2024-02-15 22:45:26 ET
Summary
- Microsoft's Q2 FY24 revenue surged 18% to $62 billion, driven by growth in all major segments.
- The company's cloud business, including Azure services, is steadily closing the gap on market leader Amazon's AWS.
- MSFT's current valuation seems stretched compared to some AI-fueled peers, limiting potential upside for investors.
- I recommend investors look elsewhere for better risk-reward opportunities with either lower valuation or higher EPS growth.
It's been four months since I wrote an article about whether Microsoft Corporation ( MSFT ) was the "best AI stock, at the right price?" While the stock jumped 23% since then, beating the market but trailing some AI darlings, I still believe it remains a top choice in the AI arena.
Microsoft CEO Satya Nadella's recent statement further strengthens this perspective. He boldly claimed AI could add a whopping 10% to global GDP, translating to a potential $7-10 trillion boost. This immense potential underscores the significance of AI....
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Microsoft: Not Worth Your Money At Today's Price