In many ways MSFT-Q is in fact the QQQ-Q index. If you had to pick 5 stocks, this would probably be one of them. He thinks cloud will grow between 20-30% for the next 5 years. Despite a pull back in the markets at any time, this one should perform fairly well this year.
Nasdaq outlook for 2020? The Nasdaq will rise this year, because the FANGs remain cheap. MSFT is a great company, but he doesn't like its current levels. He models 10% growth rate for it. But at 25x earnings, MSFT is too pricey. Buy FB or Alibaba instead; they have lower PEs.
3-5-year outlook He's long owned this. Cloud computing and Amazon are the two big players; there's good growth in cloud which will help companies, factories and buildings be more productive. Cloud is essential to businesses and innovation.
3-5-year outlook He's long owned this. Cloud computing and Amazon are the two big players; there's good growth in cloud which will help companies, factories and buildings be more productive. Cloud is essential to businesses and innovation.
(A Top Pick Dec 11/18, Up 44%) She still likes this one, but might wait for a pullback to buy on weakness. Their position in the cloud computing space is second only to Amazon. MSFT has a good reputation within corporate America. They have $8 per share of cash reserves.
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.
