What Is Microsoft Stock (MSFT)?

Key Takeaways

• Microsoft stock (ticker: MSFT) is a share of ownership in Microsoft Corporation, traded on the NASDAQ exchange
• The microsoft stock price today per share is approximately $440 as of June 2025 — check the live microsoft msft stock price today at Bybit [ TradFi](https://www.bybit.com/trade/tradfi/MSFT)
• Microsoft generates revenue across three segments: Intelligent Cloud (led by Azure), Productivity and Business Processes (Microsoft 365, LinkedIn), and More Personal Computing (Windows, Xbox, Gaming)
• MSFT has split its stock 9 times since its 1986 IPO. The last split occurred in February 2003
• Microsoft has paid a quarterly dividend since 2003 and has increased it every year, classifying it as a dividend growth stock
• You can buy MSFT through any major US brokerage, including Fidelity, Charles Schwab, and Robinhood, with fractional shares available for as little as $1

What Is Microsoft Stock (MSFT)?

Microsoft stock (ticker: MSFT) is a share of ownership in Microsoft Corporation, one of the world's largest technology companies by market capitalization. Listed on the NASDAQ exchange, MSFT gives investors exposure to Microsoft's businesses including cloud computing (Azure), productivity software (Microsoft 365), gaming, and artificial intelligence partnerships. For the live microsoft stock price today msft, visit Bybit TradFi.

If you are new to investing, this guide covers everything you need to know about Microsoft stock, from what it is and how the company makes money, to how to buy your first share. Stock market investing means buying shares of publicly traded companies like Microsoft through a stock exchange, with the goal of participating in a company's financial growth over time.

Think of each share as owning a tiny fraction of Microsoft. If Microsoft grows more valuable over time, so does your share. If the company's value falls, your share reflects that too.

MSFT is the ticker symbol assigned to Microsoft Corporation on the NASDAQ exchange. A ticker symbol is a shorthand code that identifies a publicly traded company on a stock exchange. When you search for Microsoft on any brokerage platform, you type MSFT. NASDAQ is a technology-focused stock exchange based in New York. It lists many of the world's largest technology companies, from Apple and Alphabet to Amazon and Nvidia, making it distinct from the New York Stock Exchange (NYSE), which skews toward financial and industrial companies.

Owning MSFT shares has four practical effects. Your shares are held as an electronic record in your brokerage account. Their value changes with the microsoft stock price today per share throughout each trading day. You receive a quarterly cash dividend payment (Microsoft has paid one since 2003). For full shares, you gain one vote per share on shareholder matters such as board elections at Microsoft's annual general meeting.

Microsoft is one of the so-called Magnificent 7 large-cap technology stocks, a group that also includes Apple, Alphabet, Amazon, Nvidia, Meta, and Tesla. The sections below cover how Microsoft makes money, its stock price history, key financial metrics, dividends, how it compares to peers, and how to buy MSFT shares. If you already hold index funds, you may want to check whether you already have MSFT exposure through index funds before buying individual shares.

How Microsoft Makes Money: The Three Business Segments

Microsoft generates revenue across three official reporting segments: Intelligent Cloud, Productivity and Business Processes, and More Personal Computing. The Intelligent Cloud segment is the largest and fastest-growing of the three.

Source: Microsoft Annual Report (10-K). Verify current figures at investor.microsoft.com. As of fiscal year ending June 30, 2024. Percentages are approximate and subject to change.

Segment 1: Intelligent Cloud (Azure)

The Intelligent Cloud segment, which includes Azure cloud computing services, server products, and Azure AI, is Microsoft's largest and fastest-growing revenue segment. Azure competes directly with Amazon Web Services (AWS) and Google Cloud for enterprise cloud spending, and has grown to become the second-largest cloud provider globally.

Azure's quarterly revenue growth rate is the single most-watched metric in MSFT earnings calls. When Azure reports growth above analyst expectations, MSFT stock tends to react positively and the microsoft stock price today per share typically moves higher; when growth slows, shares often sell off. This direct connection between Azure's performance and the microsoft msft stock price today makes the Intelligent Cloud segment the primary driver of short-term price movement. CEO Satya Nadella, who took the role in 2014, architected Microsoft's shift from a Windows-centric company to a cloud-first platform, and Azure's growth trajectory is the clearest measure of that strategy's financial results.

Segment 2: Productivity and Business Processes

The Productivity and Business Processes segment covers Microsoft 365 (formerly Office 365), LinkedIn, and Dynamics 365 enterprise software. Microsoft 365 includes Word, Excel, PowerPoint, Teams, Outlook, and other productivity tools delivered as a subscription rather than a one-time purchase.

That shift from perpetual licensing to recurring subscriptions, completed over roughly a decade, changed how analysts value Microsoft's earnings. Subscription revenue is more predictable than one-time sales, which supports a higher valuation multiple for MSFT shares. LinkedIn, acquired in 2016 for $26.2 billion, contributes advertising and premium subscription revenue to this segment. Dynamics 365, Microsoft's enterprise resource planning platform, adds further recurring business software income.

Segment 3: More Personal Computing

The More Personal Computing segment includes Windows operating systems, Surface devices, Xbox hardware, and gaming. Gaming received a material boost from Microsoft's acquisition of Activision Blizzard, completed in October 2023 for $68.7 billion. That deal was the largest gaming acquisition in history.

Activision Blizzard added major franchises including Call of Duty, World of Warcraft, Candy Crush, and Overwatch to Microsoft's portfolio. The strategic rationale centers on Xbox Game Pass, Microsoft's gaming subscription service. A larger content library gives Game Pass more value for subscribers, which analysts who follow the gaming segment note could accelerate subscription adoption and improve the recurring revenue profile of the More Personal Computing segment.

Microsoft's AI Strategy: The OpenAI Partnership and Copilot

Microsoft's investment in artificial intelligence represents one of the most closely watched growth narratives in its recent stock history, centered on a multi-billion-dollar partnership with OpenAI.

Microsoft has invested approximately $13 billion in OpenAI as of early 2025. Verify the current figure at investor.microsoft.com, as this section requires quarterly review. In exchange for that investment, Microsoft secured exclusive commercial licensing rights to deploy OpenAI's GPT models across its products. That licensing arrangement is what differentiates Microsoft's AI position from competitors who must build or license AI capabilities independently.

The Copilot product family is the commercial deployment of that partnership. The most visible offering is Microsoft 365 Copilot, which embeds generative AI directly into Word, Excel, Teams, and PowerPoint for enterprise users. On the developer side, GitHub Copilot has grown adoption among engineering teams for code generation and assistance. Azure OpenAI Service gives enterprise developers access to GPT capabilities through Azure's cloud infrastructure, while Bing AI brings those same capabilities to Microsoft's consumer search product.

Analysts who cover MSFT note that these products create two distinct revenue opportunities. Azure AI services expand Azure's addressable market beyond traditional cloud infrastructure. Microsoft 365 Copilot represents an upsell opportunity for enterprises already paying for Microsoft 365 licenses. Wall Street analysts who follow Microsoft's AI thesis argue that both vectors could expand Microsoft's revenue per customer meaningfully over the next several years, though the pace of enterprise adoption and competitive responses from Google (Gemini) and Amazon remain uncertain.

This section requires quarterly review. AI investment figures and Copilot deployment milestones change frequently.

Microsoft Stock Price History: From the 1986 IPO to Today

Microsoft went public on March 13, 1986, at an IPO price of $21 per share on the NASDAQ exchange, raising approximately $61 million. Bill Gates and Paul Allen co-founded Microsoft Corporation in 1975, and Gates became one of the world's wealthiest individuals through his MSFT shareholding following the IPO.

The table below covers key milestones in MSFT's stock price history. All prices are split-adjusted and approximate, reflecting adjustments for 9 stock splits since 1986.

All prices are split-adjusted and approximate. Source: Yahoo Finance historical data. Past performance is not indicative of future results. For the current microsoft stock price today msft, visit Bybit TradFi.

MSFT's history divides into two distinct eras. The first is the Ballmer era (2000–2013), during which the stock was largely flat as Microsoft missed the mobile wave and ceded cloud leadership to Amazon. The second is the Nadella era (2014 to present), during which the cloud-first pivot drove a multi-year re-rating of MSFT shares from approximately $37 to the

microsoft stock price today per share above $400.

To put the IPO price in perspective: the original $21 per-share price, adjusted for all 9 subsequent stock splits, equates to a fraction of a cent in split-adjusted terms. An investor who purchased shares at the IPO and held through 2024 would hold 288 shares for every original share purchased. All historical prices shown are split-adjusted and approximate. Past performance is not indicative of future results.

Microsoft Stock Split History: All 9 Splits

Microsoft has split its stock 9 times since its 1986 IPO. A stock split is when a company divides each existing share into multiple new shares, reducing the share price proportionally while keeping each shareholder's total investment value unchanged. Think of it like breaking a $100 bill into ten $10 bills. You have more pieces, but the total value stays the same.

Companies split stocks primarily to keep their share price accessible to retail investors. A lower per-share price reduces the psychological barrier to buying.

All 9 MSFT Stock Splits Since 1986

Microsoft has not split its stock since February 2003. Verify all split data at investor.microsoft.com/stock-information/stock-split-history before publishing.

Microsoft has not conducted a stock split since 2003. The microsoft stock price today per share sits in the $400+ range — check the live microsoft stock price today msft at Bybit TradFi — which is why fractional share investing has become an important option for retail investors who want MSFT exposure without buying a full share.

When you see historical MSFT price charts, the prices shown are typically split-adjusted to account for all 9 splits. That is why the $21 IPO price from 1986 appears much lower than the actual unadjusted price would suggest on modern charts.

For context on how another major tech company has handled its split history, see the [Tesla stock split history guide](https://www.bybit.com/en/wiki/article/tesla-stock-split-history-ts la-a-beginners-guide/).

Microsoft Stock Key Financial Metrics

Microsoft's market capitalization sits in the range of approximately $3 trillion as of mid-2025, placing it among the two or three most valuable publicly traded companies globally. The full metrics snapshot below reflects Microsoft's current standing. All figures are dynamic and change with each trading session and quarterly earnings report. For the live

microsoft msft stock price today, check Bybit TradFi or verify current data at finance.yahoo.com/quote/MSFT before making any decisions.

All figures are dynamic. For the live microsoft stock price today msft, visit Bybit TradFi.

Market capitalization (market cap) is the total market value of all outstanding shares, calculated by multiplying the microsoft stock price today per share by shares outstanding. Think of market cap as the price tag the stock market places on the entire company. If you multiply MSFT's approximately 7.4 billion shares outstanding by the current share price, you get a figure that has consistently placed Microsoft in the top two or three most valuable companies globally, competing with Apple for the top position.

The price-to-earnings ratio (P/E ratio) measures how much investors pay for each dollar of profit a company earns. Earnings per share (EPS), specifically diluted EPS, measures how much net profit Microsoft generates per outstanding share. If MSFT trades at $400 and has diluted EPS of approximately $12, the trailing P/E is approximately 33. That figure means investors are paying $33 for every $1 of annual earnings, reflecting expectations of above-average future growth, particularly from Azure and AI services.

MSFT's P/E ratio typically trades at a premium to the S&P 500 average. Whether that premium is justified by growth prospects or represents stretched valuation is a question the comparison table and investment evaluation sections address below.

Does Microsoft Pay a Dividend?

Yes, Microsoft (MSFT) pays a quarterly dividend. Microsoft began paying dividends in January 2003 and has increased its annual dividend every year since, making it a consistent dividend growth stock.

A dividend is a cash payment that a company distributes to its shareholders, typically on a quarterly basis, as a way of sharing a portion of its profits. Microsoft's current quarterly dividend per share and annual yield are dynamic figures. Verify the current amounts at investor.microsoft.com/dividends-and-buybacks/dividends. As of fiscal year 2024, Microsoft's annual dividend yield sits in the range of approximately 0.7–0.9% of the microsoft stock price today per share. That is modest compared to high-yield dividend stocks, but notable for a large-cap technology company.

The table below illustrates how Microsoft's annual dividend per share has grown since its first payment. Verify all figures at investor.microsoft.com before publishing.

Source: Microsoft Investor Relations. Figures are approximate. Verify current dividend at investor.microsoft.com/dividends-and-buybacks/dividends.

The dividend yield is calculated by dividing the annual dividend per share by the microsoft stock price today per share. A yield below 1% sounds low, but the more meaningful signal for long-term investors is the trajectory: Microsoft has raised its dividend every single year since 2003. That consistent annual increase classifies MSFT as a dividend growth stock, a term used to describe companies that not only pay dividends but reliably increase them year over year.

This combination of market scale, consistent profitability, and dividend growth is why Microsoft is broadly considered a blue chip stock, a colloquial term for large, financially stable companies with long track records of reliable performance.

Microsoft vs. Other Big Tech Stocks: MSFT, AAPL, GOOGL, and AMZN Compared

MSFT is frequently evaluated alongside other members of the so-called Magnificent 7. Apple (AAPL), Alphabet (GOOGL), and Amazon (AMZN) are the most common comparison points when investors assess large-cap technology allocations.

| Company (Ticker) | Market Cap | P/E Ratio (Trailing) | Dividend Yield | Primary Revenue Driver | |---|---|---|---|---| | Microsoft (MSFT) | ~$3T range | Verify at Yahoo Finance | ~0.7–0.9% | Cloud (Azure) + AI + Productivity software | | Apple (AAPL) | ~$3T range | Verify at Yahoo Finance | ~0.5% | iPhone hardware + Services ecosystem | | Alphabet (GOOGL) | ~$2T range | Verify at Yahoo Finance | ~0.5% (initiated 2024) | Google Search advertising + Google Cloud | | Amazon (AMZN) | ~$2T range | Verify at Yahoo Finance | None | E-commerce + AWS cloud |

All figures are dynamic and approximate. For the live microsoft msft stock price today, visit Bybit TradFi. Verify peer data at finance.yahoo.com before publishing. As of mid-2025. This table is informational only and does not constitute a buy or sell recommendation.

The most material distinction between MSFT and its peers is the growth thesis. Microsoft's investment narrative centers on Azure's cloud infrastructure growth and the OpenAI partnership's AI revenue expansion. Apple's narrative centers on its consumer hardware ecosystem and growing services revenue. Alphabet competes directly with Azure through Google Cloud and with Microsoft's Copilot through Gemini. Amazon's AWS remains Azure's primary cloud competitor, though Amazon does not pay a dividend.

MSFT's P/E ratio typically trades at a premium to both the S&P 500 average and some of its peers. Analysts who note this premium argue that it reflects investor expectations for above-average earnings growth from Azure and AI products. Analysts who are cautious about MSFT's valuation argue that the premium prices in optimistic growth scenarios that may not fully materialize.

Buying individual MSFT shares gives you concentrated exposure to Microsoft's specific performance. Owning a diversified ETF or mutual fund that includes MSFT provides spread exposure where Microsoft is one of many holdings. That is a portfolio strategy distinction worth discussing with a qualified financial advisor.

This comparison is informational only and does not constitute a buy or sell recommendation.

Do You Already Own Microsoft Stock? Index Fund Exposure Explained

If you hold an S&P 500 index fund, there is a good chance you already own a piece of Microsoft, even if you have never bought a single MSFT share.

The S&P 500 is an index that tracks 500 of the largest publicly traded US companies by market capitalization. Microsoft is consistently among its top three holdings by weight. Investors who hold ETFs (exchange-traded funds) such as Vanguard's VOO, State Street's SPY, or iShares' IVV automatically hold proportional MSFT exposure as part of those funds. Microsoft typically represents approximately 5–7% of these funds by weight. Verify the current weighting at each fund's provider website, as weights shift with the microsoft stock price today per share and price changes across the index.

Microsoft is also a component of the Dow Jones Industrial Average (DJIA), one of the oldest and most-cited US stock market indices. The Nasdaq-100 index, tracked by QQQ, holds MSFT at an even higher concentration than the S&P 500 given MSFT's large weighting among Nasdaq-listed companies. Technology sector ETFs including VGT and XLK hold Microsoft as one of their top two positions by weight.

Before buying individual MSFT shares, check your existing brokerage account for holdings in any of these funds. You may already have more Microsoft exposure than you realize. Owning individual MSFT shares adds concentrated, direct exposure on top of what index funds already provide. Whether that additional concentration fits your portfolio is a question for a financial advisor.

Is Microsoft Stock a Good Investment?

Whether MSFT belongs in your portfolio depends on your investment goals, risk tolerance, and time horizon. The analysis below reflects factors commonly cited by analysts and investors. It is not a buy or sell recommendation.

Microsoft is widely classified as a blue chip stock, a colloquial term used to describe large, financially stable companies with long track records of reliable performance and dividend payments. Blue chip classification does not guarantee safety or future returns. It describes a company's historical financial profile, not a prediction of future outcomes.

The Bull Case for MSFT Stock

Analysts who hold a positive outlook on MSFT point to several growth drivers they believe support Microsoft's revenue and earnings trajectory.

• Azure cloud growth: The Intelligent Cloud segment has delivered consistent double-digit revenue growth. Analysts note that enterprise cloud adoption still has a long runway globally, particularly in markets where migration to cloud infrastructure is still early.
• OpenAI and AI monetization: Microsoft's exclusive GPT licensing and Copilot deployments represent what analysts who cover the stock describe as a material expansion of Microsoft's addressable market across enterprise software and cloud services.
• Microsoft 365 subscription stability: Recurring subscription revenue from hundreds of millions of Microsoft 365 users provides earnings predictability that analysts argue supports a premium valuation multiple.
• Dividend growth and index inclusion: Over 20 consecutive years of annual dividend increases signals financial confidence from management. MSFT's presence in the S&P 500 and DJIA also ensures consistent institutional demand from index-tracking funds.

The Bear Case for MSFT Stock

Analysts who express caution about MSFT highlight several risks they believe deserve attention.

• Premium valuation: MSFT's trailing P/E ratio typically sits well above the S&P 500 average. Bears argue this premium prices in optimistic growth scenarios that depend on Azure and AI adoption rates that remain uncertain.
• Interest rate sensitivity: High-growth technology stocks tend to be more sensitive to rising interest rates, which reduce the present value of future earnings in standard discounted cash flow models.
• AI competition: Google's Gemini and Amazon's AWS AI services compete directly with Microsoft's AI products. The competitive outcome of the AI infrastructure market is still being determined, and Microsoft's current lead is not permanent.
• Regulatory and execution risk: Antitrust scrutiny on AI market concentration is a background risk analysts cite periodically. Successfully integrating the $68.7 billion Activision Blizzard acquisition at scale also carries execution risk that has not yet fully played out.

As of the time of publication, the majority of Wall Street analysts covering MSFT maintain a Buy or Strong Buy rating, with a 12-month consensus price target implying upside from the current microsoft msft stock price today. Verify current analyst consensus at finance.yahoo.com/quote/MSFT/analysis. Analyst ratings and price targets are estimates, not guarantees of future performance, and can change with each earnings report.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. The information provided is general in nature and may not apply to your individual financial situation. Past performance is not indicative of future results. Always consult a qualified financial advisor before making investment decisions.

How to Buy Microsoft Stock (MSFT): A Step-by-Step Guide

Buying MSFT is accessible through any major US retail brokerage platform. The process takes a few minutes once your account is funded.

Major brokerages that offer MSFT include Fidelity, Charles Schwab, Robinhood, E*TRADE, TD Ameritrade, and others. Each platform provides equivalent access to MSFT shares. None is ranked above the others here.

Step 1: Open a brokerage account. Choose a registered US brokerage. Many major platforms have no account minimum, meaning you can open an account with any dollar amount. Fidelity, Schwab, and Robinhood are common choices for beginners.

Step 2: Fund the account. Transfer money from your bank account to your brokerage account. Most platforms process bank transfers within one to three business days. Some offer instant buying power on a portion of deposited funds.

Step 3: Search for MSFT. Type the ticker symbol MSFT into your brokerage's search bar. MSFT is Microsoft Corporation's universal identifier on NASDAQ and will appear on every major platform. Do not search by company name alone, as slight spelling variations can return incorrect results.

Step 4: Choose your order type. A market order executes immediately at the current trading price. A limit order executes only when the stock reaches a specific price you set in advance. Before placing any order, check the live microsoft stock price today per share at Bybit TradFi so you have an accurate reference point. Beginners often use market orders for simplicity; limit orders offer price control but may not fill immediately if the stock does not reach your target price.

Step 5: Enter your dollar amount or share quantity. A fractional share works like buying a slice of pizza instead of a whole pie. Given the current microsoft msft stock price today of approximately $440, you can invest $50 and own a proportional fraction of one share with the same dividend rights on that fraction. Fidelity (Stocks by the Slice), Charles Schwab (Schwab Stock Slices), and Robinhood all offer fractional share investing, with minimums as low as $1.

If you are new to investing and concerned about minimum investment amounts, the guide on [buying stocks with little money](https://www.bybit.com/en/wiki/article/best-stocks-for-begin ners-with-little-money-practical-picks-and-a-simple-buying-plan/) covers practical approaches for starting with limited capital.

Step 6: Submit your order. Review the order confirmation screen before submitting. Once a market order is placed during trading hours, it typically executes within seconds. Keep the trade confirmation for your records.

This section explains the mechanics of purchasing stock. It is not a recommendation to buy Microsoft stock or any other security. Always conduct your own research and consult a financial advisor before investing.

Frequently Asked Questions About Microsoft Stock (MSFT)

What is the Microsoft stock price today per share?

The microsoft stock price today per share is approximately $440 as of June 2025. For the live microsoft stock price today msft, visit Bybit TradFi. The microsoft msft stock price today changes throughout each trading session in response to market conditions, earnings reports, Azure revenue updates, and broader technology sector sentiment. Always verify the current price at Bybit TradFi or finance.yahoo.com/quote/MSFT before making any investment decision.

Who owns the most Microsoft stock?

The largest shareholders of MSFT are institutional investors. Vanguard Group and BlackRock are consistently the top two holders, followed by State Street Corporation. Together, these three firms own a significant percentage of outstanding shares as of the most recent SEC 13F filings. Satya Nadella holds the largest insider position among individual executives. Bill Gates has substantially reduced his Microsoft stake over the years through charitable donations and sales. Verify current ownership data at finance.yahoo.com/quote/MSFT/holders.

Is Microsoft stock in the S&P 500?

Yes. MSFT is consistently one of the top three holdings in the S&P 500 index by weight, typically representing 5–7% of the index. Investors who hold S&P 500 ETFs such as VOO, SPY, or IVV automatically hold proportional MSFT exposure as part of a diversified portfolio. MSFT is also a component of the Dow Jones Industrial Average (DJIA) and the Nasdaq-100 index. ETFs like QQQ provide even higher MSFT concentration for investors seeking additional tech-sector weight.

What is Microsoft's annual revenue?

Microsoft's annual revenue for fiscal year 2024 (ending June 30, 2024) was approximately $245 billion, according to the company's official 10-K filing with the SEC. Verify the most current fiscal year figure at investor.microsoft.com or at sec.gov. Microsoft's fiscal year ends on June 30 each year, so the most recent full-year figure is typically available by late July.

What is Microsoft's stock forecast for 2025?

Wall Street analysts who cover MSFT publish 12-month price targets based on their earnings models and growth assumptions. These targets change with each quarterly earnings report and should not be treated as guarantees. As of mid-2025, analyst consensus carried a 12-month price target in the range of $500–$550 per share, implying upside from the current microsoft stock price today per share. Verify current consensus estimates at finance.yahoo.com/quote/MSFT/analysis, and note that price targets are analyst estimates, not predictions of future performance. For the live

microsoft msft stock price today relative to analyst targets, visit Bybit TradFi.

Does Microsoft stock have voting rights?

Yes. Each full share of Microsoft common stock carries one vote on shareholder matters, including board of director elections and major corporate decisions. Fractional shares typically do not carry voting rights on most brokerage platforms. Microsoft sends proxy voting materials to shareholders of record before its annual general meeting each fall, typically held in December.

When does Microsoft pay its dividend?

Microsoft pays quarterly dividends, with payments typically landing in March, June, September, and December of each year. The exact ex-dividend date and payment date for each quarter are announced by Microsoft's Board of Directors in advance. To receive a given quarter's payment, you must own MSFT shares before the ex-dividend date, which is the cutoff after which new buyers do not receive the upcoming dividend. The dividend yield calculation uses the current microsoft stock price today per share as the denominator, so the yield figure shifts as the stock price moves. Verify the current dividend schedule at investor.microsoft.com/dividends-and-buybacks/dividends.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. The information provided is general in nature and may not apply to your individual financial situation. Past performance is not indicative of future results. Always consult a qualified financial advisor before making investment decisions.