From Nasdaq: 2025-05-07 04:57:00

Microsoft, Apple, and Nvidia are close to joining the $4 trillion club. Microsoft, valued at $3.2 trillion, is leading the pack with rapid growth, especially in its Azure cloud platform. Copilot, an AI virtual assistant, is generating recurring revenue from 365 subscribers worldwide, hinting at Microsoft’s potential for the future. Azure’s AI segment is driving growth, with Azure revenue growing by 33% and Azure AI accounting for half of that. Microsoft’s aggressive infrastructure expansion and AI chip purchases from Nvidia are positioning them for significant growth in the cloud computing market. To reach a $4 trillion market cap, Microsoft needs to grow its EPS by 23.5%, achievable based on past performance. Despite current lower EPS growth due to high data center spending, Microsoft’s long-term prospects look promising, with revenue streams from products like Copilot and Azure AI’s massive customer backlog. The Motley Fool Stock Advisor team has identified Microsoft as a top investment choice, with 10 other stocks offering potential for high returns. Joining the Stock Advisor could provide valuable insights into the top-performing stocks for investors.



Read more at Nasdaq: 1 Unstoppable Artificial Intelligence (AI) Stock to Buy Before It Soars Into the $4 Trillion Club