Microsoft Corp
SGO:MSFT
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
M
|
Microsoft Corp
BMV:MSFT
|
US |
|
E
|
Ekovest Bhd
KLSE:EKOVEST
|
MY |
|
Hangzhou Zhongya Machinery Co Ltd
SZSE:300512
|
CN |
|
Recticel NV
LSE:0NHV
|
BE |
|
Aarti Surfactants Ltd
NSE:AARTISURF
|
IN |
|
Z
|
Zhejiang Kaier New Materials Co Ltd
SZSE:300234
|
CN |
|
Petroleo Brasileiro SA Petrobras
BOVESPA:PETR4
|
BR |
|
Thoughtworks Holding Inc
NASDAQ:TWKS
|
US |
|
Z
|
Zhong Ao Home Group Ltd
HKEX:1538
|
CN |
|
Jiangxi Hengda Hi-Tech Co Ltd
SZSE:002591
|
CN |
EV/EBITDA
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Enterprise Value to EBITDA (EV/EBITDA) ratio compares a company`s total enterprise value to its earnings before interest, taxes, depreciation, and amortization. It shows how much investors are paying for each dollar of the company`s earnings, including both equity and debt.
Valuation Scenarios
If EV/EBITDA returns to its 3-Year Average (22.4), the stock would be worth $538.45 (28% upside from current price).
| Scenario | EV/EBITDA Value | Implied Price | Upside/Downside |
|---|---|---|---|
| Current Multiple | 17.5 | $420.39 |
0%
|
| 3-Year Average | 22.4 | $538.45 |
+28%
|
| 5-Year Average | 22.6 | $542.41 |
+29%
|
| Industry Average | 19.4 | $464.6 |
+11%
|
| Country Average | 14.4 | $344.48 |
-18%
|
Forward EV/EBITDA
Today’s price vs future ebitda
| Today's Enterprise Value | EBITDA | Forward EV/EBITDA | ||
|---|---|---|---|---|
|
$2.9T
|
/ |
Jan 2026
$179.8B
|
= |
|
|
$2.9T
|
/ |
Jun 2026
$200.1B
|
= |
|
|
$2.9T
|
/ |
Jun 2027
$236.3B
|
= |
|
|
$2.9T
|
/ |
Jun 2028
$275.9B
|
= |
|
Forward EV/EBITDA shows whether today’s EV/EBITDA still looks high or low once future ebitda are taken into account.
Peer Comparison
| Market Cap | EV/EBITDA | P/E | ||||
|---|---|---|---|---|---|---|
| US |
|
Microsoft Corp
SGO:MSFT
|
3.2T USD | 17.5 | 26.4 | |
| US |
|
Oracle Corp
NYSE:ORCL
|
520.9B USD | 21.3 | 32.2 | |
| US |
|
Palo Alto Networks Inc
NASDAQ:PANW
|
142.8B USD | 78.6 | 95.9 | |
| US |
|
CrowdStrike Holdings Inc
NASDAQ:CRWD
|
111.4B USD | 3 247.1 | -685.8 | |
| US |
|
ServiceNow Inc
NYSE:NOW
|
104.9B USD | 38.9 | 60 | |
| US |
V
|
VMware Inc
XETRA:BZF1
|
58B EUR | 22.1 | 47.9 | |
| US |
|
Fortinet Inc
NASDAQ:FTNT
|
63.3B USD | 27.1 | 34.2 | |
| CN |
K
|
Knowledge Atlas Technology JSC Ltd
HKEX:2513
|
418.2B HKD | -103.8 | -78.1 | |
| US |
|
Xperi Holding Corp
LSE:0M2A
|
54.6B USD | 212.5 | 491.7 | |
| CN |
|
MiniMax Group Inc
HKEX:100
|
274.4B HKD | -20.2 | -18.7 | |
| US |
|
Zscaler Inc
NASDAQ:ZS
|
22.4B USD | 1 066.8 | -331.5 |
Market Distribution
| Min | 0 |
| 30th Percentile | 10 |
| Median | 14.4 |
| 70th Percentile | 21.5 |
| Max | 1 767 274.1 |
Other Multiples
Microsoft Corp
Glance View
In the dynamic world of technology, Microsoft Corp. has consistently positioned itself at the forefront of innovation and enterprise solutions since its founding in 1975 by Bill Gates and Paul Allen. Evolving from its initial foray into personal computing software, Microsoft engineered a transformation in the tech ecosystem with its Windows operating system. Today, it is a behemoth in various facets of the industry, from cloud computing with Azure to productivity software suites like Microsoft Office. Unlike the mythic tales of overnight success, Microsoft's ascent reflects strategic adaptability and foresight, crafting a narrative of calculated pivots and robust diversification. The company’s business model intricately weaves together a mélange of software products, services, and hardware. Its revenue streams are diversified across licensing fees, subscriptions, cloud services, and hardware sales. Azure, Microsoft's cloud platform, stands as a stalwart in the cloud computing arena, offering a multitude of services to enterprises, outpacing competitors through aggressive innovation and enterprise engagement. Meanwhile, the Office suite's transition to a subscription-based model underlines a shift toward a recurring revenue stream, which has fortified its financial stability. Microsoft's success isn’t merely rooted in software; its ventures into gaming with Xbox and acquisitions like LinkedIn signify a robust portfolio, leveraging a vast ecosystem to sustain growth and relevance across an array of markets.