Why Microsoft Stock Was Down on Monday
Microsoft (NASDAQ: MSFT) stock underperformed through most of the day on Monday. The software stock was down 2.6% by about 3 p.m. ET, compared to a 2% drop in the S&P 500. That decline added to a tough year for owners of the software giant's shares, which are down 26% so far in 2022 while the broader market is lower by 16%.
The decline came as investors grew worried about a weakening sales environment in key parts of Microsoft's business, including video games and productivity software.
Microsoft is reportedly planning to raise prices on premium first-party gaming titles, and that news put investors' focus on its video game division, which is going through a bit of a growth hangover. While its Xbox gaming systems are in high demand, players aren't as engaged as they were in the early phases of the pandemic. Executives noted lower levels of playing hours when Microsoft announced fiscal first-quarter results in late October. The Xbox division posted just a 1% sales uptick year over year.
Source Fool.com
