M i c r o s o f t: (symbol: msft): Will the G r o w t h continue…………..
M i c r o s o f t: (symbol: msft): Will the G r o w t h continue…………..
Microsoft, the largest software company in the world, has enjoyed quite some publicity since past many years. Though Microsoft gets a lot of bad publicity for its faulty software, one can not ignore that it has been successful at bringing the PC on every desktop. Though some might not agree!…..however, fact is that today more than 90 percent of the world computers are using Microsoft windows operating system, windows server, Microsoft office productivity suite, etc. Microsoft is ubiquitous. It is every where be on the PC, handled, in your living rooms, in the games console market and the list goes on. However, with tough competition from Yahoo, Apple noticeably, Microsoft has been developing new strategies and products, which will be seen in the second half 2006 that will help maintain its market dominance. Many analysts yet maintain a buy recommendation for Microsoft. Some key Microsoft Financial information is given below – source: yahoo financials.
Market Cap (intraday): 281.02B
Trailing P/E (ttm, intraday): 22.30
Forward P/E (fye 30-Jun-07) 1: 17.37
PEG Ratio (5 yr expected): 1.62
Price/Sales (ttm): 6.93
Price/Book (mrq): 5.79
Enterprise Value/Revenue (ttm)3: 5.96
Enterprise Value/EBITDA (ttm)3: 13.398
Profitability
Profit Margin (ttm): 31.90%
Operating Margin (ttm): 42.19%
Management Effectiveness
Return on Assets (ttm): 12.85%
Return on Equity (ttm): 20.71%
Income Statement
Revenue (ttm): 40.34B
Revenue Per Share (ttm): 3.737
Qtrly Revenue Growth (yoy): 6.00%
Gross Profit (ttm): 33.59B
EBITDA (ttm): 17.95B
Net Income Avl to Common (ttm): 12.87B
Diluted EPS (ttm): 1.18
Qtrly Earnings Growth (yoy): 24.20%
Balance Sheet
Total Cash (mrq): 40.06B
Total Cash Per Share (mrq): 3.763
Total Debt (mrq): 0
Total Debt/Equity (mrq): 0
Current Ratio (mrq): 2.927
Book Value Per Share (mrq): 4.54
Last Trade: 26.45
Trade Time: 1:59PM ET
Change:
Prev Close: 26.40
Open: 26.57
Bid: 26.45 x 13300
Ask: 26.46 x 37100
1y Target Est: 30.88
Day's Range: 26.31 - 26.72
52wk Range: 23.82 - 28.25
Volume: 41,666,625
Avg Vol (3m): 64,965,500
Market Cap: 281.55B
P/E (ttm): 22.34
EPS (ttm): 1.18
Div & Yield: 0.36 (1.40%)
Microsoft….with a good position in terms of assets and liabilities… (noticeably ..zero debt), looks favorable.
What I believe will fuel the future growth for Microsoft is the introduction of it next generation or as Microsoft calls next wave of technological advancement in computing products. Microsoft has been working continuously to meet it deadlines on the new windows vista expected to be out in second half of 2006, along with this there will be an array of new technologies like windows anti virus, windows anti spy ware, new programming language - XAML, new managed programming model called winfx, new msn portal – live.com, a new outlook style web based mail client called windows mail, new windows movie maker, windows player, windows graphic foundation – Avalon, new communication services for windows, and many many more…………………
