Is MSFT a good stock to buy?
Based on analyst ratings, Microsoft's 12-month average price target is $470.02. Microsoft has 13.12% upside potential, based on the analysts' average price target. Microsoft has a conensus rating of Strong Buy which is based on 32 buy ratings, 1 hold ratings and 1 sell ratings.
The financial health and growth prospects of MSFT, demonstrate its potential to underperform the market. It currently has a Growth Score of D. Recent price changes and earnings estimate revisions indicate this would be a good stock for momentum investors with a Momentum Score of B.
Microsoft stock price stood at $413.64
According to the latest long-term forecast, Microsoft price will hit $500 by the middle of 2024 and then $600 by the middle of 2025. Microsoft will rise to $800 within the year of 2026, $900 in 2028, $1000 in 2030, $1100 in 2032 and $1200 in 2034.
Given the multiple ways Microsoft can profit from the AI revolution and other catalysts that could fuel its growth, I'd argue it's not too late to buy Microsoft.
According to our Microsoft stock prediction for 2025, MSFT stock will be priced at $ 520.79 in 2025. This forecast is based on the stock's average growth over the past 10 years.
Stock Price Forecast
The 40 analysts with 12-month price forecasts for Microsoft stock have an average target of 416, with a low estimate of 305 and a high estimate of 600. The average target predicts an increase of 2.03% from the current stock price of 407.72.
The prediction for Microsoft Corporation (MSFT) is that the value will increase steadily over the next ten years. The analyzed data by our experts suggests that the price per share for Microsoft will rise to $355 by the end of 2023, $400 in 2024, $452 in 2025, $645 in 2026, $710 in 2027, $795 in 2028, and $820 in 2029.
Microsoft's analyst rating consensus is a Strong Buy. This is based on the ratings of 34 Wall Streets Analysts.
Now, in 2023's second half, that resistance has greatly diminished. Besides, Microsoft will undoubtedly continue to make waves with its leading-edge, AI-friendly product lines. Therefore, MSFT stock is likely on a path to $400 or more, and it earns a confident “B” rating.
Microsoft Could Be Worth Over $500 Per Share Based on Its Massive Free Cash Flow. Microsoft Corp (MSFT) stock is still undervalued based on its free cash flow upside in the next year. MSFT stock could be worth 39% more or $518 per share based on $96 billion in FCF estimates next year.
Will Microsoft stock split in 2024?
Microsoft hasn't indicated any plans for a stock split, but given its robust growth, this may be the year it joins its tech peers in splitting its high-priced shares.
A host of Wall Street analysts have put Microsoft (MSFT) stock on their lists of top stock picks for 2024. They see the software giant getting a boost from several major catalysts in the year ahead, including monetizing its artificial intelligence initiatives.
Microsoft (MSFT) stock has climbed 55% year to date in 2023, and one Wall Street analyst sees it running higher in 2024, thanks to its "unique AI position." Oppenheimer analyst Timothy Horan on Tuesday reiterated his outperform rating on Microsoft stock with a price target of 410.
The all-time high Microsoft stock closing price was 419.78 on February 09, 2024. The Microsoft 52-week high stock price is 420.82, which is 1.3% above the current share price. The Microsoft 52-week low stock price is 245.73, which is 40.9% below the current share price.
As of 2024-03-01, the Intrinsic Value of Microsoft Corp (MSFT) is 278.21 USD. This Microsoft valuation is based on the model Discounted Cash Flows (Growth Exit 5Y). With the current market price of 413.64 USD, the upside of Microsoft Corp is -32.7%. The range of the Intrinsic Value is 182.17 - 604.2 USD.
Stock Price Forecast
The 32 analysts with 12-month price forecasts for Apple stock have an average target of 203.25, with a low estimate of 120 and a high estimate of 250. The average target predicts an increase of 12.45% from the current stock price of 180.75.
Apple's analyst rating consensus is a Moderate Buy. This is based on the ratings of 25 Wall Streets Analysts.
In the current month, TSLA has received 34 Buy Ratings, 40 Hold Ratings, and 12 Sell Ratings. TSLA average Analyst price target in the past 3 months is $218.75.
Going by its historical growth to calculate long-term profits, Microsoft's stock price could increase to $2,443 by 2040. Interestingly, Microsoft's CAGR of 9.32% comes very close to the long-term average of the S&P 500 Index, which has on average gained +11.13% every year since 1973.
If we multiply the projected 2030 earnings with Apple's five-year average forward earnings multiple of 24, the stock price could jump to $221 by the end of the decade. That would be an increase of just 15%, indicating that its market cap could hit $3.45 trillion in 2030.
What will Amazon stock be worth in 2025?
Amazon Stock Prediction 2025
The Amazon stock prediction for 2025 is currently $ 227.05, assuming that Amazon shares will continue growing at the average yearly rate as they did in the last 10 years. This would represent a 28.45% increase in the AMZN stock price.
Intel has a conensus rating of Hold which is based on 8 buy ratings, 24 hold ratings and 4 sell ratings. The average price target for Intel is $46.69. This is based on 36 Wall Streets Analysts 12-month price targets, issued in the past 3 months.
Institutional investors are the majority owners of Microsoft, accounting for almost 70% of outstanding shares. Former CEO Steve Ballmer owns a 4% stake in Microsoft, more than its founder Bill Gates, who holds a 1.3% stake. Vanguard and Blackrock are the two largest Microsoft's institutional investors.
One analyst revised their earnings estimate upwards in the last 60 days for fiscal 2024. The Zacks Consensus Estimate has increased $0.01 to $11.14. MSFT boasts an average earnings surprise of 7.8%. Additionally, Microsoft's earnings are expected to grow 13.6% for the current fiscal year.
Apple (AAPL), Microsoft (MSFT), Alphabet (GOOGL), Nvidia (NVDA), Amazon.com (AMZN), Meta Platforms (META) and Tesla (TSLA) are all Magnificent Seven stocks. But only MSFT stock makes the highly selective IBD Long-Term Leaders list.
