Microsoft(MSFT) ZACKS·2025-04-02 14:06Core Viewpoint - Microsoft has experienced a slight decline in stock performance recently, but it has outperformed the broader market and its industry during the same period [1] Earnings Estimates Revisions - The consensus earnings estimate for the current quarter is 13.07, indicating a year-over-year change of +10.8%, also with a -0.1% change over the last 30 days [4] - The next fiscal year's consensus earnings estimate is 68.36 billion, indicating a year-over-year change of +10.5% [9] - For the current fiscal year, the revenue estimate is 311.53 billion, indicating a change of +12.9% [9] Recent Performance and Surprise History - In the last reported quarter, Microsoft achieved revenues of 3.23 compared to $2.93 a year ago [10] - The company exceeded the Zacks Consensus Estimate for revenues by +1.35% and for EPS by +3.86% [10] - Microsoft has consistently beaten consensus EPS and revenue estimates in the last four quarters [11] Valuation Metrics - Microsoft is currently graded D in the Zacks Value Style Score, indicating it is trading at a premium compared to its peers [15] - Valuation multiples such as price-to-earnings (P/E), price-to-sales (P/S), and price-to-cash flow (P/CF) are essential for assessing whether the stock is overvalued, fairly valued, or undervalued [13][14] Conclusion - The Zacks Rank 3 suggests that Microsoft may perform in line with the broader market in the near term, despite the market buzz surrounding the company [16]