Microsoft Corporation logo
Microsoft Corporation (MSFT)
Compare

Microsoft Corporation (MSFT) EV/EBITDA Ratio: 15.00x

Is Microsoft Corporation’s EV/EBITDA ratio high or low?

Microsoft Corporation's EV/EBITDA ratio of 15.00x is 35% below its 5-year average of 23.11x, near the low end of its 5-year range (14.42x–29.50x).

The EV/EBITDA ratio for Microsoft Corporation (MSFT) is 15.00x as of Wednesday, June 10, 2026. It is below its 12-month average by 27.88% (20.80x).

MSFT EV/EBITDA Ratio Chart

MSFT EV/EBITDA Ratio
15.00x-37.29% 1Y
Zoom

MSFT Average EV/EBITDA Ratio Chart

MSFT Current vs Average EV/EBITDA Ratio Chart

MSFT EV/EBITDA Ratio Metrics

EV/EBITDA RATIO

15.00x

EV/EBITDA RATIO AVG TTM

20.80x

EV/EBITDA RATIO AVG 3Y

23.09x

EV/EBITDA RATIO AVG 5Y

23.11x

EV/EBITDA RATIO AVG 10Y

21.49x

EV/EBITDA RATIO AVG 15Y

18.14x

EV/EBITDA RATIO AVG 20Y

16.34x

CURRENT VS TTM AVG

-27.88%

CURRENT VS 3Y AVG

-35.04%

CURRENT VS 5Y AVG

-35.09%

CURRENT VS 10Y AVG

-30.21%

CURRENT VS 15Y AVG

-17.29%

CURRENT VS 20Y AVG

-8.19%

MSFT Competitors' EV/EBITDA Ratio

NAMEMARKET CAPEV/EBITDA RATIOTTM3Y5Y
Microsoft Corporation (MSFT)$2.98T15.00x20.80x23.09x23.11x
Apple Inc. (AAPL)$4.32T27.41x26.33x25.00x23.34x
Alphabet Inc. (GOOGL)$4.31T20.17x19.80x18.77x18.06x
Amazon.com, Inc. (AMZN)$2.57T15.77x16.72x19.70x21.98x
Oracle Corporation (ORCL)$586.87B24.52x28.39x24.15x22.01x
Salesforce, Inc. (CRM)$141.00B14.75x18.69x24.45x34.76x

EV/EBITDA vs. its own history

At 15.0, EV/EBITDA is in its normal range — richer than 42% of its 20-year range.

20-year low

5.3

median

16.9

20-year high

29.5

cheaperricher

Understanding EV/EBITDA

Enterprise Value (EV) = Market Cap + Total Debt - Cash

EBITDA = Earnings Before Interest, Taxes, Depreciation & Amortization

EV/EBITDA is commonly used for comparing companies because:

  • It accounts for debt levels (capital structure neutral)
  • It removes effects of different depreciation policies
  • It can be compared across countries with different tax rates
  • It can remain available when net income is negative, if EBITDA is positive

Microsoft Corporation EV/EBITDA Ratio Formula & Definition

EV/EBITDA = Enterprise Value / EBITDA (TTM)

Enterprise value to EBITDA is a capital-structure-neutral valuation multiple, useful for comparing companies with different debt levels and tax rates.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Microsoft Corporation EV/EBITDA Ratio FAQ

What is the EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The EV/EBITDA ratio for MSFT stock is 15.00x.
Is Microsoft Corporation's EV/EBITDA ratio high or low?
Microsoft Corporation's EV/EBITDA ratio of 15.00x is 35% below its 5-year average of 23.11x, near the low end of its 5-year range (14.42x–29.50x).
What is the TTM average EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The TTM average EV/EBITDA ratio for MSFT stock is 20.80x.
What is the 3Y average EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The 3Y average EV/EBITDA ratio for MSFT stock is 23.09x.
What is the 5Y average EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The 5Y average EV/EBITDA ratio for MSFT stock is 23.11x.
What is the 10Y average EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The 10Y average EV/EBITDA ratio for MSFT stock is 21.49x.
What is the 15Y average EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The 15Y average EV/EBITDA ratio for MSFT stock is 18.14x.
What is the 20Y average EV/EBITDA ratio for Microsoft Corporation (MSFT)?
The 20Y average EV/EBITDA ratio for MSFT stock is 16.34x.

Microsoft Corporation EV/EBITDA Ratio History

DATEEV/EBITDA RATIO
2026-06-1015.00x
2026-06-0915.07x
2026-06-0815.38x
2026-06-0515.56x
2026-06-0415.98x
2026-06-0315.96x
2026-06-0216.47x
2026-06-0117.18x
2026-05-2916.80x
2026-05-2815.94x
2026-05-2715.41x
2026-05-2615.54x
2026-05-2215.63x
2026-05-2115.65x
2026-05-2015.72x
2026-05-1915.59x
2026-05-1815.81x
2026-05-1515.75x
2026-05-1415.29x
2026-05-1315.14x
2026-05-1215.23x
2026-05-1115.41x
2026-05-0815.50x
2026-05-0715.71x
2026-05-0615.46x
2026-05-0515.36x
2026-05-0415.45x
2026-05-0115.48x
2026-04-3015.23x
2026-04-2915.85x
2026-04-2817.25x
2026-04-2717.08x
2026-04-2417.07x
2026-04-2316.72x
2026-04-2217.39x
2026-04-2117.05x
2026-04-2016.81x
2026-04-1717.00x
2026-04-1616.90x
2026-04-1516.55x
2026-04-1415.84x
2026-04-1315.50x
2026-04-1014.97x
2026-04-0915.06x
2026-04-0815.11x
2026-04-0715.03x
2026-04-0615.05x
2026-04-0215.07x
2026-04-0114.91x
2026-03-3114.95x
2026-03-3014.51x
2026-03-2714.42x
2026-03-2614.78x
2026-03-2514.98x
2026-03-2415.05x
2026-03-2315.45x
2026-03-2015.40x
2026-03-1915.68x
2026-03-1815.79x
2026-03-1716.09x
2026-03-1616.11x
2026-03-1315.94x
2026-03-1216.18x
2026-03-1116.30x
2026-03-1016.33x
2026-03-0916.48x
2026-03-0616.46x
2026-03-0516.53x
2026-03-0416.31x
2026-03-0316.26x
2026-03-0216.05x
2026-02-2715.83x
2026-02-2616.18x
2026-02-2516.13x
2026-02-2415.68x
2026-02-2315.50x
2026-02-2016.00x
2026-02-1916.05x
2026-02-1816.09x
2026-02-1715.99x
2026-02-1316.16x
2026-02-1216.18x
2026-02-1116.28x
2026-02-1016.63x
2026-02-0916.64x
2026-02-0616.15x
2026-02-0515.86x
2026-02-0416.66x
2026-02-0316.55x
2026-02-0217.02x
2026-01-3017.29x
2026-01-2917.41x
2026-01-2819.29x
2026-01-2721.65x
2026-01-2621.19x
2026-01-2321.00x
2026-01-2220.35x
2026-01-2120.04x
2026-01-2020.50x
2026-01-1620.74x
2026-01-1520.59x
2026-01-1420.71x
2026-01-1321.21x
2026-01-1221.50x
2026-01-0921.59x
2026-01-0821.54x
2026-01-0721.77x
2026-01-0621.55x
2026-01-0521.31x
2026-01-0221.31x
2025-12-3121.78x
2025-12-3021.95x
2025-12-2921.93x
2025-12-2621.96x
2025-12-2421.97x
2025-12-2321.92x
2025-12-2221.84x
2025-12-1921.88x
2025-12-1821.79x
2025-12-1721.45x
2025-12-1621.46x
2025-12-1521.39x
2025-12-1221.56x
2025-12-1121.77x
2025-12-1021.56x
2025-12-0922.15x
2025-12-0822.10x
2025-12-0521.76x
2025-12-0421.66x
2025-12-0321.52x
2025-12-0222.06x
2025-12-0121.92x
2025-11-2822.15x
2025-11-2621.86x
2025-11-2521.49x
2025-11-2421.36x
2025-11-2121.27x
2025-11-2021.55x
2025-11-1921.93x
2025-11-1822.23x
2025-11-1722.83x
2025-11-1422.95x
2025-11-1322.64x
2025-11-1222.99x
2025-11-1122.88x
2025-11-1022.76x
2025-11-0722.36x
2025-11-0622.37x
2025-11-0522.81x
2025-11-0423.13x
2025-11-0323.25x
2025-10-3123.28x
2025-10-3023.63x
2025-10-2924.32x
2025-10-2825.76x
2025-10-2725.27x
2025-10-2424.90x
2025-10-2324.76x
2025-10-2224.76x
2025-10-2124.63x
2025-10-2024.59x
2025-10-1724.44x
2025-10-1624.34x
2025-10-1524.43x
2025-10-1424.44x
2025-10-1324.46x
2025-10-1024.31x
2025-10-0924.85x
2025-10-0824.96x
2025-10-0724.92x
2025-10-0625.13x
2025-10-0324.61x
2025-10-0224.54x
2025-10-0124.72x
2025-09-3024.64x
2025-09-2924.48x
2025-09-2624.34x
2025-09-2524.13x
2025-09-2424.28x
2025-09-2324.23x
2025-09-2224.48x
2025-09-1924.64x
2025-09-1824.20x
2025-09-1724.27x
2025-09-1624.22x
2025-09-1524.52x
2025-09-1224.26x
2025-09-1123.85x
2025-09-1023.82x
2025-09-0923.73x
2025-09-0823.72x
2025-09-0523.57x
2025-09-0424.17x
2025-09-0324.05x
2025-09-0224.04x
2025-08-2924.11x
2025-08-2824.25x
2025-08-2724.12x
2025-08-2623.90x
2025-08-2524.00x
2025-08-2224.14x
2025-08-2124.00x
2025-08-2024.07x
2025-08-1924.26x
2025-08-1824.60x
2025-08-1524.74x
2025-08-1424.85x
2025-08-1324.76x
2025-08-1225.17x
2025-08-1124.82x
2025-08-0824.83x
2025-08-0724.77x
2025-08-0624.97x
2025-08-0525.10x
2025-08-0425.46x
2025-08-0124.93x
2025-07-3125.36x
2025-07-3024.42x
2025-07-2925.99x
2025-07-2825.99x
2025-07-2526.05x
2025-07-2425.91x
2025-07-2325.66x
2025-07-2225.63x
2025-07-2125.87x
2025-07-1825.87x
2025-07-1725.95x
2025-07-1625.65x
2025-07-1525.66x
2025-07-1425.52x
2025-07-1125.53x
2025-07-1025.44x
2025-07-0925.54x
2025-07-0825.20x
2025-07-0725.25x
2025-07-0325.31x
2025-07-0224.92x
2025-07-0124.97x
2025-06-3025.24x
2025-06-2725.17x
2025-06-2625.24x
2025-06-2524.98x
2025-06-2424.88x
2025-06-2324.67x
2025-06-2024.24x
2025-06-1824.38x
2025-06-1724.28x
2025-06-1624.33x
2025-06-1324.12x
2025-06-1224.32x
2025-06-1124.01x
2025-06-1023.92x
2025-06-0924.01x
2025-06-0623.89x
2025-06-0523.76x
2025-06-0423.57x
2025-06-0323.53x
2025-06-0223.48x
2025-05-3023.40x
2025-05-2923.31x

Showing the most recent 260 of 5,031 data points. The chart above shows the full history.

About Microsoft Corporation

Microsoft Corporation is a prominent global technology firm that invents, markets, and provides ongoing assistance for a diverse range of software, digital services, computing devices, and comprehensive solutions. Its operations are organized into three primary divisions: Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. The Productivity and Business Processes segment delivers crucial tools for both enterprises and individual users. This includes the extensive Office suite (comprising Exchange, SharePoint, Microsoft Teams, Office 365 Security and Compliance, Microsoft Viva, and Skype for Business), along with popular consumer offerings like Skype, Outlook.com, OneDrive, and LinkedIn. It also features Dynamics 365, a suite of integrated cloud and on-premises business applications tailored for organizations. The Intelligent Cloud division focuses on sophisticated infrastructure and platform services. Here, Microsoft licenses key products such as SQL Server, Windows Servers, Visual Studio, System Center, and associated Client Access Licenses. It also includes GitHub, a leading platform for developer collaboration and code hosting; Nuance, offering advanced AI solutions for healthcare and businesses; and Azure, its expansive cloud computing platform. This segment further encompasses enterprise support, Microsoft consulting services, and Nuance professional services, assisting clients with the development, deployment, and management of Microsoft's server and desktop technologies, alongside offering product training and certification. Finally, the More Personal Computing segment covers a broad spectrum of consumer and commercial computing experiences. It generates revenue through Windows operating system licensing, including agreements with original equipment manufacturers (OEMs), non-volume licensing, and various Windows Commercial offerings (such as volume licensing and cloud services), as well as patent licensing and Windows Internet of Things (IoT). This division also supplies its own hardware, including Surface devices, PC accessories, and gaming/entertainment consoles. Its Gaming portfolio features Xbox hardware, content, and subscription services, in addition to video games and royalties from third-party titles. Furthermore, it manages search services like Bing and Microsoft's advertising platforms. Microsoft distributes its extensive product line via numerous channels, including original equipment manufacturers, wholesale distributors, and various resellers, complementing direct sales through digital marketplaces, its own online storefronts, and physical retail outlets. The company, established in 1975, maintains its headquarters in Redmond, Washington.

Redmond, WA
228,000 employees
Technology / Software - Infrastructure
Sector
Technology
Industry
Software - Infrastructure
CEO
Satya Nadella