Microsoft's Sum-of-the-Parts Value Pegged at $3.8T, Above Its Market Value

A sum-of-the-parts (SOTP) analysis, which values each business segment separately and adds them up, puts Microsoft's value at roughly $3.5 trillion to $3.8 trillion, or about $500 a share, well above its current enterprise value of about $2.9 trillion. According to the analysis, the gap between market valuation and potential value is wide, reflecting investor doubts about AI-related spending and concerns over the disruptive impact of AI on existing software businesses. Why Microsoft’s Real Value Is Close to $3.8 Trillion, or $500 a Share