Microsoft Corp. (MSFT)
How Microsoft Sustains Market Leadership
Microsoft achieved 16% YoY revenue growth in Q1 2025, reaching $65.6 billion, driven by cloud and AI. Azure grew 33% YoY, fueled by high-value contracts and 12% growth attributed to AI-driven services adoption. A 98% annuity-based revenue model and $259 billion in RPO ensure predictable and stable future income.
Elon Musk targets Microsoft in expanded OpenAI lawsuit
Billionaire alleges Microsoft and OpenAI illegally sought to monopolize AI market and sideline competitors
Elon Musk Adds Antitrust Claims to Lawsuit Against OpenAI
Elon Musk added antitrust claims against OpenAI and Microsoft to his existing lawsuit against OpenAI. Musk claimed the companies colluded to remove competition in artificial intelligence, according to an amended lawsuit filed late Thursday (Nov. 14).
Microsoft/Xbox (NASDAQ: MSFT) Consumer Data Concerns - Levi & Korsinsky, LLP Announces an Investigation
NEW YORK, NY / ACCESSWIRE / November 15, 2024 / Levi & Korsinsky, LLP is investigating potential claims on behalf of individuals who purchased video games through the Microsoft/Xbox website. Reports suggest that legally protected data may have been intercepted during transactions, particularly for customers who purchased video games featuring cut scenes or cinematics.
Elon Musk expands lawsuit against OpenAI, blasts ‘ill-gotten gains' with Microsoft
Like Musk's original August complaint, it accused OpenAI and its CEO, Sam Altman, of violating contract provisions by putting profits ahead of the public good in the push to advance AI.
Musk expands lawsuit against OpenAI, adding Microsoft and antitrust claims
Billionaire entrepreneur Elon Musk expanded his lawsuit against ChatGPT maker OpenAI, adding federal antitrust and other claims and adding OpenAI's largest financial backer Microsoft as a defendant.
Musk Ramps Up Legal Fight With OpenAI, Microsoft
The billionaire accused the ChatGPT maker of anticompetitive behavior in new court filings.
Elon Musk adds Microsoft as a defendant in OpenAI lawsuit, accusing them of anticompetitive conduct
Elon Musk has added Microsoft as a defendant to an amended lawsuit against OpenAI. The suit, which also adds Reid Hoffman as defendant, accuses Microsoft and OpenAI of forming a monopoly.
Microsoft in the FTC's cross-hairs after cloud computing probe
The Federal Trade Commission (FTC) is preparing to investigate Microsoft Corp (NASDAQ:MSFT) for potential anti-competitive practices in its cloud computing business. Allegations include imposing restrictive software licensing terms that deter customers from switching to rival cloud platforms and charging steep exit fees for those who leave its Azure service.
Elon Musk Adds Microsoft to Suit Against OpenAI
In a new legal filing, the Tesla chief executive accuses the A.I. start-up of undermining antitrust law.
Microsoft (MSFT) Price Prediction and Forecast 2025-2030
Everyone knows Microsoft (NASDAQ: MSFT) and its best-known products, including the Windows operating system and Microsoft 365 suite of productivity apps, but its growing cloud computing platform, Azure, is the future of the company. Microsoft stock has been a millionaire maker for decades, with a stock split-adjusted IPO price of $0.14, which means at today’s stock price of $425.35, the stock is up 437053.13%. That would have turned a $1000 investment at Microsoft’s IPO into $4.37 million today. As one of the most valuable companies in the world, the only thing investors focus on is what the stock will do over the coming years. Wall Street analysts only go as far as 1 year out when giving a stock prediction. But long-term investors want to know where Microsoft might be several years down the road. 24/7 Wall Street aims to give you our assumptions on the stock and provide our insights around the numbers coming from Microsoft and which markets the company is operating in that are most exciting to us. Key Points in this Article: Key growth drivers: Azure cloud services, productivity software, and LinkedIn dominate Microsoft’s future potential. Microsoft’s acquisition of Activision boosts its gaming segment, enhancing its competitive edge in the personal computing market. If you’re looking for an AI stock early in the AI growth cycle, grab a complimentary copy of our “The Next NVIDIA” report. It has a software stock that could ride dominance in AI to returns of 10X or more. Recent Microsoft Stock Updates and News 11/14/2024 Microsoft is under investigation by the Federal Trade Commission (FTC) for potential anti-competitive behavior in its cloud computing business. The FTC is concerned that Microsoft might be using its dominant position in productivity software to unfairly limit customers’ choices, particularly with the company’s cloud services making it difficult for customers to switch to other cloud providers. 11/12/2024 Despite a broader market downturn today, Microsoft rose 1.20% to $423.03. 11/11/2024 Isabell Sheang has rejoined Microsoft as a group product marketing and go-to product manager. In her new role, Sheang will lead a team focused on global strategies for Windows Commercial. Sheang previously worked for Microsoft from 2008 to 2016, in addition to working at VMWare and as an adjunct professor at the University of Washington. 11/8/2024 Microsoft is testing out a greener approach to data center construction with Cross-Laminated Timber (CLT). CLT is a fire-resistant wood material that can greatly lower carbon emissions compared to traditional materials like steel and concrete. By using CLT, Microsoft aims to cut carbon emissions by 35% and reduce greenhouse emissions by 65%. 11/7/2024 Released three years ago, Windows II now accounts for 35.55% of the market. This surge in popularity comes as Microsoft prepares to end support for Windows 10, charging a fee for extended service. 11/6/2024 Microsoft is expanding the capabilities of Windows on Arm by testing an important update that will enable more x64 software and games to run under Prism emulation. The update is specifically designed for Copilot Plus PCs powered by Qualcomm’s Snapdragon X Elite or X Plus processors. 11/5/2024 Microsft is set to invest nearly $10 billion in AI cloud provider CoreWeave over the next decade. The company recently signed a deal with CoreWeave to use its data centers for AI model training. However, Microsoft will continue to compete with CoreWeave through its Azure cloud business. 11/4/2024 Microsoft has purchased a large piece of land in North Carolina. The company acquired the 1,350-acre Person County Mega Park last week for $26.85 million. Microsoft hasn’t revealed specific plans for the plot. 10/31/2024 Microsoft released its quarterly earnings report, which showed a 16% increase in sales, reaching $65.6, and an 11% rise in profit to $24.7 billion ($3.30 per share), exceeding Wall Street expectations. 10/29/2024 Microsoft has made several accusations against Google, claiming that Google is trying to discredit Microsoft’s cloud business, Azure. Google has also filed an antitrust complaint against Microsoft. 10/28/2024 Microsoft will release its quarterly earnings report on Wednesday after the market closes. Analysts predict a 14% year-over-year surge in revenue, reaching $64.65 billion. Net income is projected to increase to $23.2 billion ($3.11 per share), up from the previous year’s $22.29 billion ($2.99 per share). Microsoft’s 10-Year Market Smashing Results Here’s a table summarizing performance in share price, revenues, and profits (net income) from 2014 to 2018. Share Price Revenues Net Income 2014 $46.16 $86.83 $22.07 2015 $46.70 $93.58 $12.19 2016 $56.21 $91.15 $20.54 2017 $72.26 $96.57 $25.49 2018 $108.04 $110.36 $16.57 2019 $138.06 $125.84 $39.24 2020 $205.01 $143.02 $44.28 2021 $286.50 $168.09 $61.27 2022 $276.41 $198.27 $72.74 2023 $330.72 $211.92 $72.36 TTM $465.39 $279.99 $86.18 Revenue and net income in $billions In the last decade, Microsoft’s revenue grew 222% while its net income went from $22.07 billion to over $86 billion (in the trailing 12 months). A big driver of profits over the past decade was Microsoft’s Intelligence cloud business, which grew 18% annually and drove operating profits of $37.88 billion in 2023 from $8.44 billion in 2014. As Microsoft looks to the second of the decade, a few key areas will determine its performance. Key Drivers of Microsoft’s Stock Performance Productivity and Business Processes: Microsoft’s Office and Dynamics 365 solutions and its LinkedIn products currently make up around one-third of the company’s revenue. Office in particular holds a near monopoly in office productivity software and most 3rd party applications have embeds, making switching costs high for this business line. LinkedIn also does not have a solid competitor in the professional networking space. High growth rates in this segment, but Microsoft has the advantage of controlling its price on its high market share products. Intelligence Cloud: Microsoft’s Azure, OpenAI, GitHub, and SQL, among other cloud businesses, make up close to half of the company’s revenue. But the crown jewel is Azure which only makes up close to 30% of Microsoft’s revenue and grew 30% over the past year alone. The future of Microsoft will depend on Azure and its competition with Amazon’s (NASDAQ: AMZN) AWS will determine which company will dominate the Platform-as-a-Service (PaaS) and reward shareholders handsomely in the process. Personal Computing: Windows, gaming, search, and devices are currently 25% of Microsoft’s business and this segment is the most open to competitors eroding market share. Outside of Windows, which has a solidified market share (and is not likely to dwindle), Microsoft search and devices will be facing a steep uphill battle over the coming years. Its acquisition of Activision is a positive for its gaming line but personal computing will play an ancillary part in Microsoft’s future. Microsoft (MSFT) Stock Price Prediction in 2025 The current consensus 1-year price target for Microsoft stock is $500.00, which is a 17.55% upside from today’s stock price of $425.35. Of all the analysts covering Microsoft, the stock is a consensus buy, with a 1.39 “Buy” rating. 24/7 Wall Street’s 12-month forecast projects Microsoft’s stock price to be $495. We see Azure continuing its 20+% growth and earnings per share coming in right at $11.80. Microsoft (MSFT) Stock Forecast Through 2030 Year Revenue Net Income EPS 2024 $244.97 $88.93 $13.32 2025 $278.00 $99.25 $15.67 2026 $321.63 $115.65 $18.10 2027 $370.79 $136.81 $20.40 2028 $416.08 $151.87 $22.62 2029 $453.39 $166.56 $25.45 2030 $503.13 $181.71 $28.70 Revenue and net income in $billions Microsoft Share Price Estimates 2025-2030 How Microsoft’s Next 5 Years Could Play Out We expect to see revenue growth of just over 8% and EPS of $15.67 for 2025. We expect the stock to still trade at a similar multiple next year, putting our estimate for the stock price for Microsoft at $548.00 in 2025, which is 28.84% higher than the stock is trading today. Going into 2026, we estimate the price to be $633.00, with small revenue gains but margins expanding and an EPS of $18.10. We expect to see Microsoft’s P/E ratio steep down slowly each year through 2030. The stock price estimate would represent a 48.82% gain over today’s share price of $425.35. Heading into 2027, we expect the stock price increase not to be as pronounced and earnings estimates of $20.40 per share, the stock price target for the year is $652.00. That is a 3% year-over-year gain from the previous year, but still up 53.29% from today’s stock price. When predicting more than 3 years out, we expect Microsoft’s P/E ratio to drop to 30x in 2028 but grow its top line 14%. In 2028, we have Microsoft’s revenue coming in around $420 billion and an EPS of $22.62 suggesting a stock price estimate at $678.00 or a gain of 59.40% over the current stock price. 24/7 Wall Street expects Microsoft to continue its 10% revenue growth again and to generate $12.30 per share of earnings. With a price-to-earnings multiple of 35, the stock price in 2029 is estimated at $687.00, or a gain of 61.51% over today’s price. Microsoft Stocks Price Target for 2030 We estimate Microsoft’s stock price to be $717.00 per share with a sub-10 % year-over-year revenue growth. Our estimated stock price will be 68.57% higher than the current stock price of 425.35. Year Price Target % Change From Current Price 2024 $495.00 Upside of 16.37% 2025 $548.00 Upside of 28.84% 2026 $633.00 Upside of 48.82% 2027 $652.00 Upside of 53.29% 2028 $678.00 Upside of 59.40% 2029 $687.00 Upside of 61.51% 2030 $717.00 Upside of 68.57% The Easy Way To Retire Early You can retire early from the lottery, luck, or loving family member who leaves you a fortune. But for the rest of us, there are dividends. While everyone chases big name dividend kings, they’re missing the real royalty: dividend legends. It’s a rare class of overlooked income machines that you could buy and hold – forever. Click here now to see two that could help you retire early, without any luck required. The post Microsoft (MSFT) Price Prediction and Forecast 2025-2030 appeared first on 24/7 Wall St..
US regulators plan to investigate Microsoft's cloud business, FT reports
The U.S. Federal Trade Commission is preparing to launch an investigation into anti-competitive practices at Microsoft's cloud computing business, the Financial Times reported on Thursday, citing people with direct knowledge of the matter.
