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Microsoft (MSFT) Stock Moves -1.37%: What You Should Know
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Microsoft (MSFT - Free Report) closed the most recent trading day at $365.97, moving -1.37% from the previous trading session. This change was narrower than the S&P 500's 1.74% loss on the day. At the same time, the Dow lost 1.01%, and the tech-heavy Nasdaq lost 2.38%.
Shares of the software maker have depreciated by 7.38% over the course of the past month, underperforming the Computer and Technology sector's loss of 5.77%, and the S&P 500's loss of 4.99%.
Market participants will be closely following the financial results of Microsoft in its upcoming release. On that day, Microsoft is projected to report earnings of $4.04 per share, which would represent year-over-year growth of 16.76%. Our most recent consensus estimate is calling for quarterly revenue of $81.4 billion, up 16.17% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $17.1 per share and a revenue of $327.34 billion, signifying shifts of +25.37% and +16.19%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for Microsoft. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.37% higher. Microsoft is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Microsoft is holding a Forward P/E ratio of 21.69. This represents a premium compared to its industry average Forward P/E of 16.78.
One should further note that MSFT currently holds a PEG ratio of 1.35. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Computer - Software stocks are, on average, holding a PEG ratio of 1.35 based on yesterday's closing prices.
The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 43, finds itself in the top 18% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Microsoft (MSFT) Stock Moves -1.37%: What You Should Know
Microsoft (MSFT - Free Report) closed the most recent trading day at $365.97, moving -1.37% from the previous trading session. This change was narrower than the S&P 500's 1.74% loss on the day. At the same time, the Dow lost 1.01%, and the tech-heavy Nasdaq lost 2.38%.
Shares of the software maker have depreciated by 7.38% over the course of the past month, underperforming the Computer and Technology sector's loss of 5.77%, and the S&P 500's loss of 4.99%.
Market participants will be closely following the financial results of Microsoft in its upcoming release. On that day, Microsoft is projected to report earnings of $4.04 per share, which would represent year-over-year growth of 16.76%. Our most recent consensus estimate is calling for quarterly revenue of $81.4 billion, up 16.17% from the year-ago period.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $17.1 per share and a revenue of $327.34 billion, signifying shifts of +25.37% and +16.19%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for Microsoft. These revisions help to show the ever-changing nature of near-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the business performance and profit potential.
Empirical research indicates that these revisions in estimates have a direct correlation with impending stock price performance. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.37% higher. Microsoft is currently a Zacks Rank #3 (Hold).
Looking at its valuation, Microsoft is holding a Forward P/E ratio of 21.69. This represents a premium compared to its industry average Forward P/E of 16.78.
One should further note that MSFT currently holds a PEG ratio of 1.35. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Computer - Software stocks are, on average, holding a PEG ratio of 1.35 based on yesterday's closing prices.
The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 43, finds itself in the top 18% echelons of all 250+ industries.
The Zacks Industry Rank is ordered from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.