The PE ratio for Microsoft stock stands at 32.27 as of Sep 28, 2023. This takes into account the latest EPS of $9.72 and stock price of $313.64. An increase of 10% has been observed in the PE ratio compared to its average of 29.4 of the past four quarters.
Over the last ten years, the average PE ratio of Microsoft has been 28.09. The current 32.27 price-to-earnings ratio is 15% more than the historical average. Analyzing the last ten years, MSFT's PE ratio reached its highest point in the Dec 2017 quarter at 48.06, with a price of $85.54 and an EPS of $1.78. The Sep 2013 quarter saw the lowest point at 12.33, with a price of $33.28 and an EPS of $2.7.
Maximum annual increase: 118.95% in 2018
Maximum annual decrease: -42.84% in 2019
| Year | PE ratio | Change |
|---|---|---|
| 2023 | 35.03 | 32.29% |
| 2022 | 26.48 | -20.62% |
| 2021 | 33.36 | -4.6% |
| 2020 | 34.97 | 33.37% |
| 2019 | 26.22 | -42.84% |
| 2018 | 45.87 | 118.95% |
| 2017 | 20.95 | 6.02% |
| 2016 | 19.76 | -33.31% |
| 2015 | 29.63 | 88.97% |
| 2014 | 15.68 | 18.43% |
The current PE ratio of MSFT is above its 3, 5 and 10-year averages.
When compared to its peer IBM, MSFT's PE ratio is lower, but it is higher than AAPL's and GOOGL's. Microsoft is currently trading at a higher PE ratio (32.27) than its peers average of 29.85.
| Stock name | PE ratio | Market cap |
|---|---|---|
| HPQ Hp Inc | 10.95 | $25.53B |
| CSCO Cisco Systems Inc | 17.41 | $217.38B |
| GOOGL Alphabet Inc | 27.49 | $1.65T |
| AAPL Apple Inc | 28.58 | $2.67T |
| ORCL Oracle Corp | 30.54 | $289.49B |
| MSFT Microsoft Corp | 32.52 | $2.35T |
| IBM International Business Machines Corp | 63.07 | $127.56B |
As of Sep 28, 2023, MSFT stock has a price to earnings ratio of 32.27.
Over the last 3 years, the average PE ratio for MSFT stock is 31.21.
Over the last 5 years, the average PE ratio for MSFT stock is 30.55.
Over the last ten years, the quarterly PE ratio reached its highest level at 48.06 in the Dec 2017 quarter.
MSFT's price to earnings ratio is currently 15% above its 10-year historical average.
To determine the P/E ratio, divide the latest stock price by the TTM earnings per share (EPS). As of today (Sep 28, 2023), Microsoft's share price is $313.64. The company's earnings per share for the trailing twelve months (TTM) ending Jun 2023 is $9.72. Therefore, Microsoft's price to earnings ratio for today is 32.27. PE RATIO(32.27) = STOCK PRICE($313.64) / TTM EPS($9.72)
All PE ratio stats are based on quarterly TTM periods, unless otherwise specified.