NASDAQ:MSFT

Microsoft Corp (MSFT)

391.10
-10.00 (2.49%)
as of Jul 17, 2026, 3:35:47 pm Market Open.
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Investor Insights
star iconJul 17, 2026, 12:00 am

This summary was created by AI, based on 128 opinions in the last 12 months.

Microsoft Corp (MSFT) is navigating a challenging landscape amid concerns about its AI strategy and software revenue. Despite facing pressures, particularly from competition in the AI sector, Microsoft continues to experience consistent revenue growth, particularly with Azure, which shows robust demand. Analysts highlight the company's strong cash flow and the potential for long-term stability, suggesting that it remains a core holding for many investors. There is a prevailing sentiment that while the stock has underperformed recently, particularly due to fears surrounding its software offerings amidst evolving AI landscapes, the fundamentals remain strong. Most experts agree that there’s a potential for significant upside, and the current valuation presents a buying opportunity for long-term investors.

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Consensus
Buy
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Valuation
Fair Value
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COMMENT

Microsoft had a good earnings quarterly report. What he doesn't like is that it trades 25 times earnings, when earnings are expected to grow at 10%. He thinks there are better growth orientated stocks out there like Amazon, Google or Apple trading at better valuations.

PAST TOP PICK
(A Top Pick Jan 22/19, Up 45%) The poster child for the tech arena, he thinks, particularly for software. They have done a fantastic job, but it is priced to perfection right now. His target is $152.
COMMENT
It's reached a critical technical level of 10x book value. It's trying to break out, but the earnings don't support that. Also, ROE has flatlined after rising a little. He doesn't see what will drive this much higher, unless it's speculative beyond technicals. Good luck.
BUY ON WEAKNESS
Wait for a 5% drop? Momentum is rolling over. This is very overbought, but you must be exposed to Microsoft. Nothing wrong with their fundamentals. June 14-Nov. 8 is their seasonality. Software stocks are the new defensive stocks, because their subscriptions are a steady revenue. $132.50 is the 200-day moving average, and this is the best time to enter.
BUY
He hates and loves it. Hates the software but loves the stock. It's really a utility, because you can't live without it, like electricity--and you keep paying for it (the cloud). There's huge money to be made in the cloud. And their software is used in every PC, constantly upgraded. A great company. You never need to sell it.
PAST TOP PICK
(A Top Pick Jan 31/19, Up 47%) He was given a gift that everything was cheap in January. It still has growth that he likes. Office365 membership has been good. He could see $160 per share by next year -- up another 10%.
TOP PICK
World's largest software company. Free cashflow machine. Remarkable in that it's showing accelerating growth. Growing cloud business faster than Amazon. Expects upside earnings surprises, and more upside in the stock. Yield is 1.34%. (Analysts’ price target is $161.36)
BUY
It’s a buy and hold long term stock. It’s not cheap, trading at 25x but there is solid execution and growing operations. They will benefit from the long term trend. The quality of the business merits the price.
BUY ON WEAKNESS
He owns this one. It is probably a little over bought here. He would look to buy again on weakness.
BUY ON WEAKNESS
You might want to wait for a cooling of the market in order to buy it. He has owned it for a long time. They are in the right businesses. You are getting many years of double digit growth. The earnings growth will make it look cheap.
BUY
$141 was a great level to break out on. It was just a little pause for a while. It is very consistent. There was some rotation going on but this one did not sell off. He thinks it will continue higher.
PAST TOP PICK
(A Top Pick Nov 13/18, Up 40%) Incredible that they're growing their revenue double-digit considering their size. They're growing their cloud service, Azure, well and will continue to do so. MSFT is catching up to Amazon in the cloud. MSFT just won a big US government contract, US$10 billion over 10 years, which was expected to go to Amazon. MSFT has a lot of cash, which she likes, at $7/share, so they can fund their own growth without going into debt markets.
PAST TOP PICK
(A Top Pick Feb 13/19, Up 37%) He still likes it. Businesses will continue to move to the cloud which adds a lot of value to those companies.
TOP PICK

Synthetic long Microsoft Buy January (2021) 145 call at $14.50, sell Jan (2021) 145 put at -$15.40, net $0.90/share. MSFT is a great company shooting on all cylinders. It has a great shot scoring the US government contract for cloud services (Trump doesn't like competitor Amazon/Bezos).

COMMENT
Microsoft continues to benefit from moving to the cloud. Servers, Azur, and software continues to perform. Xbox momentum continues. It's very expensive and he wouldn't buy right now. He would prefer FAANGs that have higher growth.
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