MSFT
Microsoft Corp
Price:  
452.94 
USD
Volume:  
19,864,004.00
United States | Software
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Microsoft Fair Value

-47.65 %
Upside

What is the fair value of Microsoft?

As of 2025-05-15, the Fair Value of Microsoft Corp (MSFT) is 237.14 USD. This value is based on the Peter Lynch's Fair Value formula. With the current market price of 452.94 USD, the upside of Microsoft Corp is -47.65%.

Is Microsoft a good investment?

With the market price of 452.94 USD and our fair value calculation, Microsoft Corp (MSFT) is not a good investment. Investing in Microsoft stocks now will result in a potential loss of 47.65%.

452.94 USD
Stock Price
237.14 USD
Fair Price
FAIR VALUE CALCULATION

Microsoft Fair Value

Peter Lynch's formula is:

Microsoft Fair Value
= Earnings Growth Rate x TTM EPS
Microsoft Fair Value
= 18.24 x 13.00
Microsoft Fair Value
= 237.14

The earnings growth rate we use in the formula is the average growth rate of net income/earnings over the last 5 years. If the average growth rate is smaller than 5%, we set it to 5%. If it is larger than 25%, we set it to 25%. If the TTM EPS is negative, Peter Lynch Fair Value's result can be unreliable.

Historical Earnings
2020-06-30 2021-06-30 2022-06-30 2023-06-30 2024-06-30 5Y Avg
Net income 44,281.00 61,271.00 72,738.00 72,361.00 88,136.00 67,757.40
YoY growth 12.85% 38.37% 18.72% -0.52% 21.80% 18.24%

Microsoft Fair Value - Key Data

Market Cap (mil) 3,367,147.00
P/E 34.84x
Forward P/E 32.58x
EPS 13.00
Avg earnings growth rate 18.24%
TTM earnings 96,635.00