From Nasdaq: 2024-05-22 21:00:05

Microsoft (NASDAQ:MSFT) has delivered exceptional returns of around 1,154% over the last decade. With a $3 trillion market cap, the tech giant continues to impress investors with robust margins and strong performance driven by cloud and AI technologies. The recent Fiscal Q3 results beat expectations, with revenues soaring 17% year-over-year driven by Azure Cloud and AI. Microsoft’s AI investments are substantial, positioning it as a leader in the space with strong growth potential. Despite a slightly conservative outlook, Microsoft foresees double-digit growth in both revenues and operating income for FY2025. Azure AI Services continue to gain market share, with 65% of Fortune 500 companies using Azure Open AI. Microsoft’s valuation, while not cheap, is justified by its dominant market position, diversified revenue stream, and exposure to high-growth AI and cloud businesses. Wall Street analysts remain bullish on Microsoft, with a Strong Buy consensus rating and an average price target of $491.56 implying 14.2% upside potential. Overall, Microsoft’s long-term growth story fueled by AI innovations makes it a compelling investment opportunity.



Read more at Nasdaq: Microsoft Stock (NASDAQ:MSFT) Can Still Rise Despite Sitting at the Top