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 »
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