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Microsoft (MSFT) P/E Ratio
P/E Ratio as of Feb 132026: 25.11
Average28.45
Median27.02
Minimum24.63
Maximum33.15
25.11
8.38 (25.02%)past month
The P/E ratio for Microsoft (MSFT) is 25.11 as of Feb 132026. This represents a decrease of -26.96% compared to its 12-month average P/E ratio of 34.38. A higher P/E ratio suggests that investors expect strong future earnings growthwhile a lower P/E ratio may indicate a potentially undervalued stock or slowing growth.
Microsoft P/E Ratio Formula = Stock Price ÷ Earnings Per Share (EPS)
Microsoft’s P/E ratio represents the valuation of the company based on its earnings. It’s calculated by dividing the company’s latest stock price by its diluted earnings per share (EPS) over the past 12 months. The P/E ratio helps investors assess how much they are paying for each dollar of earningsoffering valuable insights when comparing Microsoft to industry peers.
Microsoft P/E Ratio Formula = Stock Price ÷ Earnings Per Share (EPS)
Microsoft’s P/E ratio represents the valuation of the company based on its earnings. It’s calculated by dividing the company’s latest stock price by its diluted earnings per share (EPS) over the past 12 months. The P/E ratio helps investors assess how much they are paying for each dollar of earningsoffering valuable insights when comparing Microsoft to industry peers.
Microsoft (MSFT) P/E Ratio Insights
See Microsoft’s latest P/E ratiohistorical trendsand valuation insights with AI-powered fundamental data and custom analysis.
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Microsoft (MSFT) P/E Ratio Historic Data
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| Date | Stock price | P/E ratio |
|---|---|---|
| Dec 12025 | $486.74 | 34.63 |
| Nov 32025 | $517.03 | 36.78 |
| Oct 12025 | $519.71 | 38.10 |
| Sep 22025 | $505.12 | 37.03 |
| Aug 12025 | $524.11 | 38.42 |
| Jul 12025 | $492.05 | 38.02 |
| Jun 22025 | $461.97 | 35.70 |
| May 12025 | $425.40 | 32.87 |
| Apr 12025 | $382.19 | 29.53 |
| Mar 32025 | $388.49 | 31.29 |
| Feb 32025 | $410.92 | 33.10 |
| Jan 22025 | $418.58 | 33.71 |
Microsoft (MSFT) End of Year P/E Ratio
| Date | P/E ratio | Change |
|---|---|---|
| 2026 | 25.11 | -27.03% |
| 2025 | 34.41 | +1.35% |
| 2024 | 33.95 | -6.78% |
| 2023 | 36.42 | +40.94% |
| 2022 | 25.84 | -27.78% |
| 2021 | 35.78 | — |
FAQs About Microsoft (MSFT) P/E ratio
The latest P/E ratio of Microsoft (MSFT) is 25.11as of Feb 132026. This is calculated based on its current stock price and earnings per share (EPS).
Microsoft’s last 12-month average P/E ratio is 34.38compared to its current P/E ratio of 25.11. This reflects a decrease of -26.96%.
Microsoft’s current P/E ratio of 25.11 is lower than its last 12-month average P/E of 34.38. A higher P/E can indicate strong future growth expectationswhile a lower P/E might suggest undervaluation.
Microsoft’s average P/E ratio over the last 3 years is 34.41. Comparing this to the current P/E helps assess recent valuation trends and whether the stock is trading above or below its mid-term historical range.
Microsoft’s average P/E ratio over the last 5 years is 33.22. A deviation from this historical average may indicate shifts in growth expectationsprofitabilityor broader market conditions affecting valuation.