Microsoft Shares Soar on Strong Growth and Profitability
Microsoft (MSFT) has seen significant gains over the past six months, outperforming the S&P 500 by 10.9% with a share price of $498.48, marking a 24.6% increase.
The company's impressive quarterly results have contributed to its success, and investors may be wondering if it's still a good time to buy MSFT shares.
Microsoft has demonstrated strong growth, with its revenue base nearly doubling from $168.1 billion five years ago to $331.8 billion in the last year, representing an exceptional 14.6% annualized growth rate.
The company's EPS grew at a 17.4% compounded annual growth rate over the last five years, outpacing its revenue growth and indicating increased profitability on a per-share basis.
Microsoft's free cash flow margin has also been impressive, averaging 26.6% over the last five years, making it one of the best in the software sector.