Investor Tim Seymour mentioned Microsoft shares stay costly after the tech large reported its quarterly earnings. He shared his ideas on the tech large’s newest quarterly outcomes on CNBC’s ” Fast Money ” Tuesday. The software program large beat analysts’ forecasts for per-share earnings in its fiscal second quarter , however income got here in barely under expectations. The firm posted adjusted earnings of $2.32 per share on income of $52.75 billion, versus earnings of $2.29 per share on income of $52.94 billion predicted by analysts, based on Refinitiv. The firm posted a disappointing income forecast for the present quarter throughout its earnings name. “We knew the sales numbers were going to be weak. We know that Microsoft pulled a lot forward. What do you want to pay for this company? You know, somewhere around 22, 23 times 2024 free cash flow is the number that I think the Street is at, and I think much above that it starts to get expensive,” mentioned Seymour, chief funding officer of Seymour Asset Management. “So isn’t it expensive now?” CNBC’s Melissa Lee requested. “It is somewhere in line, and just north of that,” Seymour responded. Microsoft shares have been increased initially in prolonged buying and selling after the tech large reported its outcomes, however dipped after the corporate issued lackluster steerage on its earnings name.
Microsoft shares are ‘just north’ of expensive after reporting earnings, Tim Seymour says