Microsoft Corporation (MSFT) fair value analysis

S&P 500 & Nasdaq · Updated 2026-09-07

Microsoft Corporation develops and sells software, cloud computing services, gaming products, and hardware devices for consumers, businesses, and enterprises worldwide. The company operates globally through divisions including productivity software, cloud infrastructure, artificial intelligence services, professional networking, gaming platforms, and personal computing devices.

Forward Fair Value verdict

Undervalued

Based on TickrTrends' weekly Forward Fair Value model, MSFT is trading at more than a 25% discount to estimated fair value.

MSFT currently ranks #69 of 199 Technology stocks by discount to Forward Fair Value. It has screened as Undervalued for 3 consecutive weekly runs.

Last price: $499.70
Sector: Technology
12-month range: $369.37–$517.81

Derived indicators

Coarse bands from TickrTrends' weekly models; exact figures are part of the full report.

Quality grade: A
Leverage: Low
Margin trend: Stable
Revenue growth: Strong
RSI zone: Neutral
50/200-day trend: Uptrend
52-week position: The top quarter of its range
DCF cross-check: Overvalued

What our data shows for MSFT

Our model validated 17 trailing price-to-earnings windows for MSFT, built from quarterly earnings records.
Shares are trading in the upper third of their 12-month price range of $369.37–$517.81.
The 14-day relative strength index sits at a neutral 53.

The exact numbers are one step away

The precise Forward Fair Value dollar figure for MSFT
Exact discount / premium to today's price
The normalized historical P/E behind the estimate, and how many quarters support it
Forward EPS input and fiscal-year basis
Screeners and rankings across the full S&P 500 and Nasdaq universes

See the exact fair value →

How Forward Fair Value works

TickrTrends computes a Forward Fair Value for every covered stock each week: a conservatively normalized historical price-to-earnings multiple is applied to the analyst-consensus earnings estimate for the next full fiscal year. Every input window is validated for continuity and every result is screened for plausibility before publication.

Recent MSFT news

TickrTrends' derived news-sentiment signal for MSFT is currently leaning positive, computed from recent coverage.

Chevron Stock Is Near a Record High. Here’s Why the Rally May Not Be Over (finance.yahoo.com, 2026-09-08)
TickrTrends take: I cannot write the requested analysis because the headline provided concerns Chevron, an energy company, while you've asked me to relate it to MSFT (Microsoft), a technology company. These are unrelated companies operating in different sectors. To provide factual prose for a stock research page, I would need a headline that actually pertains to Microsoft or clarification on which company should be analyzed.
IREN’s AI Pricing Is Exploding — Why the Neocloud’s $2.6 Billion Contract Base Could Scale Dramatically (finance.yahoo.com, 2026-09-07)
TickrTrends take: Microsoft's technology sector peers are experiencing significant momentum in AI-driven contract expansion, as demonstrated by competitors securing large service agreements. Given TickrTrends' current undervalued assessment of MSFT, investors should monitor whether Microsoft's own AI pricing strategies and contract wins can sustain comparable growth trajectories. The competitive landscape in AI services pricing will be an important factor to watch as the market evaluates whether current valuations reflect the full scope of opportunities in this segment.
Microsoft Is Close to a New All-Time High. This Number Will Determine If It Keeps Climbing (finance.yahoo.com, 2026-09-07)
TickrTrends take: Microsoft's proximity to all-time highs occurs against TickrTrends' assessment that the stock is currently undervalued, suggesting that price momentum alone may not be capturing the full picture of the company's fundamental worth. For a valuation-focused reader, the key metric to monitor is whether the company's earnings growth and competitive positioning in the Technology sector can justify continued price appreciation beyond current levels. The outcome of this comparison between price momentum and underlying value fundamentals will be significant for determining whether the stock has room to climb further or faces headwinds from valuation constraints.

What people are saying

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TickrTrends weekly updates

2026-09-07 — No material change this week: the verdict, bands and grades all held steady.
2026-09-06 — MSFT's derived indicators showed mixed movement this week. The momentum indicator downgraded from A to none, while the relative strength index improved from overbought conditions to neutral territory. The stock maintains an undervalued valuation verdict within the Technology sector.
2026-08-31 — TickrTrends initiated weekly Forward Fair Value coverage of this stock.

Frequently asked questions

Is MSFT stock undervalued?

Based on TickrTrends' Forward Fair Value model (updated 2026-09-07), MSFT is trading at more than a 25% discount to estimated fair value and screens as undervalued. The exact fair value and discount are available to subscribers.

What is MSFT's TickrTrends verdict?

MSFT's current verdict is Undervalued, refreshed with every weekly Forward Fair Value run.

How does MSFT compare to other Technology stocks?

MSFT ranks #69 of 199 Technology stocks in TickrTrends' coverage when sorted by discount to Forward Fair Value.

Is MSFT overbought or oversold?

MSFT's 14-day RSI is in neutral territory - neither overbought nor oversold.

All Technology fair-value coverage →

Head-to-head comparisons

MSFT vs AAPL · MSFT vs AGYS · MSFT vs AMZN · MSFT vs CDNS · MSFT vs CDW