Business
Microsoft Stock Hits 10-Year Low
Posted by Mark Wilson at 11:15 PM on November 18, 2008
After a Jefferies Group analyst cut Microsoft's 2009 revenue forecasts, Microsoft's stock fell to its lowest levels since 1998. The projections were reduced due to "downward pressure on PC unit sales," not Vista or lawsuits. And indeed, when you study Microsoft's decline the past few months that's right in line with the S&P 500, it's tough to blame anything but the generally crappy economy. [Seattle PI and Yahoo]

Comments (AU Comments · US Comments)
There are currently no AU comments for this post.
gizmodist
Posted 1:45 AM 19/11/08
The stock's fall in 2008 coincides with the S&P's fall, but there is several reasons why it hasn't gone anywhere since 1998
gizmodist
bobdobbs
Posted 1:28 AM 19/11/08
Balmer is doing a great job.
bobdobbs
DigitalSciGuy
Posted 1:22 AM 19/11/08
If only prices for Google were this low...then again...if Google was this low, we'd probably have more serious problems...
DigitalSciGuy
baltwade
Posted 1:22 AM 19/11/08
If all my money wasn't already tied up in other "downgraded" stocks I wouldn't hesitate to buy as much as I could.
baltwade
Unknown2U
Posted 1:20 AM 19/11/08
Good time to buy, bad time to sell.
Unknown2U
Ibelieveinsandwitches
Posted 2:06 AM 19/11/08
In general Microsoft's stock follows the market, and this is a trend that you see in many of the bigger companies.
If you look, microsofts stock has probably fallen about the same percent as the market, and when the market goes up again, then Microsoft's stock will rise with it, probably following the same percentages. that is why it is considered a low risk stock.
Ibelieveinsandwitches
Mark Wilson
Posted 2:06 AM 19/11/08
@rock711: Economic mad libs!
Mark Wilson
rock711
Posted 1:51 AM 19/11/08
Funny. You could substitute just about any compay name here and it would still be accurate:
[Compay name here] Stock Hits 10-Year Low
rock711
BoinK
Posted 2:19 AM 19/11/08
So what you're telling me is that MS are being affected by the current economic drama like everyone else? Who woulda thunk it.
BoinK
Islandkiwi
Posted 2:49 AM 19/11/08
I know the economy is in the tank, but MSFT seems to continually underperform, and I don't understand why. They have no debt, they make money off of every computer sold, their console at this point is selling like hotcakes...and at the same time MSFT is buying back their own stock at 40 billion a clip.
I'm not a financial guy, so can someone explain why MSFT stock seems to underperform?
Islandkiwi
Jrsy is the dude, playing the dude, disguised as another dude
Posted 2:47 AM 19/11/08
Quick, everyone buy some MS stock...
Jrsy is the dude, playing the dude, disguised as another dude
natenovs
Posted 3:00 AM 19/11/08
@johnthevulcan: you mean apple stock, which is done over 50% this year?
natenovs
KSPRAYDAD (TAWKN.com)
Posted 2:58 AM 19/11/08
Oh noes...the Blue Line of Death.
KSPRAYDAD (TAWKN.com)
natenovs
Posted 2:57 AM 19/11/08
@Islandkiwi: because the market right now is crazy, and isn't pricing anything out.
natenovs
natenovs
Posted 2:56 AM 19/11/08
@bobdobbs: yeh, those record profits have been a bitch...
natenovs
natenovs
Posted 2:54 AM 19/11/08
@DigitalSciGuy: you do realize that google has lost over 50% of it's value in the last year, right?
natenovs
johnthevulcan
Posted 2:50 AM 19/11/08
by the way... why doesnt somebody on here mention the friggin beyonce album....
thanks to self
johnthevulcan
johnthevulcan
Posted 2:49 AM 19/11/08
if this was apples stock u pc fanwierdos would be all over it saying its shiny this, non firewire that, can WE blame microsoft's recent failures on apples recent successes... well i dont know about we but i know i do...
johnthevulcan
MINI Driver
Posted 3:26 AM 19/11/08
@johnthevulcan: Is it really as bad as they say?
MINI Driver
Curves
Posted 3:22 AM 19/11/08
@zender_ady: Open yourself an account at Scottrade and buy whatever you want on line. I did a few weeks ago, its easy to use and I am getting some real deals that I plan on holding for a few years.
Curves
terebakashi
Posted 3:18 AM 19/11/08
@Islandkiwi:
Because as a company, Microsoft is tied to so many other industries (consumer, corporate, handheld, automobile, embedded, entertainment, etc). Coming out with some whiz-bang software won't dramatically increase MS's value unless it can move a significant number of markets, and that's not something MS can do singlehandedly -- at least not right now.
terebakashi
zender_ady
Posted 3:13 AM 19/11/08
where can you buy ms stocks?
zender_ady
NonaNarea
Posted 3:12 AM 19/11/08
This is a really odd post. You might also want to mention that Google is off over 53% from last year, Apple is off over 45%, and RIMM nearly 60%. While MSFT is pretty much a flat line for a while now, they are still one of the most stable in tech.
NonaNarea
BoinK
Posted 3:33 AM 19/11/08
@johnthevulcan:
[finance.google.com]
[finance.google.com]
BoinK
rattyuk
Posted 4:09 AM 19/11/08
@bobdobbs:
How can a twat with NO real grasp of technology who INHERITS record profits be GOOD for a company?
rattyuk
medopal
Posted 3:51 AM 19/11/08
@BoinK: thx, im no expert, but looking at the numbers, seems like Apple is going up and down, 2008 is their worst like everyone else.
But looking at MSFT its seems like their numbers have been going down all the time since 98!!
Again no expert here, but can we say everyone is going down but some people are going much faster, which is really bad.
And yet another point, doesnt the cash-in-hand matters in financial disasters like this? I heard Apples cash is better than anyone out there knowadays, no?
medopal
Joseph
Posted 4:21 AM 19/11/08
I'm not a financial guru or anything, but is this claim accurate factoring in the three splits since Feb of 98? If they were all 2:1 splits so wouldn't that mean that the current value should be multiplied by eight to figure out what its value would have been in 1998?
I dunno, maybe I'm missing something.
Joseph
natenovs
Posted 6:06 AM 19/11/08
@Joseph: you are correct. giz just wanted to revel in a low $ of the stock, but ilke always, didnt bother to actually think before they wrote
natenovs
OMG! Ponies!
Posted 7:10 AM 19/11/08
@johnthevulcan: First of all, stop commenting from an iPhone (or whatever mobile platform you're using). It makes for hard comment reading.
Second, Apple's share value tanked back in 2000, dropping 2/3 of it's share value within a fortnight. Then, Apple turned itself around.
It's too early to judge things but considering that Mr Softee has shed half its share value in the past 12 months, the boys in Redmond are going to have to come up with some direction.
Feel-good brand commercials only do so much. Yes, Apple has the Mac vs. PC ads. But Apple also has product ads that show the product in action.
Microsoft needs to have product ads. Show Windows 7 in action. Show Office in action. Show Windows Mobile in action. And if Windows Mobile isn't ready for prime time, then fix it.
Supplement it with testimonial ads like Apple's famous (and failed) Switch campaign. If I was a purchasing director, an ad featuring a secretary explaining why she won't use anything other than Word would be persuasive.
Microsoft has good brands and now it needs to not waste that brand value. If it can do that, the stock will go up. If it can't, Microsoft will be just another brand. If it's not a household name, kill it or backburner it. Windows Live is trash - not because it doesn't work but because it isn't special. People use GMail and Google Maps, not Hotmail and Local Live. It's distracting attention from core brands and should be cut. Office is (or should be) the flagship. Put it front and center.
Trim anything that isn't a long-term brand. Strengthen the brands. Advertise the products, not the brand.
OMG! Ponies!
vinnyr
Posted 8:50 AM 19/11/08
@natenovs: those are fighing words!
but you are correct about the splits!
vinnyr
vinnyr
Posted 8:49 AM 19/11/08
@NonaNarea: i think u are looking at the wrong graph
vinnyr
vinnyr
Posted 8:48 AM 19/11/08
@johnthevulcan: Well for apple if it was a 10 year low they would be selling at like $1 a share, apple wasnt successful in the 90's.
vinnyr
vinnyr
Posted 8:47 AM 19/11/08
@bobdobbs: I agree!
vinnyr
PwnageII
Posted 1:54 AM 19/11/08
Wonder why...
PwnageII