
Buy the Dip?? Investors worry about AI spending ROI and software disruption but if you calculated what Microsoft’s three main businesses—cloud, software and personal computing—would be worth if each was trading at valuations in line with rivals in those sectors. The total is between $3.5 trillion and $3.8 trillion, a big premium over the $2.9 trillion enterprise value at which Microsoft is now trading. The $3.8 trillion value translates to a per-share basis of almost $500, compared to Microsoft’s closing price on Wednesday of $384. #The Most Important Thing
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Why Microsoft’s Real Value Is Close to $3.8 Trillion, or $500 a Share
Signs that Microsoft is open to spinning off its struggling Xbox gaming unit have put the spotlight on the tech conglomerate’s vast mix of businesses. Investors typically don’t like conglomerates, and that’s as true for Microsoft as for any other such company. We calculated what Microsoft’s ...
