Is Now a Good Time to Buy Microsoft?
Shares of Microsoft (NASDAQ: MSFT) haven't fallen this hard since the inflation panic of 2022. The stock has plummeted almost 24% since the start of the year and 31% from last summer's peak, despite strong revenue growth and earnings. Microsoft's fundamentals are on solid ground, so is the downward trend really a buying opportunity?
First, we need to understand why the market soured so quickly on Microsoft. Much of it has to do with the exorbitant amount of money allocated to capital expenditures this year. Microsoft could spend more than $120 billion. The top tech companies could spend a staggering $700 billion this year on AI infrastructure and investments. This spending, of course, will affect its short-term cash flow, with the hope that the increased cash investments will pay off in the long run. Wall Street, however, is not convinced.
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Source Fool.com
Microsoft Corp. Stock
Our community is currently high on Microsoft Corp. with 158 Buy predictions and 6 Sell predictions.
With a target price of 503 € there is a hugely positive potential of 54.67% for Microsoft Corp. compared to the current price of 325.2 €.
