Switch to:
Microsoft Corp  (NAS:MSFT) Price-to-Free-Cash-Flow: 29.54 (As of Today)

As of today, Microsoft Corp's share price is USD 128.07. Microsoft Corp's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Mar. 2019 was USD 4.34. Hence, Microsoft Corp's Price-to-Free-Cash-Flow Ratio for today is 29.54.

NAS:MSFT' s Price-to-Free-Cash-Flow Range Over the Past 10 Years
Min: 7.73   Max: 29.96
Current: 29.54

7.73
29.96

During the past 13 years, Microsoft Corp's highest Price-to-Free-Cash-Flow Ratio was 29.96. The lowest was 7.73. And the median was 13.76.

NAS:MSFT's Price-to-Free-Cash-Flow is ranked higher than
54% of the 924 Companies
in the Global industry.

( Industry Median: 28.20 vs. NAS:MSFT: 29.54 )

Microsoft Corp's Free Cash Flow per Share for the three months ended in Mar. 2019 was USD 1.42. Its Free Cash Flow per Share for the trailing twelve months (TTM) ended in was USD 4.34.

During the past 12 months, the average Free Cash Flow per Share Growth Rate of Microsoft Corp was 0.60% per year. During the past 3 years, the average Free Cash Flow per Share Growth Rate was 12.90% per year. During the past 5 years, the average Free Cash Flow per Share Growth Rate was 7.50% per year. During the past 10 years, the average Free Cash Flow per Share Growth Rate was 7.20% per year.

During the past 13 years, Microsoft Corp's highest 3-Year average Free Cash Flow per Share Growth Rate was 80.40% per year. The lowest was -5.90% per year. And the median was 13.20% per year.


Historical Data

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

* Premium members only.

Microsoft Corp Annual Data

Jun09 Jun10 Jun11 Jun12 Jun13 Jun14 Jun15 Jun16 Jun17 Jun18
Price-to-Free-Cash-Flow Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only 12.94 15.71 16.41 17.21 23.78

Microsoft Corp Quarterly Data

Jun14 Sep14 Dec14 Mar15 Jun15 Sep15 Dec15 Mar16 Jun16 Sep16 Dec16 Mar17 Jun17 Sep17 Dec17 Mar18 Jun18 Sep18 Dec18 Mar19
Price-to-Free-Cash-Flow 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 Premium Member Only Premium Member Only Premium Member Only 21.19 23.78 27.76 24.76 27.21

Competitive Comparison
* 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.


Microsoft Corp Distribution

* The bar in red indicates where Microsoft Corp's Price-to-Free-Cash-Flow falls into.



Calculation

Microsoft Corp's Price-to-Free-Cash-Flow ratio for today is calculated as

Price-to-Free-Cash-Flow Ratio=Share Price/ Free Cash Flow per Share (TTM)
=128.07/4.335
=29.54

Microsoft Corp's Share Price of today is USD 128.07.
Microsoft Corp's Free Cash Flow per Share for the trailing twelve months (TTM) ended in Mar. 2019 was 0.956 (Jun. 2018 ) + 1.295 (Sep. 2018 ) + 0.669 (Dec. 2018 ) + 1.415 (Mar. 2019 ) = USD 4.34.

* All numbers are in millions except for per share data and ratio. All numbers are in their local exchange's currency.

It can also be calculated from the numbers for the whole company:

Price-to-Free-Cash-Flow Ratio=Market Cap (M)/Free Cash Flow

Explanation

Free Cash Flow is considered more important than earnings by value investors. The reason is because, in principle, only the net cash that can be taken from the business belongs to shareholders. This Free Cash Flow can be used to grow the business, reduce debt or return to shareholders in dividends or share buybacks.

In a DCF Calculation Free Cash Flow is used to determine the intrinsic value of companies.


Be Aware

In real business, Free Cash Flow can be affected by the change in accounts receivable, accounts payable, management's decision on expansion, etc. Therefore, investors should look at the Free Cash Flow over the longer term. Long-term average of Free Cash Flow is a more reliable indicator for real free cash flow.


Related Terms


Headlines

From the Internet

Does an All-Digital Xbox Make Sense? --

- Fool 2019-05-18 16:17:00

Get WordPress Plugins for easy affiliate links on Stock Tickers and Guru Names | Earn affiliate commissions by embedding GuruFocus Charts
GuruFocus Affiliate Program: Earn up to $400 per referral. ( Learn More)

GF Chat

{{numOfNotice}}
FEEDBACK