Tap to Trade in Gate Square, Win up to 50 GT & Merch!
Click the trading widget in Gate Square content, complete a transaction, and take home 50 GT, Position Experience Vouchers, or exclusive Spring Festival merchandise.
Click the registration link to join
https://www.gate.com/questionnaire/7401
Enter Gate Square daily and click any trading pair or trading card within the content to complete a transaction. The top 10 users by trading volume will win GT, Gate merchandise boxes, position experience vouchers, and more.
The top prize: 50 GT.
 has become the most “loved” stock in the S&P 500 index. Among analysts covering the company, approximately 97% rate it as a “Buy,” 3% recommend “Hold,” and none suggest “Sell.”
This makes Microsoft the most recognized among the “Big Seven.” Following closely are Amazon (95% buy ratings) and Meta Platforms (92% buy ratings).
【Bullish Logic: AI and Cloud Computing】
Analysts’ confidence in Microsoft mainly stems from its strong capabilities in artificial intelligence (AI) and cloud computing. Microsoft is continuously gaining market share through its Azure cloud platform and further narrowing the gap with industry leader Amazon AWS.
Additionally, Microsoft is expanding its AI data center footprint on a large scale. While some market concerns exist about whether the massive AI investments will translate into actual returns, analysts believe that Microsoft’s capital expenditure as a core provider of AI computing infrastructure is a necessary prerequisite for long-term growth.
【Current Valuation and Investment Opportunities】
From a stock performance perspective, Microsoft currently offers an excellent entry point. Its stock has fallen about 9% over the past six months and 5% year-to-date (YTD).
The current trading price corresponds to approximately 32 times earnings, while the forward P/E ratio is only 28, roughly in line with the average of the Nasdaq 100 index. Considering its growth forecasts, this valuation is deemed quite reasonable. The median target price given by 64 analysts for Microsoft is $631, implying a potential 12-month return of about 37%.
【Conclusion】
Faced with Wall Street’s nearly unanimous bullish sentiment, it is hard to argue against Microsoft’s investment value. For investors already holding the stock, this may be an excellent opportunity to double down.
#抄底#Microsoft#Wall Street