Microsoft Corp (MSFT) Valuation

Historical valuation analysis based on 500 data points (2024-08-30 to 2026-08-28)

Microsoft develops and licenses consumer and enterprise software. It is known for its Windows operating systems and Office productivity suite. The company is organized into three equally sized broa...

Microsoft Corp (MSFT) currently trades at a P/E ratio of 30.17 (historical range: 21.01–42.50, median: 34.55), placing it at the 33th percentile — below its historical average, P/S ratio of 11.87 (range: 8.27–15.15, 39th percentile — below its historical average), EV/EBITDA of 32.54 (range: 22.54–109.95, 42th percentile).

Over the historical period (2024-08-30 to 2026-08-28), Microsoft Corp's P/E ratio has contracted by 20% over the observed period (from an average of 36.3 to 29.0).

Microsoft Corp appears undervalued relative to its historical range, with most valuation metrics below their median levels.

Historical Valuation Metrics

MetricCurrentMinMedianMaxPercentileAssessment
P/E Ratio30.1721.0134.5542.5033thbelow its historical average
P/S Ratio11.878.2712.3115.1539thbelow its historical average
EV/EBITDA32.5422.5437.37109.9542thnear its historical average
FCF Yield0.010.010.010.0250thnear its historical average
Current Price: $500.87
Market Cap: $3.72T
Sector: Technology