We continue to believe that Microsoft remains uniquely positioned to monetize the vast new AI opportunity across applications,” writes BofA Securities analyst Brad Sills.
Microsoft Corp. said Wednesday that its profit for the October-December quarter grew 10% from the same time last year as it works to capitalize on the huge amounts of money it has spent to advance its artificial intelligence technology.
Microsoft (NASDAQ:MSFT) has lagged behind the NASDAQ over the past year but is off to a strong start in 2025, outperforming the broader market.
Shares in Microsoft fell 5% in afterhours trading as the tech giant said its flagship cloud computing business experienced a slowdown in growth last quarter. The takeaways: The company’s overall revenue rose 12% to $69.
Microsoft reported its fiscal second-quarter results after Wednesday's closing bell, with investors focused on all things AI.
Microsoft reported that its flagship cloud computing business experienced a slowdown in growth amid constraints on data center supply.
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The Nasdaq Composite has erased early gains as losses for shares of Microsoft Corp. and Nvidia Corp. accelerated, weighing on the broader index. Microsoft shares were down more than 6% earlier, while Nvidia was down nearly 4%,
Thursday's coverage included more tech earnings, focus on Trump's latest on potential tariffs and more analysis around Monday's DeepSeek Dive.
Microsoft shares dropped 5 per cent, while Meta was up 2 per cent after their October-December Q1 results, both companies posted profits, according to AP reports.
Stock remains attractive, artificial intelligence demand and cloud growth are key drivers. We are maintaining our fair value estimate for wide-moat Microsoft MSFT at $490 per share after the firm reported good results with guidance that was somewhere between our expectations and slightly light.