Microsoft's (MSFT) capex surged from $44.5B in FY2024 to $64.6B in FY2025, with quarterly spending now reaching $37.5B levels. Free cash flow dropped to $5.9B in Q2 despite $136B operating cash flow, highlighting temporary compression from aggressive AI infrastructure investments. Free cash flow dropped to $5.9B in Q2 despite $136B operating cash flow, highlighting temporary compression from aggressive AI infrastructure investments.
Microsoft (NASDAQ: MSFT | MSFT Price Prediction) was last seen trading near $373, while the average analyst price target sits at $587.31.
Microsoft said it would partner with Sakura Internet and SoftBank Group to provide AI infrastructure.
The U.S. tech giant is teaming up with Japanese companies including SoftBank.
Sakura Internet shares jumped after Microsoft announced an AI partnership in Japan. Microsoft pledged $10 billion to build AI infrastructure and train workers.
Microsoft adjusted its approach to selling the Microsoft 365 Copilot artificial intelligence productivity add-on to corporate workers after feedback from analysts on January disclosures, executive Judson Althoff told employees. The company set a big target for the March quarter and attained it, he said.
Microsoft (MSFT) closed at $373.5 in the latest trading session, marking a +1.12% move from the prior day.
Microsoft Corporation is down nearly 8% since my last analysis, now approaching oversold territory with a weekly RSI of 30.5. I am targeting a return to $600 per MSFT share within 12–18 months, representing over 50% upside and a significant portfolio impact. AI is set to expand TAM for Office, boosting both seat value and ARPU through new subscription and metering models.
There's always opportunity in markets if you know where to look, says Tiffany McGhee. She offers insight into how her firm positions portfolios in times of profound volatility, including now as the U.S.-Iran War drags on.
Microsoft was once viewed as an early artificial-intelligence leader, thanks in part to its longstanding relationship with OpenAI. Now the company and its shares have fallen out of investors' good graces.
MSFT slides 28.6% in 6 months, but strong Azure growth, surging AI bookings and solid earnings keep the long-term investment case intact.
Apple (NASDAQ:AAPL | AAPL Price Prediction) and Microsoft (NASDAQ:MSFT) both reported fiscal second-quarter results within a day of each other in late January 2026, and the two quarters reveal two very different bets on what drives technology growth.