Market Update (NASDAQ:MSFT): A Microsoft Surface Phone Will Not Be Enough

[at Forbes] – Over the last week or so, there has been plenty of speculation regarding a potential Microsoft Surface Phone and its implications in the smartphone space. Some think the speculation is just rumor mongering and Microsoft hasn’t confirmed a Surface Phone is in the works at all. Others believe the phone Read more on this. Microsoft Corporation (MSFT) , with a current market cap of $451.72B, opened this morning at $56.25. Today’s price range has been between $56.06 and $56.85 per share and has traded between $39.72 and $56.85 over the past year. Microsoft (MSFT) shares are currently priced at 20.24x this year’s forecasted earnings, which makes them relatively expensive compared to the industry’s 9.02x earnings multiple for the same period. And for passive income investors, the company pays shareholders $1.44 per share annually in dividends, yielding 2.59%. According to a consensus of 27 analysts, the earnings estimate of $0.71 per share would be $0.00 worse than the year-ago quarter and a $0.01 sequential decrease. Furthermore, our analysis shows the full-year EPS estimate to be $2.75, which would be a $0.29 improvement when compared to the last year’s annual results. The quarterly earnings estimate is predicated on a consensus revenue forecast of $25.23 Billion. If reported, that would be a 4.68% decrease over the year-ago quarter. In terms of ratings, Goldman upgraded MSFT from Sell to Neutral (Dec 18, 2015). Previously, Stifel upgraded MSFT from Hold to Buy. Given all the information above, we should disclose to readers that the average price target is $57.00, which is 1.33% above than it opened this morning. See more in (NASDAQ:MSFT) Similar Articles: Market Update: Microsoft Corporation (NASDAQ:MSFT) – Microsoft’s first-ever laptop Surface Book sells out before launch Company Update: Microsoft Corporation (NASDAQ:MSFT) – Why the Microsoft Surface Pro 4 Could Be a Huge Leap Forward Market Update (NASDAQ:MSFT): Microsoft cuts 7,800 jobs as phone sales flag