Common Stock Valuation Ratios (Price Multiples)
Quarterly Data
Valuation ratios measure the quantity of an asset or flaw (e.g., earnings) associated with ownership of a specified claim (e.g., a share of ownership of the enterprise).
Historical Valuation Ratios (Summary)
Microsoft Corp., historical price multiples (quarterly data)
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30).
| Valuation ratio | Description | The company |
|---|---|---|
| P/E ratio | The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. | Microsoft Corp. P/E ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
| P/OP ratio | Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. | Microsoft Corp. P/OP ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
| P/S ratio | An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. | Microsoft Corp. P/S ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
| P/BV ratio | The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. | Microsoft Corp. P/BV ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
Price to Earnings (P/E)
Microsoft Corp., historical P/E calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 7,430,436,229 | 7,432,262,329 | 7,429,763,722 | 7,435,487,575 | 7,443,803,533 | 7,454,473,144 | 7,457,891,872 | 7,479,033,135 | 7,496,866,428 | 7,507,980,444 | 7,514,891,248 | 7,531,574,551 | 7,542,215,767 | 7,560,495,969 | 7,567,652,935 | 7,583,440,247 | 7,606,047,010 | 7,628,805,618 | 7,635,409,400 | 7,662,817,920 | 7,672,213,446 | 7,676,218,736 | 7,668,217,316 | 7,683,197,503 | 7,699,792,852 | 7,714,590,195 | ||||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||||||||||
| Net income (loss) (in millions) | 21,870) | 22,291) | 20,081) | 18,299) | 16,425) | 17,556) | 16,740) | 16,728) | 18,765) | 20,505) | 16,458) | 15,457) | 15,463) | 13,893) | 11,202) | 10,752) | 11,649) | 10,678) | 13,187) | 8,809) | 8,420) | 8,824) | 8,873) | 7,424) | (6,302) | 6,576) | ||||||||
| Earnings per share (EPS)2 | 11.11 | 10.37 | 9.74 | 9.28 | 9.06 | 9.36 | 9.75 | 9.69 | 9.50 | 9.04 | 8.15 | 7.44 | 6.80 | 6.28 | 5.85 | 6.10 | 5.83 | 5.39 | 5.14 | 4.56 | 4.37 | 2.45 | 2.16 | 0.00 | 0.00 | 0.00 | ||||||||
| Share price1, 3 | 408.59 | 330.53 | 330.72 | 275.42 | 242.04 | 250.66 | 276.41 | 270.22 | 288.49 | 310.11 | 286.50 | 261.97 | 232.33 | 213.25 | 205.01 | 177.43 | 168.04 | 137.24 | 138.06 | 125.01 | 106.38 | 102.32 | 108.04 | 94.26 | 95.01 | 78.76 | ||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||||||||
| P/E ratio4 | 36.78 | 31.86 | 33.96 | 29.67 | 26.71 | 26.77 | 28.34 | 27.89 | 30.38 | 34.30 | 35.14 | 35.22 | 34.15 | 33.95 | 35.04 | 29.08 | 28.84 | 25.48 | 26.86 | 27.43 | 24.33 | 41.74 | 50.00 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| P/E Ratio, Competitors5 | ||||||||||||||||||||||||||||||||||
| Accenture PLC | 30.87 | 31.14 | 27.81 | 27.07 | 24.73 | 23.64 | 22.93 | 27.30 | 31.69 | 40.88 | 36.58 | 32.02 | 31.11 | 31.97 | 28.32 | 27.95 | 20.33 | 27.24 | 24.58 | 24.95 | 25.00 | 21.74 | 24.10 | — | — | — | ||||||||
| Adobe Inc. | — | 47.07 | 49.64 | 44.69 | 45.30 | 36.72 | 33.15 | 27.18 | 35.27 | 45.03 | 48.90 | 47.07 | 49.98 | 40.82 | 41.69 | 58.43 | 55.97 | 45.60 | 57.17 | 49.46 | 52.86 | 47.73 | 46.11 | — | — | — | ||||||||
| International Business Machines Corp. | — | — | 22.50 | 19.07 | 63.16 | 62.36 | 71.56 | 95.23 | 20.78 | 22.19 | 19.40 | 23.26 | 23.99 | 23.63 | 19.30 | 12.46 | 14.07 | 12.44 | 13.35 | — | — | — | — | — | — | — | ||||||||
| Intuit Inc. | 66.50 | 61.19 | 64.61 | 56.26 | 59.38 | 56.80 | 57.31 | 40.47 | 63.28 | 85.13 | 75.17 | 56.40 | 62.56 | 48.28 | 49.52 | 56.56 | 45.75 | 44.67 | 48.17 | 37.91 | 44.17 | 40.14 | 46.88 | — | — | — | ||||||||
| Oracle Corp. | 27.34 | 32.03 | 38.96 | 27.11 | 24.69 | 35.29 | 26.85 | 27.46 | 26.70 | 17.45 | 15.84 | 15.15 | 17.19 | 17.88 | 16.69 | 14.05 | 15.99 | 16.13 | 16.89 | 17.00 | 41.89 | 48.26 | 45.90 | — | — | — | ||||||||
| Palo Alto Networks Inc. | 37.18 | 127.16 | 170.35 | 290.24 | 1,656.40 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Salesforce Inc. | 136.55 | 547.14 | 879.57 | 528.78 | 324.46 | 174.67 | 135.68 | 147.95 | 110.94 | 48.91 | 48.20 | 58.10 | 104.23 | — | 1,204.70 | 188.52 | 139.92 | 106.17 | 107.70 | — | — | — | — | — | — | — | ||||||||
| ServiceNow Inc. | — | — | 90.80 | 71.21 | 80.21 | 231.71 | 284.28 | 417.74 | 479.20 | 452.04 | 487.70 | 620.23 | 681.34 | 654.66 | 978.47 | 142.19 | 113.61 | 99.10 | 106.89 | — | — | — | — | — | — | — | ||||||||
| Synopsys Inc. | — | 62.39 | 70.08 | 62.65 | 67.52 | 57.28 | 51.76 | 53.76 | 46.52 | 48.45 | 73.37 | 64.13 | 45.71 | 56.52 | 55.92 | 51.53 | 54.36 | 46.45 | 39.55 | 32.80 | 28.89 | 26.11 | 29.60 | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30).
1 Data adjusted for splits and stock dividends.
2 Q2 2024 Calculation
EPS
= (Net income (loss)Q2 2024
+ Net income (loss)Q1 2024
+ Net income (loss)Q4 2023
+ Net income (loss)Q3 2023)
÷ No. shares of common stock outstanding
= (21,870,000,000 + 22,291,000,000 + 20,081,000,000 + 18,299,000,000)
÷ 7,430,436,229 = 11.11
3 Closing price as at the filing date of Microsoft Corp. Quarterly or Annual Report.
4 Q2 2024 Calculation
P/E ratio = Share price ÷ EPS
= 408.59 ÷ 11.11 = 36.78
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/E ratio | The P/E ratio tells analyst how much an investor in common stock pays per dollar of current earnings. | Microsoft Corp. P/E ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
Price to Operating Profit (P/OP)
Microsoft Corp., historical P/OP calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 7,430,436,229 | 7,432,262,329 | 7,429,763,722 | 7,435,487,575 | 7,443,803,533 | 7,454,473,144 | 7,457,891,872 | 7,479,033,135 | 7,496,866,428 | 7,507,980,444 | 7,514,891,248 | 7,531,574,551 | 7,542,215,767 | 7,560,495,969 | 7,567,652,935 | 7,583,440,247 | 7,606,047,010 | 7,628,805,618 | 7,635,409,400 | 7,662,817,920 | 7,672,213,446 | 7,676,218,736 | 7,668,217,316 | 7,683,197,503 | 7,699,792,852 | 7,714,590,195 | ||||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||||||||||
| Operating income (in millions) | 27,032) | 26,895) | 24,254) | 22,352) | 20,399) | 21,518) | 20,534) | 20,364) | 22,247) | 20,238) | 19,095) | 17,048) | 17,897) | 15,876) | 13,407) | 12,975) | 13,891) | 12,686) | 12,405) | 10,341) | 10,258) | 9,955) | 10,379) | 8,292) | 8,679) | 7,708) | ||||||||
| Operating profit per share2 | 13.53 | 12.63 | 11.91 | 11.41 | 11.13 | 11.36 | 11.18 | 10.96 | 10.49 | 9.89 | 9.30 | 8.53 | 7.98 | 7.43 | 7.00 | 6.85 | 6.48 | 5.99 | 5.63 | 5.34 | 5.07 | 4.86 | 4.57 | 0.00 | 0.00 | 0.00 | ||||||||
| Share price1, 3 | 408.59 | 330.53 | 330.72 | 275.42 | 242.04 | 250.66 | 276.41 | 270.22 | 288.49 | 310.11 | 286.50 | 261.97 | 232.33 | 213.25 | 205.01 | 177.43 | 168.04 | 137.24 | 138.06 | 125.01 | 106.38 | 102.32 | 108.04 | 94.26 | 95.01 | 78.76 | ||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||||||||
| P/OP ratio4 | 30.20 | 26.16 | 27.76 | 24.15 | 21.76 | 22.07 | 24.72 | 24.66 | 27.51 | 31.35 | 30.79 | 30.72 | 29.13 | 28.71 | 29.30 | 25.90 | 25.91 | 22.91 | 24.54 | 23.40 | 20.99 | 21.05 | 23.63 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| P/OP Ratio, Competitors5 | ||||||||||||||||||||||||||||||||||
| Accenture PLC | 24.43 | 24.40 | 21.69 | 21.16 | 18.24 | 17.50 | 16.83 | 19.98 | 23.62 | 31.03 | 28.35 | 25.67 | 24.96 | 25.29 | 22.21 | 21.16 | 15.44 | 20.55 | 18.63 | 18.87 | 18.37 | 15.30 | 16.75 | — | — | — | ||||||||
| Adobe Inc. | — | 37.84 | 40.52 | 35.69 | 35.47 | 28.49 | 25.85 | 21.47 | 28.50 | 36.67 | 40.64 | 49.83 | 54.24 | 47.80 | 51.75 | 56.53 | 54.83 | 41.99 | 51.63 | 45.51 | 48.61 | 45.19 | 42.06 | — | — | — | ||||||||
| International Business Machines Corp. | — | — | 17.99 | 14.81 | 15.22 | 13.98 | 14.35 | 15.37 | 15.24 | 17.07 | 16.23 | 19.92 | 19.33 | 17.63 | 15.90 | 10.75 | 12.76 | 12.48 | 11.94 | — | — | — | — | — | — | — | ||||||||
| Intuit Inc. | 53.07 | 46.91 | 49.04 | 41.32 | 43.34 | 43.50 | 46.05 | 33.22 | 53.54 | 71.64 | 62.00 | 46.48 | 52.54 | 39.99 | 41.56 | 49.11 | 39.04 | 37.66 | 40.45 | 32.48 | 37.00 | 32.80 | 37.92 | — | — | — | ||||||||
| Oracle Corp. | 19.36 | 21.82 | 25.30 | 16.87 | 15.50 | 20.25 | 16.51 | 18.93 | 24.87 | 15.78 | 14.31 | 12.98 | 12.20 | 12.88 | 12.17 | 10.92 | 12.75 | 12.96 | 13.83 | 13.38 | 12.20 | 13.73 | 12.83 | — | — | — | ||||||||
| Palo Alto Networks Inc. | 140.84 | 132.92 | 193.40 | 418.83 | 2,480.99 | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | — | ||||||||
| Salesforce Inc. | 79.66 | 145.83 | 177.62 | 295.77 | 2,318.80 | 818.64 | 357.52 | 280.57 | 236.57 | 228.93 | 431.39 | 914.43 | 3,682.10 | — | 511.08 | 295.22 | 267.46 | 221.93 | 223.46 | — | — | — | — | — | — | — | ||||||||
| ServiceNow Inc. | — | — | 206.26 | 174.57 | 225.28 | 224.96 | 260.26 | 357.30 | 404.46 | 408.11 | 436.46 | 570.38 | 493.80 | 404.36 | 583.07 | 475.62 | 421.22 | 625.53 | 1,590.30 | — | — | — | — | — | — | — | ||||||||
| Synopsys Inc. | — | 63.96 | 67.90 | 61.35 | 62.50 | 50.41 | 43.85 | 48.91 | 42.54 | 47.17 | 75.64 | 65.25 | 49.28 | 59.98 | 59.90 | 58.40 | 54.81 | 48.73 | 40.48 | 45.42 | 45.04 | 38.51 | 35.54 | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30).
1 Data adjusted for splits and stock dividends.
2 Q2 2024 Calculation
Operating profit per share
= (Operating incomeQ2 2024
+ Operating incomeQ1 2024
+ Operating incomeQ4 2023
+ Operating incomeQ3 2023)
÷ No. shares of common stock outstanding
= (27,032,000,000 + 26,895,000,000 + 24,254,000,000 + 22,352,000,000)
÷ 7,430,436,229 = 13.53
3 Closing price as at the filing date of Microsoft Corp. Quarterly or Annual Report.
4 Q2 2024 Calculation
P/OP ratio = Share price ÷ Operating profit per share
= 408.59 ÷ 13.53 = 30.20
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/OP ratio | Because P/E ratio is calculated using net income, the ratio can be sensitive to nonrecurring earnings and capital structure, analysts may use price to operating profit. | Microsoft Corp. P/OP ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
Price to Sales (P/S)
Microsoft Corp., historical P/S calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 7,430,436,229 | 7,432,262,329 | 7,429,763,722 | 7,435,487,575 | 7,443,803,533 | 7,454,473,144 | 7,457,891,872 | 7,479,033,135 | 7,496,866,428 | 7,507,980,444 | 7,514,891,248 | 7,531,574,551 | 7,542,215,767 | 7,560,495,969 | 7,567,652,935 | 7,583,440,247 | 7,606,047,010 | 7,628,805,618 | 7,635,409,400 | 7,662,817,920 | 7,672,213,446 | 7,676,218,736 | 7,668,217,316 | 7,683,197,503 | 7,699,792,852 | 7,714,590,195 | ||||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||||||||||
| Revenue (in millions) | 62,020) | 56,517) | 56,189) | 52,857) | 52,747) | 50,122) | 51,865) | 49,360) | 51,728) | 45,317) | 46,152) | 41,706) | 43,076) | 37,154) | 38,033) | 35,021) | 36,906) | 33,055) | 33,717) | 30,571) | 32,471) | 29,084) | 30,085) | 26,819) | 28,918) | 24,538) | ||||||||
| Sales per share2 | 30.63 | 29.37 | 28.52 | 27.92 | 27.42 | 27.24 | 26.59 | 25.75 | 24.66 | 23.48 | 22.37 | 21.24 | 20.32 | 19.46 | 18.90 | 18.29 | 17.65 | 17.02 | 16.48 | 15.95 | 15.44 | 14.97 | 14.39 | 0.00 | 0.00 | 0.00 | ||||||||
| Share price1, 3 | 408.59 | 330.53 | 330.72 | 275.42 | 242.04 | 250.66 | 276.41 | 270.22 | 288.49 | 310.11 | 286.50 | 261.97 | 232.33 | 213.25 | 205.01 | 177.43 | 168.04 | 137.24 | 138.06 | 125.01 | 106.38 | 102.32 | 108.04 | 94.26 | 95.01 | 78.76 | ||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||||||||
| P/S ratio4 | 13.34 | 11.25 | 11.60 | 9.86 | 8.83 | 9.20 | 10.40 | 10.50 | 11.70 | 13.21 | 12.81 | 12.33 | 11.43 | 10.96 | 10.85 | 9.70 | 9.52 | 8.07 | 8.38 | 7.84 | 6.89 | 6.84 | 7.51 | — | — | — | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| P/S Ratio, Competitors5 | ||||||||||||||||||||||||||||||||||
| Accenture PLC | 3.36 | 3.32 | 2.98 | 3.05 | 2.72 | 2.67 | 2.56 | 3.04 | 3.57 | 4.72 | 4.28 | 3.86 | 3.72 | 3.75 | 3.26 | 3.11 | 2.26 | 3.01 | 2.72 | 2.73 | 2.63 | 2.17 | 2.35 | — | — | — | ||||||||
| Adobe Inc. | — | 11.33 | 13.88 | 12.12 | 11.93 | 9.66 | 8.95 | 7.61 | 10.33 | 13.47 | 14.94 | 18.20 | 19.39 | 16.61 | 17.04 | 18.15 | 17.19 | 12.64 | 15.11 | 12.91 | 13.88 | 13.40 | 13.23 | — | — | — | ||||||||
| International Business Machines Corp. | — | — | 2.73 | 2.16 | 2.11 | 1.89 | 1.94 | 1.99 | 1.95 | 2.10 | 1.94 | 1.82 | 1.96 | 1.83 | 1.47 | 1.31 | 1.47 | 1.46 | 1.63 | — | — | — | — | — | — | — | ||||||||
| Intuit Inc. | 12.20 | 10.73 | 10.72 | 8.95 | 8.44 | 8.01 | 9.30 | 7.87 | 12.04 | 17.26 | 16.09 | 13.50 | 14.16 | 12.12 | 11.78 | 11.03 | 10.47 | 10.18 | 11.05 | 9.23 | 10.11 | 8.31 | 9.52 | — | — | — | ||||||||
| Oracle Corp. | 5.37 | 5.89 | 6.63 | 4.73 | 4.71 | 4.64 | 4.25 | 4.96 | 6.62 | 5.96 | 5.38 | 4.90 | 4.53 | 4.67 | 4.33 | 3.80 | 4.42 | 4.47 | 4.74 | 4.61 | 4.19 | 4.70 | 4.41 | — | — | — | ||||||||
| Palo Alto Networks Inc. | 11.24 | 10.83 | 10.87 | 9.63 | 9.23 | 8.70 | 9.62 | 9.22 | 9.68 | 11.48 | 10.72 | 8.85 | 9.71 | 7.64 | 6.66 | 7.03 | 6.29 | 7.16 | 7.06 | 7.13 | 9.22 | 6.77 | 9.75 | — | — | — | ||||||||
| Salesforce Inc. | 6.52 | 6.44 | 5.84 | 4.85 | 5.93 | 6.27 | 7.40 | 10.30 | 11.09 | 9.72 | 9.24 | 10.19 | 12.73 | 8.72 | 8.88 | 8.75 | 9.02 | 8.77 | 9.00 | — | — | — | — | — | — | — | ||||||||
| ServiceNow Inc. | — | — | 17.52 | 13.33 | 14.25 | 12.17 | 12.75 | 12.13 | 13.36 | 16.11 | 19.02 | 24.74 | 22.46 | 20.63 | 25.66 | 23.60 | 20.92 | 18.03 | 19.36 | — | — | — | — | — | — | — | ||||||||
| Synopsys Inc. | — | 14.32 | 14.75 | 11.72 | 11.75 | 10.44 | 10.03 | 11.21 | 9.86 | 9.78 | 13.22 | 11.85 | 9.27 | 10.69 | 10.08 | 9.21 | 7.59 | 6.65 | 6.27 | 6.21 | 5.41 | 4.85 | 4.10 | — | — | — | ||||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30).
1 Data adjusted for splits and stock dividends.
2 Q2 2024 Calculation
Sales per share
= (RevenueQ2 2024
+ RevenueQ1 2024
+ RevenueQ4 2023
+ RevenueQ3 2023)
÷ No. shares of common stock outstanding
= (62,020,000,000 + 56,517,000,000 + 56,189,000,000 + 52,857,000,000)
÷ 7,430,436,229 = 30.63
3 Closing price as at the filing date of Microsoft Corp. Quarterly or Annual Report.
4 Q2 2024 Calculation
P/S ratio = Share price ÷ Sales per share
= 408.59 ÷ 30.63 = 13.34
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/S ratio | An rationale for the P/S ratio is that sales, as the top line in an income statement, are generally less subject to distortion or manipulation than other fundamentals such as EPS or book value. Sales are also more stable than earnings and never negative. | Microsoft Corp. P/S ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |
Price to Book Value (P/BV)
Microsoft Corp., historical P/BV calculation (quarterly data)
| Dec 31, 2023 | Sep 30, 2023 | Jun 30, 2023 | Mar 31, 2023 | Dec 31, 2022 | Sep 30, 2022 | Jun 30, 2022 | Mar 31, 2022 | Dec 31, 2021 | Sep 30, 2021 | Jun 30, 2021 | Mar 31, 2021 | Dec 31, 2020 | Sep 30, 2020 | Jun 30, 2020 | Mar 31, 2020 | Dec 31, 2019 | Sep 30, 2019 | Jun 30, 2019 | Mar 31, 2019 | Dec 31, 2018 | Sep 30, 2018 | Jun 30, 2018 | Mar 31, 2018 | Dec 31, 2017 | Sep 30, 2017 | |||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| No. shares of common stock outstanding1 | 7,430,436,229 | 7,432,262,329 | 7,429,763,722 | 7,435,487,575 | 7,443,803,533 | 7,454,473,144 | 7,457,891,872 | 7,479,033,135 | 7,496,866,428 | 7,507,980,444 | 7,514,891,248 | 7,531,574,551 | 7,542,215,767 | 7,560,495,969 | 7,567,652,935 | 7,583,440,247 | 7,606,047,010 | 7,628,805,618 | 7,635,409,400 | 7,662,817,920 | 7,672,213,446 | 7,676,218,736 | 7,668,217,316 | 7,683,197,503 | 7,699,792,852 | 7,714,590,195 | ||||||||
| Selected Financial Data (US$) | ||||||||||||||||||||||||||||||||||
| Stockholders’ equity (in millions) | 238,268) | 220,714) | 206,223) | 194,683) | 183,136) | 173,566) | 166,542) | 162,924) | 160,010) | 151,978) | 141,988) | 134,505) | 130,236) | 123,392) | 118,304) | 114,501) | 110,109) | 106,061) | 102,330) | 94,864) | 92,128) | 85,967) | 82,718) | 79,239) | 78,360) | 89,647) | ||||||||
| Book value per share (BVPS)2 | 32.07 | 29.70 | 27.76 | 26.18 | 24.60 | 23.28 | 22.33 | 21.78 | 21.34 | 20.24 | 18.89 | 17.86 | 17.27 | 16.32 | 15.63 | 15.10 | 14.48 | 13.90 | 13.40 | 12.38 | 12.01 | 11.20 | 10.79 | 10.31 | 10.18 | 11.62 | ||||||||
| Share price1, 3 | 408.59 | 330.53 | 330.72 | 275.42 | 242.04 | 250.66 | 276.41 | 270.22 | 288.49 | 310.11 | 286.50 | 261.97 | 232.33 | 213.25 | 205.01 | 177.43 | 168.04 | 137.24 | 138.06 | 125.01 | 106.38 | 102.32 | 108.04 | 94.26 | 95.01 | 78.76 | ||||||||
| Valuation Ratio | ||||||||||||||||||||||||||||||||||
| P/BV ratio4 | 12.74 | 11.13 | 11.92 | 10.52 | 9.84 | 10.77 | 12.38 | 12.40 | 13.52 | 15.32 | 15.16 | 14.67 | 13.45 | 13.07 | 13.11 | 11.75 | 11.61 | 9.87 | 10.30 | 10.10 | 8.86 | 9.14 | 10.02 | 9.14 | 9.34 | 6.78 | ||||||||
| Benchmarks | ||||||||||||||||||||||||||||||||||
| P/BV Ratio, Competitors5 | ||||||||||||||||||||||||||||||||||
| Accenture PLC | 8.00 | 8.03 | 7.44 | 7.65 | 7.22 | 7.26 | 7.13 | 8.46 | 9.85 | 12.45 | 11.06 | 9.57 | 9.27 | 9.38 | 8.51 | 8.64 | 6.53 | 8.73 | 8.15 | 8.50 | 8.38 | 7.22 | 9.44 | 10.77 | 9.99 | 10.78 | ||||||||
| Adobe Inc. | — | 14.62 | 16.31 | 14.51 | 14.82 | 12.24 | 11.22 | 9.10 | 12.33 | 15.78 | 15.94 | 19.07 | 20.14 | 16.77 | 16.53 | 19.27 | 19.03 | 14.08 | 16.03 | 13.41 | 14.11 | 12.97 | 12.76 | 14.79 | 13.37 | 12.12 | ||||||||
| International Business Machines Corp. | — | — | 7.49 | 5.72 | 5.76 | 5.29 | 5.34 | 5.99 | 5.98 | 6.43 | 5.90 | 4.99 | 5.83 | 5.93 | 5.24 | 4.65 | 5.39 | 5.61 | 6.04 | 6.67 | 7.52 | 7.55 | — | — | — | — | ||||||||
| Intuit Inc. | 10.89 | 9.31 | 8.92 | 7.16 | 7.29 | 6.64 | 7.20 | 5.97 | 8.81 | 18.30 | 15.71 | 12.05 | 12.32 | 18.11 | 17.71 | 15.95 | 20.02 | 19.43 | 20.00 | 15.37 | 23.25 | 18.21 | 24.12 | 20.68 | 38.10 | 33.53 | ||||||||
| Oracle Corp. | 71.68 | 126.71 | 308.71 | — | — | — | — | — | — | — | 41.57 | 21.84 | 22.54 | 19.31 | 14.01 | 10.62 | 11.23 | 9.59 | 8.59 | 7.70 | 5.45 | 4.92 | 3.84 | 4.02 | 3.54 | 3.60 | ||||||||
| Palo Alto Networks Inc. | 19.43 | 35.97 | 42.84 | 50.71 | 77.94 | 99.68 | 251.98 | 141.27 | 399.29 | 100.84 | 71.88 | 35.40 | 35.42 | 36.65 | 20.61 | 30.82 | 12.21 | 14.24 | 12.91 | 13.49 | 22.29 | 13.10 | 22.92 | 26.22 | 25.13 | 20.63 | ||||||||
| Salesforce Inc. | 3.71 | 3.61 | 3.13 | 2.48 | 2.89 | 2.98 | 3.37 | 4.51 | 4.70 | 5.10 | 4.73 | 5.13 | 6.42 | 4.60 | 4.48 | 4.17 | 7.74 | 7.48 | 7.66 | 7.32 | 8.54 | 8.58 | — | — | — | — | ||||||||
| ServiceNow Inc. | — | — | 20.60 | 15.73 | 16.49 | 16.55 | 18.36 | 18.56 | 21.02 | 25.22 | 30.36 | 38.72 | 35.47 | 32.82 | 40.91 | 37.26 | 33.38 | 29.58 | 31.48 | 31.83 | 38.92 | 41.50 | — | — | — | — | ||||||||
| Synopsys Inc. | — | 13.16 | 14.02 | 10.87 | 10.66 | 9.58 | 9.24 | 9.90 | 8.43 | 8.17 | 10.50 | 9.38 | 7.26 | 8.37 | 7.57 | 7.04 | 6.04 | 5.41 | 5.16 | 5.22 | 4.47 | 4.08 | 3.68 | 4.81 | 4.04 | 4.04 | ||||||||
Based on: 10-Q (reporting date: 2023-12-31), 10-Q (reporting date: 2023-09-30), 10-K (reporting date: 2023-06-30), 10-Q (reporting date: 2023-03-31), 10-Q (reporting date: 2022-12-31), 10-Q (reporting date: 2022-09-30), 10-K (reporting date: 2022-06-30), 10-Q (reporting date: 2022-03-31), 10-Q (reporting date: 2021-12-31), 10-Q (reporting date: 2021-09-30), 10-K (reporting date: 2021-06-30), 10-Q (reporting date: 2021-03-31), 10-Q (reporting date: 2020-12-31), 10-Q (reporting date: 2020-09-30), 10-K (reporting date: 2020-06-30), 10-Q (reporting date: 2020-03-31), 10-Q (reporting date: 2019-12-31), 10-Q (reporting date: 2019-09-30), 10-K (reporting date: 2019-06-30), 10-Q (reporting date: 2019-03-31), 10-Q (reporting date: 2018-12-31), 10-Q (reporting date: 2018-09-30), 10-K (reporting date: 2018-06-30), 10-Q (reporting date: 2018-03-31), 10-Q (reporting date: 2017-12-31), 10-Q (reporting date: 2017-09-30).
1 Data adjusted for splits and stock dividends.
2 Q2 2024 Calculation
BVPS = Stockholders’ equity ÷ No. shares of common stock outstanding
= 238,268,000,000 ÷ 7,430,436,229 = 32.07
3 Closing price as at the filing date of Microsoft Corp. Quarterly or Annual Report.
4 Q2 2024 Calculation
P/BV ratio = Share price ÷ BVPS
= 408.59 ÷ 32.07 = 12.74
5 Click competitor name to see calculations.
| Valuation ratio | Description | The company |
|---|---|---|
| P/BV ratio | The P/BV ratio is interpreted as an indicator of market judgment about the relationship between a company required rate of return and its actual rate of return. | Microsoft Corp. P/BV ratio decreased from Q4 2023 to Q1 2024 but then increased from Q1 2024 to Q2 2024 exceeding Q4 2023 level. |