tickrz reports
Microsoft Corp (MSFT)
Technology | Computer Software & Services
84.13  -0.04%
MSFT vs COMPUTER SOFTWARE & SERVICES SECTOR & S&P 500
VALUATION
MSFTSECTORS&P 500
P/E RATIO29.68483.620.18
EV/EBITDA RATIO17.7122.412.15
P/S RATIO7.095.42.14
P/B RATIO7.3216.93.29
QUALITY
RETURN ON EQUITY27.64%16.8%13.65%
RETURN ON CAPITAL146.55%18.22%10.09%
NET MARGIN23.72%13.64%9.76%
DIVIDEND ANALYSIS
DIVIDEND YIELD
1.89%
PAYOUT RATIO54.48%
3 YR DIVIDEND GROWTH11.68%
FINANCIAL STRENGTH
PIOTROSKI F SCORE
7 OUT OF 9
DEBT-TO-EQUITY95%
INTEREST COVERAGE10.7x
CURRENT RATIO3.12
GROWTH
5 YR EPS GROWTH6.26%
5 YR SPS GROWTH3.92%
5 YR BPS GROWTH3.47%
About tickrz
Key Concepts
Great Investors
Microsoft Corp's stock has climbed 39% over the last year, earning it a strong Momentum Rank
FACTOR RANKINGSFACTOR SCREENER 
TICKRZ MFM RANK C / 328PURE VALUE RANKD / 413
DIVIDEND RANKB / 184MOAT RANKC / 250
FINANCIAL STRENGTH RANKA / 91GROWTH RANKC / 253
MOMENTUM RANKA / 65
tickrz MFM rank C / 328
Microsoft Corp receives a C ranking in our multi-factor model that blends valuation, moat, operational performance, and financial strength. View the tickrz MFM Screener here.
value
pure value ranking D / 413Warren Buffett ranking D / 425
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Microsoft Corp's valuation score is comprised of a P/E ratio of 29.7x, a P/B ratio of 7.3x, a P/S ratio of 7.1x, and an EV/EBITDA ratio of 17.7x. Microsoft Corp ranks 413 out of the S&P 500 constituents on valuation--a relatively weak score.Microsoft Corp ranks 425 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a weak score, meaning it ranks poorly on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Microsoft Corp is probably not for you.

quality
moat C / 250financial strength A / 91
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is weak. Its position within the Technology sector appears to be weak. Either the dynamics of its sector place it in a difficult position or management's executition is to blame for its disappointing performance.Microsoft Corp has a Piotroski F Score of 7 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 10.7x, a debt/equity ratio of 95% and a Moat Rank of 250 translate to a strong Financial Strength score.


momentum A / 65
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 38.6% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 65. Microsoft Corp's strong 12 month stock performance will appeal to momentum investors.

yield B / 184
value + yield
Shares currently yield 1.89%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Microsoft Corp ranks 184 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will probably want to look elsewhere.

growth C / 253
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the bottom third of S&P500 companies. Its 6.3% 5 year annualized EPS growth, 3.9% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 3.5% speak to its relatively poor ranking.

Microsoft Corp (MSFT)
Technology | Computer Software & Services
84.13  -0.04%


tickrz rank
C
VALUATION RATIOS
P/E Ratio29.68x
P/B Ratio7.32x
P/S Ratio7.09x
EV/EBITDA Ratio17.71x
DIVIDEND ANALYSIS
DIVIDEND YIELD
1.89%
PAYOUT RATIO54.48%
3 YR DIVIDEND GROWTH11.68%
FINANCIAL STRENGTH
PIOTROSKI F SCORE
7 OUT OF 9
DEBT-TO-EQUITY95%
INTEREST COVERAGE10.7x
CURRENT RATIO3.12
MOAT
ROE27.64%
ROIC146.55%
Net Margin23.72%
GROWTH
5 YR EPS GROWTH6.26%
5 YR SPS GROWTH3.92%
5 YR BPS GROWTH3.47%

TICKRZ RANK
Microsoft Corp receives a C ranking in our multi-factor model that blends valuation, moat, operational performance, and financial strength. View the tickrz MFM Screener here.

PURE VALUE
Valuation is the most heavily weighted component in our tickrz ranking methodology. Numerous academic and practitioner studies have found that a value approach outperforms the market over the long-run. Microsoft Corp's valuation score is comprised of a P/E ratio of 29.7x, a P/B ratio of 7.3x, a P/S ratio of 7.1x, and an EV/EBITDA ratio of 17.7x. Microsoft Corp ranks 413 out of the S&P 500 constituents on valuation--a relatively weak score.

WARREN BUFFETT RANKING
Microsoft Corp ranks 425 out of the S&P 500 constituents in our multi-factor Warren Buffett ranking methodology. This is a weak score, meaning it ranks poorly on valuation, moat, volatility, and financial strength factors. If you're looking for undervalued stocks with high moats and strong competitive advantages, Microsoft Corp is probably not for you.

MOAT
To calculate a company's Moat Score, we look at its historical earnings growth, historical average return on equity, the volatility of its earnings stream, and also factor in the strength of its balance sheet. Our approach concludes the company's business moat is weak. Its position within the Technology sector appears to be weak. Either the dynamics of its sector place it in a difficult position or management's executition is to blame for its disappointing performance.

FINANCIAL STRENGTH
Microsoft Corp has a Piotroski F Score of 7 out of 9. The F Score examines changes in profitability, leverage, liquidity, and operating efficiency. Interest coverage of 10.7x, a debt/equity ratio of 95% and a Moat Rank of 250 translate to a strong Financial Strength score.

MOMENTUM
Investment research has shown that stocks with strong performance over the last 6 to 12 months tend to perform better in the medium term than stocks with poor performance over the same period. In fact, the momentum factor is one of the strongest of all the investment factors. The company has seen its stock appreciate by 38.6% over the last 12 months. This performance is strong compared to other stocks in the S&P 500, earning it a rank of 65. Microsoft Corp's strong 12 month stock performance will appeal to momentum investors.

VALUE + YIELD
Shares currently yield 1.89%. Our dividend ranking approach looks at a company's dividend growth rate, payout ratio, business moat, and valuation. Based on our methodology, Microsoft Corp ranks 184 among the S&P 500 constituents. Investors looking for undervalued dividend stocks will probably want to look elsewhere.

GROWTH
A company's growth metrics are less important than its valuation, moat, and financial strength. However, a check on growth can be a good way to avoid companies in secular decline. The company's growth in sales, earnings, and book value places it among the bottom third of S&P500 companies. Its 6.3% 5 year annualized EPS growth, 3.9% 5 year annualized sales-per-share growth, and 5 year annualized book value-per-share growth of 3.5% speak to its relatively poor ranking.