By many measures Microsoft (MSFT) stock is cheap.  The question for today’s screencast is whether it is cheap for a reason?  The stock has become a favorite of some smart hedge fund managers, including noted value investor Whitney Tilson.  However Todd Sullivan notes that the company has not increased its book value per share in over a decade.  Can the stock truly outperform if it can’t increase its own net worth?

Posts mentioned in the above screencast:

Some hedge funds are high on Microsoft stock.  (Reuters)

Including noted value investor Whitney Tilson.  (Benzinga)

Why Microsoft stock has gone nowhere for the past decade.  (ValuePlays)

Microsoft fundamentals.  (YCharts)

Monthly chart of Microsoft.  (Finviz)

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