Tuesday, October 23, 2012

MSFT: We See Strength Ahead For Microsoft, Shares Remain Incredibly Cheap

We See Strength Ahead For Microsoft, Shares Remain Incredibly Cheap
by Valuentum

Software goliath Microsoft (MSFT) reported slightly weaker than expected first quarter results Thursday afternoon. Revenue shrank 8% year-over-year to $16 billion, which was a bit lighter than consensus estimates. However, if we add back deferred revenue of $1.3 billion, then year-over-year growth was flat. Earnings fell 22% year-over-year to $0.53 per share, which was also a bit worse than consensus expectations. Again, with deferred revenue added back, earnings look much better at $0.65 per share. We continue to think Microsoft is incredibly cheap, as we outline in this article here. read more »

More on MSFT:
Microsoft Gets A Pass by Bill Maurer

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