Stocktoria
MICROSOFT CORP MSFT
MICROSOFT CORP (MSFT) earns a Piotroski F-score of 6/9 (mixed financial health), with an Altman Z″ in the safe zone. It pays a dividend yielding 0.95% (safety: safe). FY2025 revenue was $331.8B at a 40.3% net margin.
Quality score trend · recomputed for each fiscal year
Each year's score is computed from that year's filing — a rising Piotroski F or Altman Z″ means improving financial health, a fall is worth a look.
Beneish M-score: -2.67 — low (below −2.22 — no manipulation red flag) . A statistical screen for earnings manipulation, not proof — and it doesn't apply to most banks/insurers.
Analyst price target
Recent analyst actions
| Date | Firm | Rating |
|---|---|---|
| 2026-08-12 | Wells Fargo | Overweight (main) |
| 2026-08-05 | Tigress Financial | Buy (main) |
| 2026-07-30 | Bernstein | Outperform (main) |
| 2026-07-30 | Citigroup | Buy (main) |
| 2026-07-30 | RBC Capital | Outperform (reit) |
| 2026-07-30 | Stifel | Hold (main) |
Wall Street analyst consensus — a sentiment gauge, not our scoring.
Forward estimates · earnings calendar →
Consensus analyst estimates and scheduled dates — forward-looking, may change.
How it ranks in Services · percentile among 982 companies
Percentile vs other Services companies we cover — e.g. “stronger than 90%” means only 10% score higher on that measure.
Piotroski F breakdown · 6/9 tests passed
- Positive return on assets
- Positive operating cash flow
- Rising ROA
- Cash flow exceeds net income
- Lower long-term debt
- Rising current ratio
- No share dilution
- Rising gross margin
- Rising asset turnover
Altman Z″ components · safe zone
| Component | Value |
|---|---|
| Working capital / assets | 0.081 |
| Retained earnings / assets | 0.384 |
| EBIT / assets | 0.208 |
| Equity / liabilities | 1.247 |
Sector peers · similar-size Services companies compare side by side →
| Ticker | Company | Piotroski F | Altman Z″ | P / E | Revenue growth |
|---|---|---|---|---|---|
| MSFT | MICROSOFT CORP | 6/9 | 4.49 | 20.7 | +17.8% |
| ORCL | ORACLE CORP | 4/9 | 0.8 | 25 | +17.3% |
| CRM | Salesforce, Inc. | 7/9 | 1.79 | 17.4 | +9.6% |
| XYZ | Block, Inc. | 5/9 | 4 | 34 | +0.3% |
| ADBE | ADOBE INC. | 7/9 | 7.67 | 11.3 | +10.5% |
| INTU | INTUIT INC. | 8/9 | 4.49 | 18.9 | +15.6% |
| NTES | NetEase, Inc. | 4/9 | 10.17 | — | +11.6% |
About MICROSOFT CORP
Microsoft Corporation, a technology company, develops and supports a portfolio of technology solutions for individuals and businesses worldwide. It operates through three segments: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. The Productivity and Business Processes segment offers Microsoft 365 Commercial, Enterprise Mobility + Security, Power BI, Exchange, SharePoint, Microsoft Teams, Microsoft 365 Security and Compliance, Microsoft 365 Copilot, and Windows Commercial on-premises and Office licensed on-premises. This segment also provides Microsoft 365 Consumer products and cloud services; LinkedIn, including talent solutions, marketing solutions, subscriptions, and sales solutions; Dynamics 365, a set of cloud-based applications; and on-premises ERP and CRM applications. The Intelligent Cloud segment offers server products and cloud services; cloud and AI consumption-based services, GitHub cloud services, health and life sciences cloud services, as well as virtual desktop offerings, and other cloud services; SQL Server, Windows Server, Visual Studio, System Center, and related client access licenses; and enterprise support services, industry solutions, Microsoft partner network, and learning experience. The More Personal Computing segment provides Windows OEM licensing and devices comprising Surface and PC accessories; XBOX hardware, and XBOX first- and third-party content and services; XBOX Game Pass and other subscriptions; XBOX Cloud Gaming, advertising, and other cloud services; and search advertising consisting of Bing, Copilot, Microsoft News, Microsoft Edge, and third-party affiliates. It sells its products through partners and retail networks. The company was founded in 1975 and is headquartered in Redmond, Washington.
FAQ
Is MSFT financially healthy?
MICROSOFT CORP's Piotroski F-score is 6/9 (8–9 is excellent, 0–3 weak), and its Altman Z″ distress score is in the safe zone.
Does MSFT pay a dividend, and is it safe?
Yes. MICROSOFT CORP pays a dividend yielding about 0.95% with a 23.6% payout ratio, rated “safe” for safety.
How profitable is MSFT?
In FY2025, MICROSOFT CORP had a net margin of 40.3% and a return on equity of 30.2%.
Is MSFT overvalued or undervalued?
MICROSOFT CORP trades at about 27.4× trailing earnings — below its 10-year norm (10-year range 22.4×–49.8×, median 35.4×). Stocktoria reports the data, not buy/sell advice.
What is the analyst price target for MSFT?
The average Wall-Street price target for MICROSOFT CORP is $567.20, about 15.2% above the recent price, from 53 analysts (consensus: strong buy).
Is MSFT a good stock to buy?
Stocktoria doesn't give buy or sell advice, but here is the data on MICROSOFT CORP: a Piotroski F-score of 6/9, an Altman Z″ in the safe zone, a P/E of about 20.7×, a dividend yield of 0.95%. Weigh these quality and valuation signals against your own goals.
Computed from company filings · US · as of 2025-06-30. Facts plus Stocktoria's own computed scores — not investment advice.