Financial Analysis of Microsoft Company (MSFT)

Microsoft is one of the biggest and best performing companies in the world. Below if the financial analysis of Microsoft and I'll evaluate whether it is overvalued or not.

• Microsoft has a gross margin of 68.7%, and net margin of 37.2%, which are both very high compared with companies in other industries.
• It has an 18.4% quarterly revenue growth rate, which represents its healthy growing ability.
• However, the PE ratio has reached 28, and I would think it is slightly overvalued if we only look at this ratio.
• Overall, Microsoft is a great company with proven steady growing abilities. It might not be at a cheap price at the moment. But if you do invest, you would be investing in its ability to make profits.