Morgan Stanley Says You Should Buy the Dip in These 3 Software Stocks

As a result of the selloff in software stocks, Microsoft is now trading at a forward P/E of 23.49x. This is 25% below the stock’s five-year average P/E multiple and just above the S&P 500’s ($SPX) forward P/E multiple of 21.92x. A similar picture is depicted across most of the valuation multiples. What’s more, even the dividend yield of 0.86% is now above the five-year average, which is attractive considering the stock is up 75% in the last five years.MSFT stock has given back all its gains from the last 12 ...