GURUFOCUS.COM » STOCK LIST » Technology » Software » Microsoft Corp (XKAZ:MSFT_KZ) » Definitions » Cyclically Adjusted PB Ratio

Microsoft (XKAZ:MSFT_KZ) Cyclically Adjusted PB Ratio : 22.87 (As of May. 28, 2024)


View and export this data going back to 2019. Start your Free Trial

What is Microsoft Cyclically Adjusted PB Ratio?

As of today (2024-05-28), Microsoft's current share price is ₸158500.00. Microsoft's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 was ₸6,931.93. Microsoft's Cyclically Adjusted PB Ratio for today is 22.87.

The historical rank and industry rank for Microsoft's Cyclically Adjusted PB Ratio or its related term are showing as below:

XKAZ:MSFT_KZ' s Cyclically Adjusted PB Ratio Range Over the Past 10 Years
Min: 5.14   Med: 12.02   Max: 26.78
Current: 23.37

During the past years, Microsoft's highest Cyclically Adjusted PB Ratio was 26.78. The lowest was 5.14. And the median was 12.02.

XKAZ:MSFT_KZ's Cyclically Adjusted PB Ratio is ranked worse than
96.24% of 1357 companies
in the Software industry
Industry Median: 2.6 vs XKAZ:MSFT_KZ: 23.37

The Shiller PE Ratio was first used by professor Robert Shiller. He uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings per share of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio. The Cyclically Adjusted Book per Share is the average of the inflation adjusted book value per share of a company over the past 10 years.

Microsoft's adjusted book value per share data for the three months ended in Mar. 2024 was ₸15,338.293. Add all the adjusted book value per share for the past 10 years together and divide the count will get our Cyclically Adjusted Book per Share, which is ₸6,931.93 for the trailing ten years ended in Mar. 2024.

Shiller PE for Stocks: The True Measure of Stock Valuation


Microsoft Cyclically Adjusted PB Ratio Historical Data

The historical data trend for Microsoft's Cyclically Adjusted PB Ratio can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Microsoft Cyclically Adjusted PB Ratio Chart

Microsoft Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Cyclically Adjusted PB Ratio
Get a 7-Day Free Trial Premium Member Only Premium Member Only 13.65 18.91 21.85 17.41 20.50

Microsoft Quarterly Data
Jun19 Sep19 Dec19 Mar20 Jun20 Sep20 Dec20 Mar21 Jun21 Sep21 Dec21 Mar22 Jun22 Sep22 Dec22 Mar23 Jun23 Sep23 Dec23 Mar24
Cyclically Adjusted PB Ratio Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 17.96 20.50 18.38 21.39 22.86

Competitive Comparison of Microsoft's Cyclically Adjusted PB Ratio

For the Software - Infrastructure subindustry, Microsoft's Cyclically Adjusted PB Ratio, along with its competitors' market caps and Cyclically Adjusted PB Ratio data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Microsoft's Cyclically Adjusted PB Ratio Distribution in the Software Industry

For the Software industry and Technology sector, Microsoft's Cyclically Adjusted PB Ratio distribution charts can be found below:

* The bar in red indicates where Microsoft's Cyclically Adjusted PB Ratio falls into.



Microsoft Cyclically Adjusted PB Ratio Calculation

Like the Shiller PE Ratio, the Cyclically Adjusted PB Ratio takes the Book Value per Share from the past 10 years, adjusts it for inflation, and then calculates the average. This average is then used for the P/B calculation. Because it considers this 10-year average, it's often referred to as the CAPB Ratio.

The Shiller PE Ratio was first used by professor Robert Shiller to measure the valuation of the overall market. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted PB Ratio.

Microsoft's Cyclically Adjusted PB Ratio for today is calculated as

Cyclically Adjusted PB Ratio=Share Price/ Cyclically Adjusted Book per Share
=158500.00/6931.93
=22.87

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

Microsoft's Cyclically Adjusted Book per Share for the quarter that ended in Mar. 2024 is calculated as:

For example, Microsoft's adjusted Book Value per Share data for the three months ended in Mar. 2024 was:

Adj_Book=Book Value per Share/CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=15338.293/131.7762*131.7762
=15,338.293

Current CPI (Mar. 2024) = 131.7762.

Microsoft Quarterly Data

Book Value per Share CPI Adj_Book
201406 1,976.360 100.560 2,589.882
201409 1,960.692 100.428 2,572.719
201412 2,013.109 99.070 2,677.709
201503 2,031.831 99.621 2,687.653
201506 1,832.022 100.684 2,397.771
201509 2,609.526 100.392 3,425.324
201512 3,257.797 99.792 4,301.932
201603 3,237.950 100.470 4,246.870
201606 3,091.132 101.688 4,005.755
201609 3,008.168 101.861 3,891.626
201612 2,954.781 101.863 3,822.496
201703 2,835.929 102.862 3,633.093
201706 3,621.663 103.349 4,617.834
201709 3,927.862 104.136 4,970.430
201712 3,354.276 104.011 4,249.679
201803 3,315.158 105.290 4,149.121
201806 3,562.143 106.317 4,415.160
201809 4,068.545 106.507 5,033.837
201812 4,474.737 105.998 5,562.977
201903 4,668.581 107.251 5,736.177
201906 5,120.650 108.070 6,243.943
201909 5,396.968 108.329 6,565.087
201912 5,549.010 108.420 6,744.390
202003 5,689.946 108.902 6,885.116
202006 6,368.665 108.767 7,715.908
202009 6,823.264 109.815 8,187.812
202012 7,344.026 109.897 8,806.151
202103 7,466.509 111.754 8,804.201
202106 8,074.564 114.631 9,282.233
202109 8,618.832 115.734 9,813.486
202112 9,303.621 117.630 10,422.520
202203 10,606.776 121.301 11,522.746
202206 9,558.315 125.017 10,075.113
202209 10,957.910 125.227 11,531.040
202212 11,501.639 125.222 12,103.662
202303 11,530.721 127.348 11,931.691
202306 12,441.085 128.729 12,735.613
202309 13,583.223 129.860 13,783.709
202312 14,782.561 129.419 15,051.760
202403 15,338.293 131.776 15,338.293

Add all the adjusted book value per share together and divide the count will get our Cyclically Adjusted Book per Share.

Please note that we use the CPI data of the country/region where the company is headquartered. If the CPI data for that country/region is not available, then we will use the CPI data of the United States as default.


Microsoft  (XKAZ:MSFT_KZ) Cyclically Adjusted PB Ratio Explanation

Compared with the regular PB Ratio, which works poorly for cyclical businesses, the Cyclically Adjusted PB Ratio smoothed out the fluctuations of book value during business cycles. Therefore it is more accurate in reflecting the valuation of the company.

If a company has consistent business performance, the Cyclically Adjusted PB Ratio should give similar results to regular PB Ratio.


Microsoft Cyclically Adjusted PB Ratio Related Terms

Thank you for viewing the detailed overview of Microsoft's Cyclically Adjusted PB Ratio provided by GuruFocus.com. Please click on the following links to see related term pages.


Microsoft (XKAZ:MSFT_KZ) Business Description

Industry
Address
One Microsoft Way, Redmond, WA, USA, 98052-6399
Microsoft develops and licenses consumer and enterprise software. It is known for its Windows operating systems and Office productivity suite. The company is organized into three equally sized broad segments: productivity and business processes (legacy Microsoft Office, cloud-based Office 365, Exchange, SharePoint, Skype, LinkedIn, Dynamics), intelligence cloud (infrastructure- and platform-as-a-service offerings Azure, Windows Server OS, SQL Server), and more personal computing (Windows Client, Xbox, Bing search, display advertising, and Surface laptops, tablets, and desktops).

Microsoft (XKAZ:MSFT_KZ) Headlines

No Headlines