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NASDAQ:MSFT

Microsoft Corp (MSFT)

379.05
-0.35 (0.09%)
as of Jun 18, 2026, 11:59:42 pm Market Open.
854 watching
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WEAK BUY
One of the very few tech names he still owns. Likes that it's large, established, and its cloud business, which is favourable long term. 23x earnings, 10-11% growth rate. Down from highs, so you can park some money here.
DON'T BUY
They had plenty of growth from at-home work. PCs and gaming are lacklustre, but so is their cloud division. Their forecast was ugly. We're no longer in the early innings of cloud division, but the 5th of 6th with many competitors. It's too late to hop onto the cloud bandwagon.
BUY
It has replaced Apple as the haven for safety, the dependable company. Apple lost people's confidence last quarter when it talked about weaker iPhone sales and problems with China. MSFT isn't the cheapest stock (Alphabet and Meta are cheaper), but MSFT is reliable because of cloud. Gaming may be weak this quarter but MSFT telegraphed that. Their PE has come down a lot.
WEAK BUY
He is cautious and not confident about all the FAANGs, but MSFT is okay because their cloud growth will be there.
BUY
Their cloud business has grown nicely through the pandemic and after. Next week when the megacaps report, the theme will be the effect of foreign exchange (the strong US dollar). Over 50% of MSFT's exposure is overseas. But there's a lot of strength in cloud, so MSFT will continue to do well.
BUY
Next week, FAANG reports. Even if they report positively, will the market believe it, because their PE's are above the S&P's. That said, he likes MSFT for its recurring revenues from enterprise cloud, a high-margin business.
DON'T BUY
When it reports, he fears it won't make up for the Windows shortfall like the weak performance of semiconductors as reported last week.
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Curated by Michael O'Reilly since 2020.
1550+ opinions with 4.81 rating (one of the best performing expert).

PAST TOP PICK
(A Top Pick May 31/22, Down 12.1%)Stockchase Research Editor: Michael O'Reilly Our PAST TOP PICK with MSFT has triggered its stop $240. To remain disciplined, we recommend covering the position at this time. When combined with the previous buy recommendation, this will result in net investment loss of 14%.
COMMENT
The question included big name tech stocks in general. They have had tailwinds of falling interest rates for 40 years and investors have been overloaded in them. Tech stocks have under-performed since the beginning of the year. Multiples are coming down. Be careful with stocks trading sideways so be careful with companies such as Shopify. Even though it is a great company it is trading at 137X next year's earnings.
PAST TOP PICK
(A Top Pick Oct 01/20, Up 14%) Good company that will continue to hold. Fundamental business is great with lots of recurring revenue. Balance sheet very solid. Excellent management team. Will continue buying as shares have recently sold off. Top quality franchise that has sticky business model. Recent dividend increase is also good for share holders.
HOLD
It's been consistently good and has long held it. Buy it now? He isn't sure, but he does feel it is a darn good company.
TOP PICK
Migrated into a new economy stock. Well managed. In the right area, where the action is. On sale, put it in your portfolio, relax, should do very well next cycle. Hard to be replaced when you're the dominant player. Yield is 1.01%. (Analysts’ price target is $332.43)
DON'T BUY
Buy tech? The software companies boasts large recurring revenues, which makes them attractive. Also, there's a big shift to the cloud which will continue even during a soft economy. So, many large-cap software stocks like MSFT are relatively expensive. However, the semis look cheaper, like Nvidia which is down more than 50% YTD and not cheap, but historically yes. They are innovative. A buy.
BUY
You can't run a bank or any business without the tools MSFT offers. Tech should always be the anchor of a portfolio. Who cares if the Fed raises rates? You can't run an economy without tech.
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