Is Microsoft Corporation (MSFT) Undervalued?
The traditional Graham Number cannot be calculated for Microsoft Corporation (MSFT) due to missing data. Consider using DCF or other valuation methods for a complete picture.
Analysis updated March 8, 2026
MSFT Key Valuation Metrics
| Metric | Value | Signal |
|---|---|---|
| Current Price | $408.96 | — |
| Graham Number | N/A | — |
| P/E Ratio | N/A | Unprofitable |
| P/B Ratio | 7.77 | ▼ High |
| DCF Fair Value | N/A | — |
| Dividend Yield | 0.85% | — Low |
| 52-Week Range | $344.79 – $555.45 | Mid-range |
| Market Cap | N/A | Micro Cap |
| Sector | Technology | — |
How We Calculated MSFT's Graham Number
The Graham Number, developed by Benjamin Graham (the father of value investing), estimates a stock's maximum fair price based on its earnings and book value.
Graham Number = √(22.5 × EPS × BVPS)
For Microsoft Corporation (MSFT):
- Earnings Per Share (EPS): N/A
- Book Value Per Share (BVPS): N/A
MSFT Dividend Profile
Microsoft Corporation currently pays a quarterly dividend of $0.87 per share, yielding 0.85% at the current price.
| Annual Dividend | $3.48 |
| Dividend Yield | 0.85% |
| Payout Ratio | N/A |
| Consecutive Years Paid | 5+ years |
| 5-Year Dividend Growth | -22.6% |
| Payment Frequency | Quarterly |
Dividend History
MSFT Value Score: 1/10
Our proprietary value score rates Microsoft Corporation a 1 out of 10, placing it in the “Overvalued / Caution” category for value investors.
Score Components
Graham Number not available
P/E not available
Significant premium to book value
DCF value not available
Modest dividend yield
Adequate financial health
Score methodology: How We Score Stocks
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These Technology stocks have similar valuation profiles to Microsoft Corporation:
Frequently Asked Questions About MSFT
Is MSFT undervalued right now?
Based on Graham Number analysis, MSFT does not appear significantly undervalued as of March 8, 2026. The Graham Number of $N/A compared to the current price of $408.96 indicates a N/A% difference.
What is Microsoft Corporation's intrinsic value?
Using our DCF model, Microsoft Corporation's estimated intrinsic value is $N/A per share. The Graham Number suggests a fair value of $N/A.
What is the Graham Number for MSFT?
The Graham Number for MSFT is $N/A, calculated using EPS of $N/A and Book Value Per Share of $N/A. The formula is sqrt(22.5 x EPS x BVPS).
Does MSFT pay a dividend?
Yes, MSFT pays dividends with a yield of 0.85%. The annual dividend is $3.48 per share. It has paid dividends for 5+ consecutive years.
Is MSFT a good buy right now?
Our value score rates MSFT a 1/10. The stock is in the "Overvalued / Caution" category. However, this is analysis — not financial advice. Consider your own risk tolerance, portfolio allocation, and investment timeline before making any decisions.
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About Microsoft Corporation
Microsoft Corporation develops, licenses, and supports software, services, devices, and solutions worldwide. The company operates in three segments: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. The Productivity and Business Processes segment offers Office, Exchange, SharePoint, Microsoft Teams, Office 365 Security and Compliance, Microsoft Viva, and Skype for Business; Skype, Outlook.com, OneDrive, and LinkedIn; and Dynamics 365, a set of cloud-based and o...
Disclaimer: This analysis is for informational and educational purposes only and does not constitute financial advice, a recommendation, or a solicitation to buy or sell any security. Past performance does not guarantee future results. Always do your own research and consult a licensed financial advisor before making investment decisions. Data sourced from Financial Modeling Prep API and may be delayed. Last updated: March 8, 2026.