Nvidia (NVDA -0.42%) has skyrocketed in value over the last three years to become the world's first $4 trillion company. The 10x-plus increase in value from three years ago was fueled by the massive spending on artificial intelligence (AI) infrastructure, of which Nvidia's graphics processing units (GPUs) are a key component.
Over the next couple of weeks, many of America's largest technology companies will report their operating results for the recent quarter, which ended on June 30. They will update investors on their financial performance, and also their progress in the artificial intelligence (AI) space, which is creating an incredible amount of value at the moment.
Ahead of Microsoft's (MSFT -0.33%) quarterly earnings release on July 30, many investors are likely looking closely at their shares of the software giant. After all, the stock has seen an incredible run recently.
Following a Pro Publica report that Microsoft was using engineers in China to help maintain Department of Defense cloud computing systems, the company said it's made changes to ensure this will no longer happen.
Microsoft said Friday it is making sure that personnel based in China are not providing technical support for US Defense Department systems, after investigative news site ProPublica revealed the practice earlier this week.
The market has returned to its highs, along with many top artificial intelligence (AI) names. However, another market dip could always be around the corner.
Microsoft has changed its practices to keep engineers in China from getting involved in support for U.S. defense clients using the company's Azure cloud services. The announcement came days after ProPublica published an extensive report describing the Defense Department's dependence on Microsoft software engineers in China.
Microsoft gains from Windows 11 upgrade wave, aging PCs and new tie-ups as it eyes Q4 growth.
In the closing of the recent trading day, Microsoft (MSFT) stood at $511.7, denoting a +1.2% move from the preceding trading day.
Key Points in This Article: AI tech giants like Nvidia (NVDA) and Microsoft (MSFT) have driven market gains, but a narrow focus on these stocks may miss broader opportunities.
Microsoft's AI-driven revenue surged 175% YoY, with Azure and Copilot leading enterprise adoption across key segments. The company is targeting a $25 billion topline boost from AI tools like Copilot by fiscal year 2026. Azure grew 33% YoY in Q3-FY25, with 16 percentage points of growth directly attributed to AI services.
Microsoft (MSFT) has been one of the stocks most watched by Zacks.com users lately. So, it is worth exploring what lies ahead for the stock.