Microsoft CorporationOpportunity Rank #17(MSFT) Intrinsic Value & DCF Analysis (2026)
Current Price
$383.00
Last updated: Mar 24, 2026
Price vs Intrinsic Value
Fundamental Score
Weighted across 6 signals
Narrative Score
No change vs previous
The intrinsic value of Microsoft Corporation (MSFT) is estimated at $626.67 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $383.00, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 6.62% long-term growth rate and a 9.30% discount rate, reflecting expected future free cash flow and cost of capital.
The intrinsic value of Microsoft Corporation (MSFT) is estimated at $626.67 per share based on a 10-year discounted cash flow (DCF) analysis. At the current price of $383.00, the stock appears undervalued relative to its projected cash flow fundamentals. This estimate assumes a 6.62% long-term growth rate and a 9.30% discount rate, reflecting expected future free cash flow and cost of capital.Valuation Details
Capital Efficiency
The company is earning a higher return on invested capital than it costs to raise that capital — a sign of strong, efficient value creation.
Fundamental Details
Narrative Details
Investment Coach
- Monitor whether valuation discount remains above 10%.
- Confirm ROIC stays above cost of capital over coming quarters.
- Follow narrative trend for meaningful shifts in the score direction.
Free Cash Flow (in millions)
How Intrinziq Estimates Fair Value
Intrinziq estimates Microsoft Corporation's intrinsic value using a discounted cash flow (DCF) model based on free cash flow trends and a market-based discount rate. The model projects future cash flows over ten years and discounts them using a market return assumption to estimate fair value.
Microsoft CorporationTechnology
Microsoft Corporation develops, licenses, and supports software, services, devices, and solutions worldwide. The company operates in three segments: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. The Productivity and Business Processes segment offers Office, Exchange, SharePoint, Microsoft Teams, Office 365 Security and Compliance, Microsoft Viva, and Skype for Business; Skype, Outlook.com, OneDrive, and LinkedIn; and Dynamics 365, a set of cloud-based and on-premises business solutions for organizations and enterprise divisions. The Intelligent Cloud segment licenses SQL, Windows Servers, Visual Studio, System Center, and related Client Access Licenses; GitHub that provides a collaboration platform and code hosting service for developers; Nuance provides healthcare and enterprise AI solutions; and Azure, a cloud platform. It also offers enterprise support, Microsoft consulting, and nuance professional services to assist customers in developing, deploying, and managing Microsoft server and desktop solutions; and training and certification on Microsoft products. The More Personal Computing segment provides Windows original equipment manufacturer (OEM) licensing and other non-volume licensing of the Windows operating system; Windows Commercial, such as volume licensing of the Windows operating system, Windows cloud services, and other Windows commercial offerings; patent licensing; and Windows Internet of Things. It also offers Surface, PC accessories, PCs, tablets, gaming and entertainment consoles, and other devices; Gaming, including Xbox hardware, and Xbox content and services; video games and third-party video game royalties; and Search, including Bing and Microsoft advertising. The company sells its products through OEMs, distributors, and resellers; and directly through digital marketplaces, online stores, and retail stores. Microsoft Corporation was founded in 1975 and is headquartered in Redmond, Washington.