicates a more stable short-term price trend for Microsoft Corp.

How do we generate the institutional confidence score of Microsoft Corp?

To generate the institutional confidence score of Microsoft Corp, we analyse both the proportion of shares held by institutions and the number of shares they own. A higher institutional ownership percentage indicates strong confidence of professional investors, which is generally a positive signal about Microsoft Corp’s potential. By examining the number of shares held, we gain deeper insight into institutions’ commitment and attitude toward the stock, as institutional investors typically conduct thorough analysis before making investment decisions. Understanding institutional confidence helps us refine earnings forecasts and provides a more reliable perspective on the company’s future performance and market stability. A higher score indicates greater institutional endorsement of Microsoft Corp.

How do we generate the risk management score of Microsoft Corp?

To assess the risk management score of Microsoft Corp, we examine multiple key indicators related to returns, risk, volatility, and liquidity.
The highest and lowest daily returns reflect the potential size of gains and losses, while the Sharpe ratio measures risk-adjusted return performance. On the risk side, we analyse maximum drawdown and the return-to-drawdown ratio to identify extreme loss scenarios. Skewness helps assess the distribution of returns and whether performance may be biased. Volatility indicators—such as realised volatility and standardised true range—reveal price fluctuations. Downside risk-adjusted returns provide insight into potential losses and gains. Lastly, liquidity metrics like average turnover rate and turnover deviation indicate how actively the stock is traded.
These indicators together provide a multi-dimensional understanding of Microsoft Corp’s risk-return profile, serving as core factors of the risk management score. A higher score indicates lower risk on the side of Microsoft Corp.
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