Description: Stock soars 10% after the software giant’s earnings and revenue beat analysts’ forecast. Sales fell 14% to $12.9 billion, declining for the third quarter in a row.

Source: CNNMoney.com

Date: 10/23/2009

Link:  http://money.cnn.com/2009/10/23/technology/microsoft_earnings/index.htm?postversion=2009102311

Questions for discussion:

• Explain why Microsoft’s cash flow and other financial metrics are expected to improve?
• Do you believe Microsoft stock values are likely to be higher over the next year? Explain your answer.