---
title: Microsoft (MSFT) — software card
canonical: https://sweetvaluelab.com/tools/software/msft
ticker: MSFT
tier: Mega
as_of: 2026-10-16
---
# Microsoft (MSFT) — software card

Microsoft, Mega, grows revenue 17.8% on a 67.9% gross margin and a 20.2% free-cash-flow margin (16.4% after stock-based compensation), and trades at 12.0× trailing revenue. Prices as of Oct 16, 2026; trailing-twelve-month figures through Aug 31, 2026.

## The card

| Figure | MSFT | Mega average (4) |
| --- | ---: | ---: |
| Price | $529.05 |  |
| Revenue (TTM) | $331.8B |  |
| Revenue growth | 17.8% | 14.7% |
| Revenue growth, prior year | 14.9% |  |
| Gross margin | 67.9% | 77.7% |
| Operating margin | 46.8% |  |
| Free cash flow (TTM) | $67.0B |  |
| FCF margin | 20.2% | 19.2% |
| FCF margin after SBC | 16.4% |  |
| Stock-based compensation (TTM) | $12.4B |  |
| SBC / revenue | 3.7% | 8.6% |
| Rule of 40 | 3798 | 3389 |
| Diluted shares, YoY | -0.1% |
| Buybacks (TTM) | $22.3B |  |
| Market value | $3.9T |  |
| Net cash | -$52.0B |  |
| Enterprise value | $4.0T |  |
| EV / revenue | 12.0× | 5.0× |
| EV / gross profit | 17.7× |  |
| EV / FCF | 59.6× |  |
| P/E | 29.5 |  |

## Lights

No light is on.

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Source: https://sweetvaluelab.com/tools/software/msft (SweetValueLab, free, no account). Quarterly statements from Financial Modeling Prep, closes from the daily price cache; the engine's rules are on the board page. Research and educational data, not investment advice; nothing here is a recommendation to buy, sell or hold any security.