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Microsoft (MIL:1MSFT) Cyclically Adjusted Revenue per Share : €19.87 (As of Mar. 2024)


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What is Microsoft Cyclically Adjusted Revenue per Share?

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Revenue per Share and the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years.

Microsoft's adjusted revenue per share for the three months ended in Mar. 2024 was €7.616. Add all the adjusted revenue per share for the past 10 years together and divide the count will get our Cyclically Adjusted Revenue per Share, which is €19.87 for the trailing ten years ended in Mar. 2024.

During the past 12 months, Microsoft's average Cyclically Adjusted Revenue Growth Rate was 11.30% per year. During the past 3 years, the average Cyclically Adjusted Revenue Growth Rate was 15.80% per year. During the past 5 years, the average Cyclically Adjusted Revenue Growth Rate was 13.70% per year. During the past 10 years, the average Cyclically Adjusted Revenue Growth Rate was 11.00% per year. Please click Growth Rate Calculation Example (GuruFocus) to see how GuruFocus calculates Wal-Mart Stores Inc (WMT)'s revenue growth rate. You can apply the same method to get the Cyclically Adjusted Revenue Growth Rate using Cyclically Adjusted Revenue per Share data.

During the past 13 years, the highest 3-Year average Cyclically Adjusted Revenue Growth Rate of Microsoft was 33.90% per year. The lowest was 8.90% per year. And the median was 14.80% per year.

As of today (2024-05-01), Microsoft's current stock price is €372.35. Microsoft's Cyclically Adjusted Revenue per Share for the quarter that ended in Mar. 2024 was €19.87. Microsoft's Cyclically Adjusted PS Ratio of today is 18.74.

During the past 13 years, the highest Cyclically Adjusted PS Ratio of Microsoft was 22.41. The lowest was 4.59. And the median was 9.95.


Microsoft Cyclically Adjusted Revenue per Share Historical Data

The historical data trend for Microsoft's Cyclically Adjusted Revenue per Share 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 Revenue per Share Chart

Microsoft Annual Data
Trend Jun14 Jun15 Jun16 Jun17 Jun18 Jun19 Jun20 Jun21 Jun22 Jun23
Cyclically Adjusted Revenue per Share
Get a 7-Day Free Trial Premium Member Only Premium Member Only 10.34 11.29 12.51 17.04 18.33

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 Revenue per Share 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 17.55 18.33 19.60 18.86 19.87

Competitive Comparison of Microsoft's Cyclically Adjusted Revenue per Share

For the Software - Infrastructure subindustry, Microsoft's Cyclically Adjusted PS Ratio, along with its competitors' market caps and Cyclically Adjusted PS 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 PS Ratio Distribution in the Software Industry

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

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



Microsoft Cyclically Adjusted Revenue per Share Calculation

E10 is a concept invented by Prof. Robert Shiller, who uses E10 for his Shiller PE Ratio calculation. E10 is the average of the inflation adjusted earnings of a company over the past 10 years. The similar calculation is applied by GuruFocus to calculate the Cyclically Adjusted Revenue per Share and the Cyclically Adjusted PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years.

What is Cyclically Adjusted Revenue per Share? How do we calculate Cyclically Adjusted Revenue per Share?

Cyclically Adjusted Revenue per Share is the average of the inflation adjusted Revenue per Share of a company over the past 10 years. Let's use an example to explain.

If we want to calculate the Cyclically Adjusted Revenue per Share of Wal-Mart (WMT) for Dec. 31, 2010, we need to have the inflation data and the revenue per share from 2001 through 2010.

We adjusted the 2001 revenue per share data with the total inflation from 2001 through 2010 to the equivalent revenue in 2010. If the total inflation from 2001 to 2010 is 40%, and Wal-Mart's revenue is $1 a share in 2001, then the 2001's equivalent revenue in 2010 is $1.4 a share. If Wal-Mart's revenue is $1 again in 2002, and the total inflation from 2002 through 2010 is 35%, then the equivalent 2002 revenue in 2010 is $1.35. So on and so forth, you get the equivalent revenue per share of past 10 years. Then you add them together and divided the sum by the count to get Cyclically Adjusted Revenue 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.

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

Adj_RevenuePerShare= Revenue per Share /CPI of Mar. 2024 (Change)*Current CPI (Mar. 2024)
=7.616/129.4194*129.4194
=7.616

Current CPI (Mar. 2024) = 129.4194.

Microsoft Quarterly Data

Revenue per Share CPI Adj_RevenuePerShare
201406 2.058 100.560 2.649
201409 2.156 100.428 2.778
201412 2.587 99.070 3.380
201503 2.437 99.621 3.166
201506 2.429 100.684 3.122
201509 2.246 100.392 2.895
201512 2.713 99.792 3.518
201603 2.309 100.470 2.974
201606 2.969 101.688 3.779
201609 2.481 101.861 3.152
201612 3.127 101.863 3.973
201703 2.778 102.862 3.495
201706 2.919 103.349 3.655
201709 2.640 104.136 3.281
201712 3.169 104.011 3.943
201803 2.791 105.290 3.431
201806 3.309 106.317 4.028
201809 3.210 106.507 3.901
201812 3.674 105.998 4.486
201903 3.494 107.251 4.216
201906 3.858 108.070 4.620
201909 3.893 108.329 4.651
201912 4.319 108.420 5.156
202003 4.130 108.902 4.908
202006 4.413 108.767 5.251
202009 4.130 109.815 4.867
202012 4.649 109.897 5.475
202103 4.611 111.754 5.340
202106 5.053 114.631 5.705
202109 5.090 115.734 5.692
202112 6.059 117.630 6.666
202203 5.949 121.301 6.347
202206 6.538 125.017 6.768
202209 6.763 125.227 6.989
202212 6.663 125.222 6.886
202303 6.614 127.348 6.722
202306 6.946 128.729 6.983
202309 7.097 129.860 7.073
202312 7.615 129.419 7.615
202403 7.616 129.419 7.616

Add all the adjusted revenue per share together and divide 10 will get our Cyclically Adjusted Revenue per Share.


Microsoft  (MIL:1MSFT) Cyclically Adjusted Revenue per Share Explanation

If a company grows much fast than inflation, Cyclically Adjusted Revenue per Share may underestimate the company's revenue. Cyclically Adjusted PS Ratio can seem to be too high even the actual PS Ratio is low.

For the Cyclically Adjusted PS Ratio, the revenue per share of the past 10 years are inflation-adjusted and averaged. The result is used for P/S calculation. Since it looks at the average over the last 10 years, the Cyclically Adjusted PS Ratio is also called CAPS Ratio.

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 PS Ratio. The Cyclically Adjusted Revenue per Share is the average of the inflation adjusted revenue per share of a company over the past 10 years.

Microsoft's Cyclically Adjusted PS Ratio of today is calculated as

Cyclically Adjusted PS Ratio=Share Price/Cyclically Adjusted Revenue per Share
=372.35/19.87
=18.74

* 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.

During the past 13 years, the highest Cyclically Adjusted PS Ratio of Microsoft was 22.41. The lowest was 4.59. And the median was 9.95.


Be Aware

Cyclically Adjusted PS Ratio works better for cyclical companies. It gives you a better idea on the company's real revenue value.


Microsoft Cyclically Adjusted Revenue per Share Related Terms

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


Microsoft (MIL:1MSFT) Business Description

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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).

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