What Analysts Consider Microsoft Inventory Forward of Earnings

Key Takeaways

• Microsoft is ready to report fiscal third-quarter earnings after the closing bell Wednesday.
• Income and income are anticipated to leap year-over-year, thanks partially to Microsoft's Clever Cloud phase.
• The entire 20 analysts protecting Microsoft tracked by Seen Alpha have a "purchase" or equal score for the inventory.

Microsoft (MSFT) is slated to report fiscal third-quarter outcomes after the market closes Wednesday, with analysts overwhelmingly bullish on the tech big’s inventory.

The entire 20 analysts tracked by Seen Alpha have issued “purchase” or equal rankings for the inventory, which has misplaced 7% thus far in 2025. Their consensus worth goal barely above $492 would counsel over 25% upside from Monday's shut at about $391.

Wedbush analysts not too long ago lowered their worth goal to $475 from $550 amid worries about President Trump’s tariffs, however stated they “stay long run bullish” on Microsoft, pointing to its AI potential. “It has turn out to be crystal clear to us that the monetization alternatives round deploying AI within the cloud is a transformational alternative throughout the trade with Redmond remaining within the driver’s seat,” they stated.

Goldman Sachs analysts, who equally maintained a "purchase" score for Microsoft however lowered their worth goal to $450 from $500, stated the present financial atmosphere has created a "big selection of various outcomes," however that they consider Microsoft could possibly be "properly positioned to capitalize" on AI alternatives.

Morningstar analysts stated Microsoft is also in a stronger place than many different tech firms, as a result of it “has minimal threat publicity to retail, promoting spending, cyclical {hardware}, or bodily provide chains.”

Analysts polled by Seen Alpha on common anticipate Microsoft to report third-quarter income of $68.44 billion, up greater than 10% year-over-year, and web revenue of $23.94 billion, or $3.21 per share, in comparison with $21.94 billion, or $2.94 per share, a yr earlier. Income from Microsoft's Clever Cloud phase, which incorporates its Azure cloud computing platform, is predicted to leap 18% to $26.13 billion.

UPDATE—April 28, 2025: This text has been up to date because it was first printed to replicate more moderen analyst estimates and share worth values.