Microsoft generated impressive free cash flow (FCF) growth and higher FCF margins, and said capex growth would moderate. That could lead to a 28% higher MSFT target price of $668 per share. This ...

Microsoft's Dividend At first glance, Microsoft’s dividend yield—hovering around 0.67%—seems surprisingly low, especially for a company with such enormous free cash flow.

Microsoft delivered very profitable quarterly results. The company is on track to deliver between $90 and $100 billion in FCF over the next 12 months. To some investors, MSFT stock is undervalued.

Microsoft reported massive free cash flow growth, up 19% YoY for the fiscal Q4 quarter ending June 30. As a result, MSFT stock is cheap and traders now find long-call and short-put plays attractive.

Microsoft is estimated to receive an $11B increase in free cash flow, or $1.50 per share, according to Evercore. Oracle's free cash flow could rise by $3.3B, or $1.12 per share.

Microsoft Corporation sees 26% Cloud growth, pushing shares up 8%. Click for my updated look at MSFT post Q2 earnings and an analysis of its free cash flow.

Microsoft’s valuation is nearly double that of the energy companies in the S&P 500 Index even as it generates half the free cash flow as these companies, the analyst said.

In 2020, Microsoft pulled in $45.2 billion in free cash flow. That number climbed to $56.1 billion in 2021, then jumped again to $65.1 billion in 2022.