Microsoft Excel LibreOffice Calc

Microsoft Corp. (MSFT)

Enterprise Value (EV)

Intermediate level

Current Enterprise Value (EV)

Microsoft Corp., current enterprise value calculation

Microsoft Excel LibreOffice Calc
Current share price (P) $166.50
No. shares of common stock outstanding 7,628,805,618
US$ in millions
Common equity (market value)1 1,270,196 
Total equity 1,270,196 
Add: Short-term debt (per books) — 
Add: Current portion of long-term debt (per books) 5,516 
Add: Long-term debt, excluding current portion (per books) 66,662 
Total equity and debt 1,342,374 
Less: Cash and cash equivalents 11,356 
Less: Short-term investments 122,463 
Enterprise value (EV) 1,208,555 

Based on: 10-K (filing date: 2019-08-01).

1 Common equity (market value) = Share price × No. shares of common stock outstanding
= 166.50 × 7,628,805,618

Historical Enterprise Value (EV)

Microsoft Corp., EV calculation

Microsoft Excel LibreOffice Calc
Jun 30, 2019 Jun 30, 2018 Jun 30, 2017 Jun 30, 2016 Jun 30, 2015 Jun 30, 2014
Share price1, 2 $138.06 $108.04 $72.26 $56.21 $46.70 $43.16
No. shares of common stock outstanding1 7,635,409,400 7,668,217,316 7,702,243,979 7,792,515,573 7,997,980,969 8,239,848,789
US$ in millions
Common equity (market value)3 1,054,145  828,474  556,564  438,017  373,506  355,632 
Total equity 1,054,145  828,474  556,564  438,017  373,506  355,632 
Add: Short-term debt (book value) —  —  9,072  12,904  4,985  2,000 
Add: Current portion of long-term debt (book value) 5,516  3,998  1,049  —  2,499  — 
Add: Long-term debt, excluding current portion (book value) 66,662  72,242  76,073  40,783  27,808  20,645 
Total equity and debt 1,126,323  904,714  642,758  491,704  408,798  378,277 
Less: Cash and cash equivalents 11,356  11,946  7,663  6,510  5,595  8,669 
Less: Short-term investments 122,463  121,822  125,318  106,730  90,931  77,040 
Enterprise value (EV) 992,504  770,946  509,777  378,464  312,272  292,568 

Based on: 10-K (filing date: 2019-08-01), 10-K (filing date: 2018-08-03), 10-K (filing date: 2017-08-02), 10-K (filing date: 2016-07-28), 10-K (filing date: 2015-07-31), 10-K (filing date: 2014-07-31).

1 Data adjusted for splits and stock dividends.

2 Closing price as at the filing date of Microsoft Corp.’s Annual Report.

3 2019 Calculation
Common equity (market value) = Share price × No. shares of common stock outstanding
= 138.06 × 7,635,409,400

1 Data adjusted for splits and stock dividends.
2

Item Description The company
EV Enterprise value is total company value (the market value of common equity, debt, and preferred equity) minus the value of cash and short-term investments. Microsoft Corp.’s EV increased from 2017 to 2018 and from 2018 to 2019.