Karen Firestone, Executive Chairman Aureus Asset Management, joins CNBC's "Halftime Report" to explain why she's buying more Microsoft.
Microsoft Corp. (NASDAQ: MSFT) shares have had a bad year, but Apple Inc.
Microsoft Corporation NASDAQ: MSFT was already down about 9% for the year. So shareholders can't be too scared of the additional sell-off in MSFT stock since the Trump tariff policy caused the markets to swoon.
Microsoft is discussing job cuts that could happen as soon as next month. The cuts would aim to improve metrics such as "span of control" and "PM ratio.
Two Democratic U.S. senators demanded information from Microsoft and Google about their cloud computing partnerships with artificial intelligence companies, expressing concern the arrangements could stifle competition in the cutting-edge industry.
On Monday, Microsoft reportedly terminated the roles of two software engineers, Ibtihal Aboussad and Vaniya Agrawal, who protested the company's reported dealings with the Israeli military during Microsoft's Copilot and 50th anniversary event last week.
Microsoft's joint venture Wicresoft will cease its China operations from Tuesday, a move that will lead to the layoff of about 2,000 staff, Chinese media outlet Caijing reported on Monday, citing sources.
President Trump's tariffs and China's retaliation have triggered mayhem in tech stocks, with the Nasdaq crumbling into a bear market. Yet, Microsoft stock has outperformed tech and software peers since February 2025, demonstrating its resilience as a harbor for tech investors. MSFT's sticky enterprise and cloud platform layer could prove resolute even as enterprise spending could be lowered globally, bolstered by bundling.
Microsoft remains a defensive buy due to its diversified business model, strong margins, and significant cash generation, making it resilient amidst macroeconomic uncertainties and tariff issues. The company's strategic investments in AI and cloud services, particularly Azure, position it well for long-term growth despite near-term investments. Despite market volatility, Microsoft's valuation remains attractive, with potential upside to the current level.
Microsoft AI CEO Mustafa Suleyman's remarks were interrupted by a pro-Palestinian protesting employee during the technology company's 50th anniversary celebration on Friday over the firm's ties with Israel.
As Microsoft CEOs past and present gathered here to celebrate the company's 50th birthday, one leader said he is targeting a particular metric's improvement to guide his strategy on artificial intelligence.
Building the largest artificial intelligence models in the world is very expensive and can be duplicative said Mustafa Suleyman, CEO of AI at Microsoft, which partners with OpenAI. OpenAI models are inside Microsoft's Copilot, to which Suleyman announced updates on Friday.