CluenexMicrosoft Corporation MSFT
Microsoft Corporation scores excellent on business quality (7.8 of 10). Here is why, in plain words, and what our sealed record shows.
Why it matters
- What Microsoft Corporation does
Microsoft sells cloud computing infrastructure, enterprise software, and productivity tools to businesses and consumers globally, generating $331.8 billion in revenue. The company is aggressively expanding its AI services across its cloud and software ecosystem.
- What it does best
Microsoft converts enterprise software dominance into cloud growth, posting an operating margin of 46.8% that beats Oracle's 34.2%. Deep enterprise switching costs and entrenched office tools make migrating away nearly impossible for large corporations.
- The main risk
A massive capital expenditure cycle of $115.9 billion for infrastructure creates heavy pressure on free cash flow generation, which dipped to $67.0 billion despite surging revenue.
Quality, check by check
Scored against its own industry, from company filings.
Operating margins sit at a towering 46.8% alongside a net margin of 40.3%. High software scalability ensures profitability expands efficiently with every new enterprise user.
Enterprise lock-in shields its software ecosystem, backed by an operating margin sitting in the top decile of its sector at the 94th percentile.
Revenue growth reached 17.8%, driven by cloud demand and enterprise adoption. This marks a solid expansion over prior historical annual periods.
Total debt of $106.9 billion is easily managed with interest coverage above 50x. Free cash generation remains massive at $67.0 billion, leaving the balance sheet deeply resilient.
Insiders
Executives and directors, from SEC Form 4 filings we read ourselves. Open market trades only; grants, option exercises and pre-planned sales left out.
2 sold $7.3M outside pre-planned sales.
Our sealed record on MSFT
Verdicts appear here 30 days after we publish them; members see today's. Each one is in the nightly ledger, fingerprinted the night it was made.
The first sealed verdicts appear here on Oct 11, 2026.
Questions
Microsoft Corporation scores excellent on the Cluenex quality check (7.8 of 10), measured against its own industry. Profitability is strong, moat strong, growth fast and financial health strong.
In the last 90 days of SEC Form 4 filings: 2 sold $7.3M outside pre-planned sales.
Oct 28, 2026.
See MSFT today
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- Fair value with cautious, base and optimistic cases
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Cite this page: Cluenex, “Microsoft Corporation (MSFT)”, https://cluenex.com/stocks/msft/, data as of Oct 10, 2026.