Microsoft Corp (NASDAQ:MSFT)

CAPS Rating: 3 out of 5

The world’s leading software company, Microsoft is the force behind the Windows operating systems and the Office suite of software.


Player Avatar Raphael1990 (41.09) Submitted: 1/22/2013 2:38:09 PM : Outperform Start Price: $27.81 MSFT Score: +2.23

Highly underestimated and undervalued right now, because people happen to always look for the latest and greatest and the next Apple and ignore the fact that Microsoft has the license to print money by selling their software. Also as an investor I like the integrated store in Windows 8. While Apple can get a cut of all the cheap apps that are sold in the appstore. Microsoft is in the pole position to get all the software, games, movies and music into their virtual shelves and make huge profits just by providing the plattform.
For people out there who know Valve's Steam: Imagine Steam not only with games but also with software, movies and music AND preinstalled on every new PC and Windows Phone on the planet. Now you are the company that owns this platform so you get 20-30% of every sale just like that. This is the thing you should be excited about.

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Member Avatar jimmy4040 (35.48) Submitted: 1/22/2013 4:38:46 PM
Recs: 1

The only way to ever make money on MSFT is to buy it around $26-27 and sell around $31-32, every single time.

That's been the pattern for going on 10 years and as long as Ballmer is CEO nothing is gonna change.

Member Avatar MrOneHundred (30.67) Submitted: 1/25/2013 11:29:57 PM
Recs: 4

I'm mostly with you on this.

With their entrance into the mobile marketplace with the hip-looking, touch-screen Surface laptop/quasi-tablet, I feel that the company is stepping in the right direction. More products like the Surface are a good move. Windows 8 was an excellent innovation that merged all the operating system platforms. However, it was released at the wrong time, and consumers bashed it. It also sort of left regular, old desktop users in the dust when it came to ease of use; good for touch screens, bad for most other things. While it has a learning curve, I think revamping the graphics and changing its accessibility will save Microsoft in the long run. The integrated store, I agree, is a good business model waiting to build up steam (no pun intended). The company seems to be focusing its attention mostly on the Xbox and reviving the PC market. I think this is also a good move because unlike Apple's products which are mostly information sharing, Microsoft's products still have multiple avenues of usefulness. IMacs are also way too expensive to be in the average consumer lifestyle... especially with all the home foreclosures since 2009. (In a more personal note, I find them buggy, and hate the lack of modularity.) If the Xbox hits the living room as the article below suggests, I can see Xbox Music and the Xbox Kinect dominating Pandora and seriously competing with other gaming systems. (I still think Pandora's cooler though.)

With Apple's stock steady decline, and the Steve Jobs death syndrome going around, some consumers may change sides. Sentiment towards AAPL has definitely seen a dramatic shift, and it's one that could play into MSFT's inclination. It still seems like a long shot, but I can see it happening.

I agree with Jimmy, Ballmer needs to go.

People keep bashing Microsoft, and they've got some good reasons to: The administration generally hasn't made the best decisions in the past, the stock's growth has been too conservative, and at first glance Windows 8 was a disappointment. Plus, there's positive sentiment towards Apple's products that has been built into investors by several years of enormous growth and innovation.

I think, all other things being equal, that Microsoft could see enormous growth over the next 5 years. (This stock is on my watch list for this reason.) Again IMO, I think this will take some time to grow into the consumer hearts. I'll be there with a buy if I ever find significant evidence that this has happened. Until then, I'm going to wait to see what happens.

As you can tell, I get rather long-winded! XD I hope you enjoyed my rant.

Member Avatar MrOneHundred (30.67) Submitted: 1/30/2013 1:50:23 AM
Recs: 0

HyperV might convince me...

Member Avatar 68hemicuda (< 20) Submitted: 2/4/2013 9:58:09 PM
Recs: 0

I totally agree with Mybuzzbox, and they are really way past due. Yes, I really like the Microsoft store, and it will have to definitely increase revenue for the big corp.

Member Avatar 4melody (27.36) Submitted: 2/18/2013 7:35:49 AM
Recs: 0

Totally agree with MYBUZZBOX. As an investor and product user, I'm in for the long haul.
Need to increase my investment! ~ mkp

Member Avatar stockNrolex (< 20) Submitted: 5/23/2013 10:36:23 PM
Recs: 0

I picked up MSFT @ 28 in feb having owned multiple times several years ago at the same price. Looking at all of the other companies it just seemed highly undervalued with lots of room to grow. Windows 8 is way cooler than their previous OS and I really believe in their product line aside from their software and have seen them making smart acquisition that I use on a regular basis. MSFT is a winner.. This co. has definitely "found religion". I am keeping it in my CORE portfolio with a stop to protect some profits.

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