From Yahoo Finance: 2025-05-25 01:51:00

Microsoft Corporation (MSFT) is a leader in AI-powered cloud and business solutions. Jefferies analyst reiterated a “Buy” rating and $550 price target. The company plans to enhance Microsoft Copilot with reasoning capabilities. Despite challenges with data access, market sentiment remains optimistic about Microsoft’s AI expansion strategy. Investors are focused on the company’s stock performance and AI endeavors.

Microsoft is promoting an open platform approach to establish itself as a central hub for AI. Copilot updates mark a significant AI leap for the company. Additional features like Copilot Search and Copilot Memory are expected to enhance the tool’s functionality. Investors are closely watching Microsoft’s stock performance and AI initiatives, expressing overall bullishness on its potential for growth.

Jefferies discussed key takeaways from Microsoft’s recent event, highlighting Copilot’s upgrades. The company is focused on improving data access and governance for Copilot. Market sentiment remains cautiously optimistic, with Microsoft seen as a safe haven. The company is leaning into an open platform to be the AI hub. MSFT ranks 2nd on the list of AI stocks on Wall Street’s radar, with potential for growth but other AI stocks may offer higher returns with limited downside risk.

Read more: Microsoft (MSFT)’s Copilot Upgrades Are Its Biggest Since Teams