transition leading up to its introduction. Operating cash flow (OCF) growth has been slowing pretty dramatically the last four years or so. In addition, a number of factors should continue to suppress top-line growth rates at the company.
For the last year, MSFT stock has flat-lined. But a three-year chart relative to the S&P 500 (the most commonly used benchmark index) is more revealing, since the stock has under-performed the Index by 20 percent. This means that over the last three years an investor would have done better by buying and holding the S&P 500 Index than buying and holding Microsoft stock. (Over a five-year investment horizon, itâs been an even less-attractive investment: MSFT under-performed the Index by around 30 percent.)