4 ms·
False. I'm not sure why this post is catching as much flak as it did so quickly, but you don't seem to have read the post in its entirety. From the 3rd paragra
by arthurdent 16y ago
False. I'm not sure why this post is catching as much flak as it did so quickly, but you don't seem to have read the post in its entirety.
From the 3rd paragraph:
"Microsoft's market cap is 221 B, their book value is 46 B, and therefore 175 B of their market cap is projected future earnings. Their current profit is 46.28 B/year, and that works out to the market valuing them at their current earnings stream projected over a bit under 4 years."
As a finance professional I think its actually a fairly reasoned comment. Its not enough to make big decisions with, but investing is frequently about taking little scraps of information to formulate an opinion.
In this case, it portrays and interesting difference between companies that compete in similar spaces and I think the qualitative finding roughly corroborates most people's views about the future of MSFT's business based on their current execution quality.