Microsoft (NASDAQ: MSFT) stock dropped 28% last year -- its third-worst performance since the company went public in 1986 -- and the situation has only gotten worse this year. The stock is now down 33%, marking its sharpest decline in more than a decade.

Economic challenges fueled Microsoft's fall from grace. High inflation slowed revenue growth and supercharged operating expenses, a one-two punch that led to a disappointing financial performance over the past year. Revenue increased only 15% to $203 billion, and free cash flow climbed a mere 5% to $63 billion. Those metrics decelerated meaningfully compared to the prior year, when revenue rose about 20% and free cash flow jumped 23%.

On the bright side, Microsoft is set to reaccelerate its growth when economic conditions improve. In the meantime, investors should take advantage of this once-in-a-decade buying opportunity.

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Source Fool.com