I agree with this article yet the short term trend is down.  Look to buy Mr. Softie at the 200 day MA at $29.52.  Patient investors can own now but you may be able to average in a little lower.


Don’t Be So Hard on Microsoft


Windows 8, torrents of free cash flow and a potential dividend increase may lift the underperforming stock. Fred Hickey: “That is the lowest I have seen the multiple in years.”

Windows 8 may provide a window of opportunity for Microsoft investors, but so too should the company’s staggering free cash flow.

Microsoft (ticker: MSFT) watchers are transfixed by the Windows 8 software launch in October, which promises a new era of touch-screen interaction that pits a Microsoft tablet called Surface against the iPad from Apple (AAPL) and similarly slender, Windows-based devices from Hewlett-Packard (HPQ) and Dell (DELL).

Yet investors should also focus on Microsoft’s $29 billion in free cash flow, and the likelihood that its 2.6% dividend yield will rise, possibly this fall. That should shore up Microsoft’s valuation and its stock, which has lagged the Nasdaq Composite for the past five years.

via Microsoft Stock Poised for 30% Upside – Barrons.com.