Microsoft Is Down 8.6% As The World Realizes The Windows Business Has Collapsed

Business Insider ^ | 07/19/2013 | Jay Yarow

[SeekAndFind]

Also, I am not seeing revenues fall. In fact, across the board, Microsoft’s revenues are RISING.

From the Wall Street Journal:

http://online.wsj.com/article/BT-CO-20130718-712806.html

Microsoft’s Windows and Windows Live division saw revenue rise 6.2%. Excluding the impact of the prior year Windows Upgrade Offer revenue deferral, the division’s adjusted revenue fell 6%.

Revenue for the company’s servers and tools products, which form the backbone of enterprise networks and private clouds, increased 9%.

At the business division, which earns most of its sales from Microsoft Office, sales were up 14%.

Sales at the entertainment-and-devices business, which houses the Xbox video game console, jumped 7.5%

In online services, which includes the company’s Bing search engine, revenue was up 9.4%.

[2 Kool 2 Be 4-Gotten]

1. It’s not about revenue - it’s about earnings. If you sell a zillions widgets but only make $.00001 per widget - you could have sky high revenues but pitiful earnings.

2. So either the stock market as a whole has got it wrong which means that people should back up and buy MSFT by the truckload because the market has gotten it wrong (which in turn would make the stock price go up) OR the numbers you have given either don’t tell the whole story or are in fact misleading.

[2 Kool 2 Be 4-Gotten]

And more specifically it’s about EARNINGS GROWTH. Revenue could be rising but earnings could be declining or in fact flat.