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Microsoft Corporation (MSFT) PB Ratio: 7.01

Is Microsoft Corporation’s P/B ratio high or low?

Microsoft Corporation's P/B ratio of 7.01 is 41% below its 5-year average of 11.89, near the low end of its 5-year range (6.81–17.08).

26.96% below its 12-month average of 9.60.

MSFT PB Ratio Chart

MSFT PB Ratio
7.01-35.98% 1Y
Zoom

MSFT Average PB Ratio Chart

MSFT Current vs Average PB Ratio Chart

MSFT PB Ratio Metrics

PB RATIO

7.01

PB RATIO AVG TTM

9.60

PB RATIO AVG 3Y

11.06

PB RATIO AVG 5Y

11.89

PB RATIO AVG 10Y

10.92

PB RATIO AVG 15Y

8.65

PB RATIO AVG 20Y

8.11

CURRENT VS TTM AVG

-26.96%

CURRENT VS 3Y AVG

-36.63%

CURRENT VS 5Y AVG

-41.03%

CURRENT VS 10Y AVG

-35.80%

CURRENT VS 15Y AVG

-18.92%

CURRENT VS 20Y AVG

-13.53%

MSFT Competitors' PB Ratio

NAMEMARKET CAPPB RATIOTTM3Y5Y
Microsoft Corporation (MSFT)$2.90T7.019.6011.0611.89
Apple Inc. (AAPL)$4.34T41.0049.4848.6845.59
Alphabet Inc. (GOOGL)$4.37T9.158.687.336.95
Amazon.com, Inc. (AMZN)$2.60T5.946.817.959.09
Oracle Corporation (ORCL)$529.48B12.4623.7967.6165.97
Salesforce, Inc. (CRM)$136.32B4.233.694.203.96

P/B vs. its own history

At 7.01, P/B is in its normal range, sitting higher than 45% of its 20-year history.

20-year low

3.16

median

7.52

20-year high

17.08

cheaperricher

Book Value Analysis

P/B Ratio

7.01

Market Price / Book Value per Share

Microsoft Corporation PB Ratio Formula & Definition

PB Ratio = Market Cap / Total Shareholders' Equity

The price-to-book ratio compares market capitalization to book value (shareholders' equity). Lower values can indicate a cheaper valuation relative to net assets.

Expanded definitions: Investopedia, Wikipedia, Corporate Finance Institute

Microsoft Corporation PB Ratio FAQ

What is the P/B ratio for Microsoft Corporation (MSFT)?
The P/B ratio for MSFT stock is 7.01.
Is Microsoft Corporation's P/B ratio high or low?
Microsoft Corporation's P/B ratio of 7.01 is 41% below its 5-year average of 11.89, near the low end of its 5-year range (6.81–17.08).
What is the TTM average P/B ratio for Microsoft Corporation (MSFT)?
The TTM average P/B ratio for MSFT stock is 9.60.
What is the 3Y average P/B ratio for Microsoft Corporation (MSFT)?
The 3Y average P/B ratio for MSFT stock is 11.06.
What is the 5Y average P/B ratio for Microsoft Corporation (MSFT)?
The 5Y average P/B ratio for MSFT stock is 11.89.
What is the 10Y average P/B ratio for Microsoft Corporation (MSFT)?
The 10Y average P/B ratio for MSFT stock is 10.92.
What is the 15Y average P/B ratio for Microsoft Corporation (MSFT)?
The 15Y average P/B ratio for MSFT stock is 8.65.
What is the 20Y average P/B ratio for Microsoft Corporation (MSFT)?
The 20Y average P/B ratio for MSFT stock is 8.11.

Microsoft Corporation PB Ratio History

DATEPB RATIO
2026-06-117.01
2026-06-107.14
2026-06-097.25
2026-06-087.40
2026-06-057.49
2026-06-047.69
2026-06-037.68
2026-06-027.93
2026-06-018.27
2026-05-298.09
2026-05-287.67
2026-05-277.41
2026-05-267.47
2026-05-227.52
2026-05-217.53
2026-05-207.57
2026-05-197.50
2026-05-187.61
2026-05-157.58
2026-05-147.36
2026-05-137.28
2026-05-127.33
2026-05-117.41
2026-05-087.46
2026-05-077.56
2026-05-067.44
2026-05-057.39
2026-05-047.43
2026-05-017.45
2026-04-307.33
2026-04-297.63
2026-04-288.19
2026-04-278.11
2026-04-248.10
2026-04-237.93
2026-04-228.26
2026-04-218.10
2026-04-207.98
2026-04-178.07
2026-04-168.02
2026-04-157.85
2026-04-147.50
2026-04-137.34
2026-04-107.08
2026-04-097.12
2026-04-087.14
2026-04-077.11
2026-04-067.12
2026-04-027.13
2026-04-017.05
2026-03-317.06
2026-03-306.85
2026-03-276.81
2026-03-266.98
2026-03-257.08
2026-03-247.11
2026-03-237.31
2026-03-207.29
2026-03-197.42
2026-03-187.48
2026-03-177.62
2026-03-167.63
2026-03-137.55
2026-03-127.67
2026-03-117.73
2026-03-107.74
2026-03-097.81
2026-03-067.81
2026-03-057.84
2026-03-047.73
2026-03-037.71
2026-03-027.61
2026-02-277.50
2026-02-267.67
2026-02-257.65
2026-02-247.42
2026-02-237.34
2026-02-207.58
2026-02-197.60
2026-02-187.63
2026-02-177.57
2026-02-137.66
2026-02-127.67
2026-02-117.72
2026-02-107.89
2026-02-097.89
2026-02-067.66
2026-02-057.51
2026-02-047.90
2026-02-037.85
2026-02-028.08
2026-01-308.21
2026-01-298.27
2026-01-289.19
2026-01-279.88
2026-01-269.67
2026-01-239.58
2026-01-229.28
2026-01-219.13
2026-01-209.35
2026-01-169.46
2026-01-159.39
2026-01-149.45
2026-01-139.68
2026-01-129.81
2026-01-099.86
2026-01-089.83
2026-01-079.94
2026-01-069.84
2026-01-059.72
2026-01-029.73
2025-12-319.94
2025-12-3010.02
2025-12-2910.02
2025-12-2610.03
2025-12-2410.04
2025-12-2310.01
2025-12-229.97
2025-12-199.99
2025-12-189.95
2025-12-179.79
2025-12-169.80
2025-12-159.76
2025-12-129.84
2025-12-119.94
2025-12-109.84
2025-12-0910.12
2025-12-0810.10
2025-12-059.94
2025-12-049.89
2025-12-039.82
2025-12-0210.08
2025-12-0110.01
2025-11-2810.12
2025-11-269.98
2025-11-259.81
2025-11-249.75
2025-11-219.71
2025-11-209.84
2025-11-1910.02
2025-11-1810.15
2025-11-1710.44
2025-11-1410.49
2025-11-1310.35
2025-11-1210.51
2025-11-1110.46
2025-11-1010.40
2025-11-0710.22
2025-11-0610.22
2025-11-0510.43
2025-11-0410.58
2025-11-0310.63
2025-10-3110.65
2025-10-3010.81
2025-10-2911.14
2025-10-2811.77
2025-10-2711.55
2025-10-2411.37
2025-10-2311.31
2025-10-2211.31
2025-10-2111.24
2025-10-2011.23
2025-10-1711.16
2025-10-1611.11
2025-10-1511.15
2025-10-1411.16
2025-10-1311.17
2025-10-1011.10
2025-10-0911.35
2025-10-0811.40
2025-10-0711.38
2025-10-0611.48
2025-10-0311.24
2025-10-0211.20
2025-10-0111.29
2025-09-3011.25
2025-09-2911.18
2025-09-2611.11
2025-09-2511.01
2025-09-2411.08
2025-09-2311.06
2025-09-2211.17
2025-09-1911.25
2025-09-1811.04
2025-09-1711.08
2025-09-1611.06
2025-09-1511.19
2025-09-1211.08
2025-09-1110.88
2025-09-1010.87
2025-09-0910.83
2025-09-0810.82
2025-09-0510.75
2025-09-0411.03
2025-09-0310.98
2025-09-0210.97
2025-08-2911.01
2025-08-2811.07
2025-08-2711.01
2025-08-2610.91
2025-08-2510.95
2025-08-2211.02
2025-08-2110.95
2025-08-2010.99
2025-08-1911.07
2025-08-1811.23
2025-08-1511.30
2025-08-1411.35
2025-08-1311.31
2025-08-1211.50
2025-08-1111.33
2025-08-0811.34
2025-08-0711.31
2025-08-0611.40
2025-08-0511.46
2025-08-0411.64
2025-08-0111.38
2025-07-3111.59
2025-07-3011.15
2025-07-2911.88
2025-07-2811.88
2025-07-2511.91
2025-07-2411.84
2025-07-2311.73
2025-07-2211.71
2025-07-2111.82
2025-07-1811.82
2025-07-1711.86
2025-07-1611.72
2025-07-1511.72
2025-07-1411.66
2025-07-1111.67
2025-07-1011.62
2025-07-0911.67
2025-07-0811.51
2025-07-0711.54
2025-07-0311.56
2025-07-0211.38
2025-07-0111.41
2025-06-3011.53
2025-06-2711.50
2025-06-2611.53
2025-06-2511.41
2025-06-2411.36
2025-06-2311.26
2025-06-2011.07
2025-06-1811.13
2025-06-1711.08
2025-06-1611.11
2025-06-1311.01
2025-06-1211.10
2025-06-1110.95
2025-06-1010.92
2025-06-0910.96
2025-06-0610.90
2025-06-0510.84
2025-06-0410.75
2025-06-0310.73
2025-06-0210.71
2025-05-3010.67

Showing the most recent 260 of 5,032 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