MSFT
MICROSOFT CORP·Technology·Services-Prepackaged Software· 228,000
Data as of Dec 31, 2025
Good Fair Concern Neutral
Composite Scores
Overall Health
66/100
Weighted composite of profitability, quality, and safety
Quality Focus
60/100
Earnings quality + cash conversion + capital efficiency
Safety Score
59/100
Balance sheet strength + debt safety + liquidity
Dilution Score
69/100
Higher = less shareholder dilution from SBC
Capital Allocation & Returns
ROIC
26.3%
>15% = high quality
Return on Invested Capital (NOPAT / IC)
ROE
29.6%
>15% = strong
Net Income / Shareholders' Equity
ROA
16.4%
>8% = efficient
Net Income / Total Assets
Reinvestment Rate
44.4%
(CapEx + R&D) / Revenue
Balance Sheet Strength
Net Debt / EBITDA
0.35x
<2x = conservative
(Total Debt - Cash) / EBITDA
Current Ratio
1.39x
>1.5x = healthy
Current Assets / Current Liabilities
Quick Ratio
1.38x
>1x = liquid
(Current Assets - Inventory) / Current Liab.
Cash Ratio
0.69x
Cash / Current Liabilities
Debt / Equity
0.10x
<0.5x = conservative
Total Debt / Shareholders' Equity
FCF Yield
1.4%
>5% = attractive
FCF / Market Cap
Earnings Quality
Accruals Ratio
0.8%
Lower is better; >10% = flag
(Net Income - OCF) / Total Assets
Sloan Ratio
5.4%
Cash vs accrual gap
Measures discrepancy between cash and accrual earnings
OCF / Net Income
133.7%
>100% = strong conversion
Operating CF / Net Income (%)
FCF Margin
25.4%
>15% = excellent
Free Cash Flow / Revenue
Profitability
Gross Margin
68.8%
Gross Profit / Revenue
Operating Margin
45.6%
Operating Income / Revenue
Net Margin
36.1%
Net Income / Revenue
EBITDA Margin
0.0%
EBITDA / Revenue
Owner Economics & Governance
Shareholder Yield
854.8%
Div + Buyback yield
(Dividends + Buybacks) / Market Cap
SBC / Revenue
4.0%
<3% = reasonable
Stock-Based Compensation / Revenue
R&D / Revenue
10.5%
Investment intensity
Research & Development / Revenue
Piotroski F-Score
5/9
≥7 = strong
9-point financial strength (profitability, leverage, efficiency)
Beneish M-Score
-2.53
<-2.22 = unlikely
Probability of earnings manipulation; <-2.22 = unlikely
Altman Z-Score
5.13
>3 = safe zone
Bankruptcy risk; >3=safe, 1.8-3=grey, <1.8=distress
Fundamental Beta
0.47
Defensive
0.11.02.5
P4
percentile
-0.192
Earnings Vol
-0.043
Leverage
-0.040
Op. Leverage
-0.319
Size
+0.012
Dividend
+0.053
Growth
+0.022
Liquidity
-0.021
Cyclicality
Fundamental beta derived from 8 accounting-based risk factors (Beaver-Kettler-Scholes framework). β > 1 = riskier than market average. Positive contributions increase systematic risk exposure.
Historical Metrics Explorer
10 periods · 10-K
Income:
Margins:
Returns:
Cash Flow:
Balance Sheet:
Quality:
Current
$281.7B
Average
$167.2B
High
$281.7B
Low
$91.2B
Change
+209.1%
Revenue · Annual
2016-06 (10-K)
$91.2B
2017-06 (10-K)
$96.6B
2018-06 (10-K)
$110.4B
2019-06 (10-K)
$125.8B
2020-06 (10-K)
$143.0B
2021-06 (10-K)
$168.1B
2022-06 (10-K)
$198.3B
2023-06 (10-K)
$211.9B
2024-06 (10-K)
$245.1B
2025-06 (10-K)
$281.7B
2016-062021-062025-06
Avg: $167.2B