Added to YB: 2026-07-14
Pitch date: 2026-07-10
MSFT [bullish]
Microsoft Corporation
+0.84%
current return
Author Info
Forensic Alpha Research shares forensic equity research for investors who care more about avoiding permanent loss than chasing consensus upside. Sign up for the newsletter.
Company Info
Microsoft Corporation develops and supports software, services, devices, and solutions worldwide. The Productivity and Business Processes segment offers Microsoft 365 commercial, enterprise mobility + security, windows commercial, power BI, exchange, sharepoint, Microsoft teams, security and compliance, and copilot; Microsoft 365 commercial products, such as Windows commercial on-premises and office licensed services; Microsoft 365 consumer products and cloud services, including Microsoft 365 consumer subscriptions, office licensed on-premises, and other consumer services; LinkedIn; dynamics products and cloud services, such as dynamics 365, cloud-based applications, and on-premises ERP and CRM applications.
Market Cap
$2.9T
Pitch Price
$387.75
Price Target
457.00 (+19%)
Dividend
0.95%
EV/EBITDA
14.67
P/E
22.94
EV/Sales
9.14
Sector
Software
Category
value
$MSFT: The Market Is Pricing a $3 Trillion Company Like It Forgot How to Compound
MSFT (new position): Buy, 2-4% position, $384 price, +19% upside. Trades 22.8x P/E vs 31.2x 10yr avg, down 23% from highs on $190B capex fears. Rev +18%, Azure +40%, AI $37B run-rate (+123% YoY). $627B backlog (+99%), $73B FCF. Risks: ROIC fade 600bps, $290B lease obligations, Copilot 20M seats behind, antitrust probes. Falsifier: Azure <25% CC growth 2 quarters.
Read full article (5 min)