MICROSOFT CORP (MSFT)
Price: $24.65
Industry: Computer Software-Services Chaikin Power Gauge Report | Generated: Thu Jun 23 13:39 EDT 2011 MSFT MICROSOFT CORP
$24.65
Power Gauge Rating
MSFT - Neutral TM
The Chaikin Power Gauge Rating for MSFT is neutral with attractive financial metrics, very strong earnings performance, bearish price/volume activity and neutral expert opinions.
Financial Metrics
MSFT's earnings performance is very strong as a result of a relatively low projected P/E ratio.
Earnings Performance
Price and volume activity for MSFT is bearish which is indicated by its relative weakness versus the market.
Price/Volume Activity
Expert Opinions
Despite these bullish factors, Chaikin Power Tools has identified a negative trend resulting in a neutral rating.
News Sentiment Rating
Neutral MSFT MICROSOFT CO..
June 23, 2011
TM
Chaikin Sentiment Gauge for MSFT is neutral. Stories concerning MSFT have a balanced or neutral sentiment.
News Sentiment :Neutral
Power Trend - 5 Year Chart
The Power Gauge distills a 20 factor model into a concise picture of a stock's potential.
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High Potential
Neutral
Low Potential
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Financials & Earnings
Financial Metrics
Financial Metrics Rating
Bullish
LT Debt/Equity Ratio
MSFT's financial metrics are very good. The company yields a high return on shareholder's equity and generates high free cash flow relative to market capitalization.
Price to Book Value
Return on Equity
The rank is based on a high long term debt to equity ratio, high price to book value ratio, high return on equity and relatively high cash flow.
Price to Sales Ratio
Business Value
Assets and Liabilities
Valuation
Returns
Ratio
TTM
Ratio
TTM
Ratio
Current Ratio
2.76
Price/Book
3.87
Return on Invest
37.0%
LT Debt/Equity
0.11
Price/Sales
3.33
Return on Equity
43.8%
Earnings Performance
TTM
Earnings Performance Rating
Very Bullish
Earnings Growth
MSFT's earnings performance has been very strong. The company is priced relatively low compared to next year's projected EPS and has a stable 5 year earnings trend.
Earnings Surprise
Earnings Trend
The rank is based on high earnings growth over the past 3-5 years, a relatively low projected P/E ratio and consistent earnings over the past 5 years.
Projected P/E Ratio
Earnings Consistency
5 Year Revenue and Earnings Growth
Revenue(M) Rev % Growth EPS EPS % Growth
EPS Estimates
06/06
06/07
06/08
06/09
06/10
44,282.00
51,122.00
60,420.00
58,437.00
62,484.00
11.29%
15.45%
18.19%
-3.28%
6.93%
$1.21
$1.44
$1.90
$1.63
$2.13
7.08%
19.01%
31.94%
-14.21%
30.67%
EPS Surprise
Factor
Actual EPS Prev
EST EPS Current
Change
$0.52
$0.58
+0.06
Quarterly EPS Yearly EPS Factor
$2.13
$2.58
+0.45
Actual EPS Growth
Est EPS Growth
Change
9.71%
11.26%
+1.55
3-5 year EPS
EPS Quarterly Results Estimate
Actual
Difference
% Difference
FY
Qtr 1
Qtr 2
Qtr 3
Qtr 4
Total
Latest Qtr
$0.56
$0.56
$0.00
1 Qtr Ago
$0.68
$0.77
$0.09
0.00
06/09
$0.48
$0.47
$0.34
$0.34
$1.63
13.24
06/10
$0.40
$0.75
$0.46
$0.52
$2.13
2 Qtr Ago
$0.55
$0.62
$0.07
12.73
3 Qtr Ago
$0.47
$0.51
$0.04
8.51
06/11
$0.63
$0.78
$0.62
-
-
Fiscal Year End Month is June.
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Price Trend & Expert Opinions Price/Volume Activity
Price/Volume Activity Rating
Bearish
Relative Strength vs Market
Chaikin Money Flow
Price and volume activity for MSFT is bearish. MSFT has underperformed the S&P 500 over 26 weeks and is experiencing sustained selling.
Price Trend
The rank for MSFT is based on its relative weakness versus the market, negative Chaikin money flow, a positive Chaikin price trend ROC and a decreasing volume trend.
Price Trend ROC
Volume Trend
Relative Strength vs S&P500 Index
Chaikin Money Flow
Chart shows whether MSFT is performing better or worse than the market.
Chaikin Money Flow analyzes supply and demand for a company's stock.
Price Activity
Price Activity
Factor
Value
Factor
52 Week High
28.87
% Change Price - 4 Weeks
52 Week Low
23.01
% Change Price - 24 Weeks
% Change YTD Rel S&P 500
-14.02%
Value
Factor
1.90%
Average Volume 20 Days
51,686,116
-11.96%
Average Volume 90 Days
60,240,870
% Change Price - 4 Wks Rel to S&P % Change Price - 24 Wks Rel to S&P
Expert Opinions
Volume Activity
4.54%
Value
Chaikin Money Flow Persistency
44%
-12.69%
Expert Opinions
Neutral
Earnings Estimate Revisions
Expert opinions about MSFT are neutral. Shorting of MSFT is low and insiders are not net buyers of MSFT's stock.
Short Interest
Insider Activity
The rank for MSFT is based on a low short interest ratio, insiders not purchasing significant amounts of stock, optimistic analyst opinions and relative weakness of the stock versus the Computer Software-Services industry group.
Analyst Opinions
Relative Strength vs Industry
Earnings Estimate Revisions Current Current Qtr Next Qtr
0.58 0.67 Current
Current FY
2.58
Analyst Recommendations
7 Days Ago % Change 0.58 0.67
0.00% 0.00%
30 Days Ago % Change 2.58
0.00
Factor Mean this Week Mean Last Week
EPS Estimates Revision Summary Value
Buy 0.00
Mean 5 Weeks Ago
Buy
Last 4 Weeks
Down
Up
Down
Curr Qtr
0
0
0
1
Curr Yr
0
0
0
1
Next Qtr
0
0
0
0
Next Yr
0
0
0
1
Buy
Change
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Last Week Up
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The Company & Its Competitors
News Headlines for MSFT
MSFT's Competitors in Computer Software-Services Company
Power Gauge
Historic EPS growth
Projected EPS growth
Profit Margin
PEG
PE
Revenue(M)
MSFT
9.71%
11.26%
31.76%
0.85
10.02
62,484
SYMC
8.78%
10.00%
9.64%
1.30
14.85
6,190
ADBE
15.65%
11.11%
22.22%
1.58
16.95
3,800
INTU
11.23%
14.00%
16.94%
1.64
23.00
3,455
3.31%
12.00%
18.40%
0.91
11.71
4,429
SAP
10.55%
14.00%
14.08%
1.19
19.28
17,003
ORCL
17.20%
14.45%
22.42%
0.98
16.43
-
INFY
23.83%
18.17%
24.81%
1.14
23.58
6,041
CA
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Company Details
Company Profile
MICROSOFT CORP ONE MICROSOFT WAY REDMOND, WA 98052-6399 USA Phone: 425-882-8080 Fax: 425-936-7329 Website: http://http://www.microsoft.com Full Time Employees: 89,000 Sector: Computer and Technology
Microsoft develops, manufactures, licenses, and supports a wide range of software products for a multitude of computing devices. Microsoft software includes scalable operating systems for servers, personal computers, and intelligent devices; server applications for client/server environments; knowledge worker productivity applications; and software development tools. The Company's online efforts include the MSN network of Internet products and services and alliances with companies involved with broadband access and various forms of digital interactivity.
Power Gauge Ratings are created using a relative ranking system that assigns a rank of 0 to 100 (100 being the highest) to each stock in the universe. Rank is calculated by evaluating each of the stocks factors and combining them into a single number using a weighting formula. A stock's rank ranges from 100-0, where 100 is the strongest, and a rank of 95 indicates the stock is better than 95% of the stocks in the universe. Chaikin Stock Research(CSR) is not registered as a securities broker dealer or investment advisor with either the U.S. Securities and Exchange Commission or with any state securities regulatory authority. CSR is not responsible for trades executed by users of this research report, our web site or mobile app based on the information included herein. The information presented in this report does not represent a recommendation to buy or sell stocks or any financial instrument nor is it intended as an endorsement of any security or investment. The information in this report is generic by nature and is not personalized to the specific financial situation of any individual. The user bears complete responsibility for their own investment research and should seek the advice of a qualified investment professional before making any investment decisions. Copyright (c) 1978-(Present) by ZACKS Investment Research, Inc ("ZACKS"). The information, data, analyses and opinions contained herein (1) includes the confidential and proprietary information of ZACKS, (2) may not be copied or redistributed, for any purpose, (3) does not constitute investment advice offered by ZACKS, (4) are provided solely for informational purposes, and (5) are not warranted or represented to be correct, complete, accurate or timely. ZACKS shall not be responsible for investment decisions, damages or other losses resulting from, or related to, use of this information, data, analyses or opinions. Past performance is no guarantee of future performance. ZACKS is not affiliated with Chaikin Power Tools. This report from Chaikin Power Tools is for informational purposes only and is not a recommendation to buy or sell securities.
LM 2.3 DS 3.0 LS 2.1
Data Provided by ZACKS Investment Research, Inc., www.zacks.com
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