Microsoft Corp. (MSFT)
Why Microsoft's Stock Is Tumbling Thursday
Microsoft shares are taking a big hit after the company reported earnings Wednesday.
Microsoft Q2 Earnings Beat Estimates as Cloud and AI Drive Results
MSFT beats fiscal Q2 estimates as cloud and AI power 17% revenue growth, Azure surges, and bookings jump, though shares fall on capex and capacity concerns.
Microsoft: The Market Has Lost Its Mind
Microsoft Corporation reported strong Q2 results, with a double beat and 17% revenue growth, yet shares declined post-earnings. MSFT has become significantly cheaper following a recent pullback, creating a more attractive value proposition relative to its growth. Despite trailing the broader market since late 2023, MSFT's current valuation and growth trajectory support a positive outlook.
Microsoft Shares Plummet 11%—Most Since 2020—After Slowing Cloud Growth
Meta shares rallied more than 7% on Thursday, after the company reported annual quarterly revenue growth of 24% to $59.8 billion in its latest quarter. The company said it anticipated capital expenditures of up to $135 billion as it ramped up spending to expand AI efforts, after spending $22.4 billion in the quarter, above estimates of $21.8 billion.
Microsoft Q2: Non‑Obvious Risks Hiding Behind The AI Boom
A large share of Microsoft Corporation's commercial RPO is concentrated in OpenAI, which can be a risk given that customer's cash-burning, unprofitable, capital-infusion reliant status. AI infrastructure spending is shifting Microsoft's business mix toward lower-margin hardware, driving sustained declines in Microsoft Cloud and consolidated gross margins. MSFT's heavy capex on short-lived GPUs and CPUs, combined with long depreciation lives, may understate future capex needs and pressure already declining free cash flow margins.
What Went Wrong With Microsoft and Why Its Down Big Today
Shares of Microsoft are down 11.7% in Thursday trading after the company reported fiscal second-quarter results that beat Wall Street estimates but failed to satisfy investor expectations around Azure cloud growth and AI infrastructure spending.
META, MSFT Making Outsized Post-Earnings Moves
Tech giants Meta Platforms Inc (NASDAQ:META) and Microsoft Corp (NASDAQ:MSFT) are in the spotlight after their latest earnings reports.
Meta and Microsoft are making big moves in opposite directions after earnings
Meta appeared to gain approval from investors to keep putting money into AI as shares jumped 8% post-earnings. Microsoft plunged as the company's Azure segment showed a slowdown in growth and higher spending on AI.
Nvidia, Microsoft, Amazon lead up to $100B OpenAI investment: report
Nvidia Corp (NASDAQ:NVDA, XETRA:NVD), Microsoft Corp (NASDAQ:MSFT) and Amazon.com Inc (NASDAQ:AMZN) are in discussions to invest up to $60 billion in OpenAI as part of a major new funding round, according to a new report from The Information, which cited people familiar with the matter. The planned investments would form part of a broader round that could reach as much as $100 billion, potentially valuing OpenAI at between roughly $730 billion and $830 billion, according to the report.
S&P500: US Indices Seek Direction After Mixed Meta, Microsoft Reactions
S&P 500 hovers near record highs as mixed Meta and Microsoft earnings leave indices directionless. Key trendline at 7048 crucial for sustained rally.
Microsoft: This Is An Earnings Dip You Want To Buy
Microsoft Corporation receives a Buy rating, with valuation attractive despite recent post-earnings share weakness and technical headwinds. MSFT's Q2 delivered a double beat, but Azure's 38% growth and elevated capex disappointed, pressuring free cash flow and sentiment. Forward guidance remains robust, with Azure growth near 37% and capex expected to slow, while AI investments and partnerships are key watchpoints.
What Went Wrong With Microsoft Stock?
Question: Microsoft exceeded earnings expectations—why did the stock drop 7% after hours?
