1- BEGINNING OF MICROSOFT:

Microsoft was founded on 4th of April, 1975, by Bill Gates and Paul Allen. Since then, Microsoft has grown into one of the largest companies in the world and is now part of the “Magnificent Seven” (Mag 7) stocks on Wall Street.


2- HEADQUARTERS OF MICROSOFT:


Microsoft’s headquarters is in Redmond, Washington, USA.


3- CEO OF MICROSOFT:


Bill Gates was the CEO in the early years of Microsoft, however, in 2014, Satya Nadella became CEO.


4- IPO PRICE:


Microsoft went public in 1986 at an IPO price of $21 per share. Since then, the stock has undergone 9 splits, significantly increasing long-term investor returns.


5- ALL-TIME HIGH:


Microsoft reached an all-time high of approximately $555 in October 2025.



6- CURRENT PRICE:


Currently, Microsoft is trading in the range of $410–$420.



7- FUNDAMENTAL ANALYSIS:


Microsoft is a leading Information Technology (IT) company with a market capitalization exceeding $3 trillion, making it one of the largest companies globally.


The company generates strong free cash flow, maintains high profit margins, and consistently rewards shareholders through dividends and stock buybacks. Microsoft holds a dominant competitive position in operating systems, enterprise software, and cloud infrastructure.



8- MAJOR BUSINESSES AND PRODUCTS:


i) Windows Operating System


ii) Microsoft Office (Word, Excel, PowerPoint, Outlook)


iii) GitHub


iv) SQL Server


v) LinkedIn


vi) Azure Cloud


vii) Visual Studio Code


viii) OneDrive


ix) Microsoft Copilot (AI assistant)


x) Strategic partnership and major investment in OpenAI


xi) Xbox & Gaming division (including Activision Blizzard)


xii) Bing Search Engine



9- ANNUAL REVENUE OF MICROSOFT:


In 2025, Microsoft generated approximately $281.7 billion in annual revenue.



10- P/E RATIO:


Microsoft is currently trading at a P/E ratio of around 26x. Compared to its historical average, this valuation is moderate, reflecting steady growth expectations rather than speculative pricing.



11- PRICE FORECAST BY ANALYSTS:


According to analyst consensus:



  • 51 analysts rate it as Strong Buy


    5 analysts rate it as Buy


    5 analysts rate it as Hold


The average price target for the year is around $600, suggesting potential upside from current levels.



12- FUTURE PLANS:


Microsoft is heavily focused on expanding its cloud and artificial intelligence businesses. Azure continues to compete with AWS and Google Cloud, while the company is investing hundreds of billions of dollars into AI infrastructure and data centers.


Additionally, Microsoft is investing in quantum computing research and next-generation AI models to maintain long-term technological leadership.



Final Thoughts:


Microsoft remains a financially strong, diversified, and innovation-driven company. While valuation and market conditions should always be considered, its dominance in cloud computing, enterprise software, AI, and gaming positions it well for long-term growth.