Microsoft has a P/E of 9 right now!! This HAS to be a buy!! Thoughts??
Answers
4085 points
EthanR answered 10 months ago …
Yes, it HAS to be a buy. But that doesn't mean right now, today. It gapped down today, losing 11%. That is an extremely bad technical sign. It may fill part of the gap, but will undoubletedly head lower thereafter. Sometimes the gaps don't even fill, and you can get two or three days of selloffs.
Also, the RSI (14) and MACD are both heading lower, with the MACD on a sell signal. I believe you will see MSFT a few bucks lower than the current price of 17.11 within a week or two. I say wait, even if you get a dead cat bounce tomorrow.
3963 points
MNSL answered 10 months ago …
I think this is the time to sell companies in software industries. Even Microsoft will have tougher time for their businesses in the next 03 years.
If present situation not develop into depression then there will be some growth prospects in Microsoft.
Factors to watch:
Job cuts
Falling demand in the software sector
Some software companies could become bankrupt sooner than later.
This is the time to invest in most profitable sectors in the next 18 months and next 05 years.
2082 points
alanj answered 10 months ago …
Let me just add why Microsoft is not a but right now. It was just anounced that Microsoft is laying off employees for the very first time since they became a software company.
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