Microsoft valuation guide: price, P/E, P/B, ROE, market cap
FundamentalRadar's English US-stock page for Microsoft (MSFT) collects public market and fundamental data in one snapshot. This article explains what each indicator represents, where it appears on the page, the reference values as of August 10, 2026, and the freshness and validation caveats to inspect before treating a figure as current. This is an educational overview of data published by public sources — it does not constitute investment advice or a recommendation to buy or sell.
The product route is en/us-stocks/MSFT.
TL;DR
- The MSFT page shows a reference price of $506.06 as of the close on August 10, 2026, with a P/E of 27.85× and a P/B of 8.39× from the public market-data feed; Microsoft's FY2026 10-K provides an independent cross-check at $17.95 diluted EPS and $442.387 billion in shareholders' equity.
- ROE is displayed at approximately 34%, and the 12-month dividend yield is approximately 0.72%, based on a $3.64 annual dividend per share; these are trailing figures from the feed, not forecasts.
- The transparency card reports the source provider and the retrieval timestamp, plus a snapshot status that can read "verified", "divergent", "stale" or "unavailable" — consult it before citing any figure.
What the MSFT page shows
The US-stock page for MSFT presents a metric grid containing the current reference price in USD, P/E, P/B, ROE, 12-month dividend yield, net margin, debt-to-equity, market cap, volume in shares, and sector. It also surfaces recent dividend and distribution records, available financial statements, and a transparency card with source and retrieval timestamps. The page does not calculate these ratios itself; it publishes what the upstream data feed reported, formatted for readability.
The metric grid maps to backend indicator keys as follows:
| Field on page | Backend key | What it measures | Source |
|---|---|---|---|
| Price | cotacao_atual | Current reference price in USD | Market-data feed |
| P/E | pl | Price relative to trailing earnings per share | Market-data feed |
| P/B | pvp | Price relative to book value per share | Market-data feed |
| ROE | roe | Net income relative to average shareholders' equity | Market-data feed |
| Dividend yield (12M) | dy_12m | Trailing 12-month distributions divided by price | Dividend data feed |
| Market cap | valor_mercado | Share price times shares outstanding | Market-data feed |
| Volume (shares) | volume | Average daily shares traded | Market-data feed |
Price and market cap
The reference price is shown in USD. As of the close on August 10, 2026, the page reported $506.06 per share [https://stockanalysis.com/stocks/msft/statistics/]. The "At close" timestamp on the page reflects the latest reported market price, not an intraday quote.
Market cap is displayed in compact USD notation. With 7.43 billion shares outstanding [https://stockanalysis.com/stocks/msft/statistics/], the market cap of approximately $3.76 trillion is the price multiplied by that share count. Because both price and share count change over time — Microsoft has reduced its share count by 0.16% year over year through buybacks [https://stockanalysis.com/stocks/msft/statistics/] — market cap moves even between page loads.
The page also shows trading volume as a share count, which is distinct from a currency-denominated liquidity figure. Average daily volume over 20 trading days was approximately 38.99 million shares on August 10, 2026 [https://stockanalysis.com/stocks/msft/statistics/].
Valuation ratios: P/E and P/B
Price-to-earnings (P/E) compares the current share price with earnings per share (EPS). For the general definition, see the P/E ratio guide. The page displays a trailing P/E of 27.85× from the market-data feed [https://stockanalysis.com/stocks/msft/statistics/]. A forward P/E of 25.41× is also available on the market-data provider's site [https://stockanalysis.com/stocks/msft/statistics/], but the page itself shows the trailing figure.
Cross-checking the trailing P/E against Microsoft's FY2026 10-K provides context. The filing reports diluted EPS of $17.95 for the year ended June 30, 2026 [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. At the August 10, 2026 price of $506.06, that implies a P/E of about 28.2×, which aligns closely with the feed's 27.85× once the trailing twelve months of earnings are accounted for. The small difference reflects the trailing P/E using the most recent four quarters rather than a single fiscal year.
Price-to-book (P/B) compares the share price with book value per share. See the P/B ratio guide for the full definition. Book value per share is total shareholders' equity divided by shares outstanding. Using the FY2026 10-K, shareholders' equity totaled $442.387 billion as of June 30, 2026 [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm], and 7.43 billion shares were outstanding [https://stockanalysis.com/stocks/msft/statistics/], giving book value per share of approximately $59.56. At the $506.06 price, that implies a P/B of roughly 8.5×, consistent with the feed's reported 8.39× [https://stockanalysis.com/stocks/msft/statistics/].
These are trailing figures from the feed, not forecasts. Forward P/E of 25.41× reflects analyst earnings estimates, which differ in methodology and revision cycle from trailing P/E [https://stockanalysis.com/stocks/msft/statistics/].
Return on equity (ROE)
ROE measures net income relative to average shareholders' equity. See the ROE guide for the DuPont breakdown. The MSFT page displays an ROE of approximately 34.04% from the market-data feed [https://stockanalysis.com/stocks/msft/statistics/].
Cross-checking with filings: Microsoft's FY2026 GAAP net income was $133.749 billion, and total stockholders' equity was $442.387 billion as of June 30, 2026 [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. The FY2025 year-end equity was $343.479 billion [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. Using the average of those two figures — approximately $392.933 billion — the filing-based ROE is about 33.3%, close to the feed's 34.04% [https://stockanalysis.com/stocks/msft/statistics/].
A high ROE can reflect profitability, financial leverage, or share repurchases that reduce the equity base. Microsoft's debt-to-equity ratio was 0.29 as of August 10, 2026 [https://stockanalysis.com/stocks/msft/statistics/], so leverage is modest; the bulk of the ROE comes from operating profitability rather than financial leverage.
Dividend yield and distributions
Microsoft pays a quarterly dividend. The annualized rate is $3.64 per share, based on a $0.91 quarterly dividend declared across all four fiscal-year 2026 quarters [https://www.microsoft.com/en-us/investor/faq]. The ex-dividend date was August 20, 2026, meaning investors purchasing on or after that date would not receive the next quarterly payment [https://stockanalysis.com/stocks/msft/statistics/].
The page displays a 12-month dividend yield of approximately 0.72% from the market-data feed [https://stockanalysis.com/stocks/msft/statistics/]. At the $506.06 reference price, that matches $3.64 ÷ $506.06 ≈ 0.72% [https://stockanalysis.com/stocks/msft/statistics/]. This is a trailing snapshot of income relative to price, not a return guarantee.
For the general meaning and calculation, see the dividend yield guide.
Financial statements
The page includes income statement, balance sheet, and cash flow rows when the API delivers them. Columns are labelled with the provider's own fiscal-period headers — such as "FY2026" or "Q4 FY2026" — and FundamentalRadar does not relabel them. The page shows up to four recent periods. If statements are unavailable for the asset, a "not available" state appears.
Microsoft's fiscal year runs July 1–June 30. The company filed its FY2026 Form 10-K on July 29, 2026, for the year ended June 30, 2026 [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. The quarterly report for Q4 FY2026 was released on July 29, 2026 [https://www.microsoft.com/en-us/investor/earnings/fy-2026-q4/press-release-webcast]. The latest balance-sheet data available to the page comes from the Q3 FY2026 filing, where total stockholders' equity was $414.367 billion [https://www.microsoft.com/en-us/investor/earnings/fy-2026-q3/balance-sheets].
The key FY2026 figures from the 10-K, cross-checked against the page's data:
| Metric | FY2026 value | FY2025 value | Source |
|---|---|---|---|
| Revenue | $331.839 billion | $281.724 billion | SEC 10-K |
| Net income | $133.749 billion | $101.832 billion | SEC 10-K |
| Diluted EPS | $17.95 | $13.64 | SEC 10-K |
| Total stockholders' equity | $442.387 billion | $343.479 billion | SEC 10-K |
| Cash dividends declared per share | $3.64 | $3.32 | SEC 10-K |
| Operating income | $155.237 billion | $128.528 billion | SEC 10-K |
| Free cash flow | $66.99 billion | — | StockAnalysis |
These are reported GAAP figures, not projections. The page's statement columns are tagged with the provider's period labels; readers who need the exact start and end dates should consult the original Form 10-K [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm].
Data freshness and validation
The transparency card lists the source provider and the retrieval timestamp (scraped_at), which represents when the backend last fetched from the upstream feed, not the date the underlying figure was published. A snapshot status field can read "verified", "divergent", "stale", or "unavailable" [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. "Stale" means the cached data is old relative to its revalidation schedule; "divergent" means the cross-source check found disagreement beyond tolerance. Readers who need a specific reporting date should check the reference_date and data_as_of fields rather than assuming the page is real-time.
How to read the MSFT page systematically
- Check the price and market cap first, then note the retrieval timestamp on the transparency card.
- Read trailing P/E alongside forward P/E; the page shows the trailing figure, while forward P/E reflects analyst earnings estimates.
- Inspect ROE with leverage in mind. Microsoft's debt-to-equity of 0.29 is modest, so ROE is primarily driven by profitability rather than financial leverage.
- Look at dividend yield as an income signal, not a return promise. The 0.72% yield is a trailing snapshot based on the $3.64 annual dividend.
- Verify financial-statement columns against the provider's period labels. "FY2026" on Microsoft means the year ended June 30, 2026.
- Cross-check ratios against the most recent Form 10-K when precision matters. File-based P/E, P/B, and ROE can differ from market-data feed values due to share-count basis and trailing-period methodology.
- Review the snapshot status before citing a figure.
Common errors and fixes
| Error | Cause | Fix | Source |
|---|---|---|---|
| Treating P/E as a standalone buy or sell signal | P/E changes with price and earnings, and varies by sector | Compare P/E with sector peers and with the company's own historical range | StockAnalysis |
| Confusing trailing and forward P/E | Market feeds mix trailing twelve-month and estimated forward earnings | Confirm whether the displayed P/E is trailing or forward; the MSFT page shows trailing P/E | SEC 10-K |
| Using book value as market value | Book value is an accounting residual, not a liquidation estimate | Treat P/B as a rough comparability tool, not a valuation floor | StockAnalysis |
| Ignoring share-count changes | Repurchases reduce shares outstanding, inflating per-share metrics | Check shares outstanding alongside EPS and ROE; Microsoft's count fell 0.16% YoY | SEC 10-K |
| Assuming dividend yield predicts total return | Yield is income relative to price, not a return guarantee | Use dividend yield alongside payout sustainability and earnings coverage | Investor Relations FAQ |
| Taking snapshots as real-time | The page revalidates on a server-side schedule, not continuously | Check the retrieval timestamp and snapshot status before citing a figure | StockAnalysis |
FAQ: Microsoft valuation and indicators
What is MSFT's trailing P/E on FundamentalRadar?
The page displays the trailing P/E reported by its public data feed. As of August 10, 2026, that figure was 27.85× [https://stockanalysis.com/stocks/msft/statistics/]. Cross-checking against Microsoft's FY2026 10-K: diluted EPS was $17.95 and the price was $506.06, implying a fiscal-year P/E of about 28.2×. The feed's trailing figure uses the most recent four quarters and may differ slightly because of share-count methodology [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm].
What does P/B mean for Microsoft?
P/B compares the share price with book value per share. Using the FY2026 10-K, shareholders' equity was $442.387 billion and 7.43 billion shares were outstanding as of June 30, 2026, giving book value per share of approximately $59.56 [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. At the $506.06 price, P/B is roughly 8.5×, close to the feed's reported 8.39×. See the P/B ratio guide for the formula.
How is ROE calculated?
ROE is net income divided by average shareholders' equity. Microsoft's FY2026 GAAP net income was $133.749 billion, and average equity (the midpoint of FY2025 and FY2026 year-end) was approximately $392.933 billion [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. That produces an ROE near 33.3%, close to the feed's 34.04% [https://stockanalysis.com/stocks/msft/statistics/]. A high ROE can reflect profitability, leverage, or share repurchases — see the ROE guide for the DuPont breakdown.
Why is Microsoft's dividend yield so low?
Microsoft's annualized dividend is $3.64 per share ($0.91 per quarter) [https://www.microsoft.com/en-us/investor/faq]. At the $506.06 price on August 10, 2026, that yields approximately 0.72% [https://stockanalysis.com/stocks/msft/statistics/]. The company's capital-return program also includes share repurchases; the yield reflects the income component, not total shareholder return.
When was Microsoft's last earnings report?
Microsoft reported FY2026 fourth-quarter and full-year results on July 29, 2026 [https://www.microsoft.com/en-us/investor/earnings/fy-2026-q4/press-release-webcast]. The FY2026 Form 10-K was filed the same day [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. The next earnings date is announced closer to the quarter end and can be found on the investor-relations calendar.
Are the financial statements audited?
The page publishes statements as delivered by its data providers. Microsoft's FY2026 financial statements in its Form 10-K are audited by independent registered public accounting firms [https://www.sec.gov/Archives/edgar/data/789019/000119312526323660/msft-20260630.htm]. The page itself does not reissue audit opinions; check the source filing if you need the original auditor's report.
How often is the MSFT page updated?
The English US-stock page revalidates on a server-side schedule. Between revalidations, price, ratios, and statements are snapshots. The transparency card shows the retrieval timestamp, and a snapshot status flag indicates whether the backend considers the data current, divergent, or stale.
What should I do if the snapshot status says "divergent"?
"Divergent" means the backend's cross-source check found disagreement beyond its tolerance. In that case, review the individual figures carefully and, if precision matters, consult the original provider or filing rather than relying on the page alone [https://stockanalysis.com/stocks/msft/statistics/].
Does FundamentalRadar recommend buying or selling MSFT?
No. FundamentalRadar publishes public indicators for research and education. The page presents data, not investment advice. Any decision to buy, sell, or hold remains the reader's own. See the market cap breakdown for how valuation scales with enterprise metrics.
Sources
- Microsoft FY2026 Form 10-K (filed July 29, 2026) — revenue, net income, diluted EPS, total stockholders' equity, dividends declared, share count for FY2025 and FY2026.
- Microsoft FY2026 Q4 earnings release (July 29, 2026) — quarterly and full-year results, dividend information.
- Microsoft FY2026 Q3 balance sheets — total stockholders' equity and total assets.
- Microsoft Investor Relations FAQ — quarterly dividend rate, annualized dividend, share-count context.
- StockAnalysis — MSFT Statistics — trailing and forward P/E, P/B, ROE, dividend yield, market cap, volume, shares outstanding, balance-sheet figures, cash-flow figures, and margins as of August 10, 2026.