Track market-moving stories before they get noisy

A view shows a Microsoft logo at Microsoft offices in Issy-les-Moulineaux near Paris, France, March 25, 2024. REUTERS/Gonzalo Fuentes/File Photo Purchase Licensing Rights, opens new tab

SummaryCompaniesAzure customers will be able to build software using Mistral data centers in FranceMistral adds Medium 3.5 and OCR 4 models to Microsoft FoundryMicrosoft president says deal does not include new financial stake in MistralSAN FRANCISCO, July 21 (Reuters) - Microsoft (MSFT.O), opens new tab ​has agreed to spend billions of dollars on Mistral's computing infrastructure in Europe under a deal that ‌will also expand distribution of the French AI startup's technology through the U.S. cloud and software giant, the companies said on Tuesday.

As part of the agreement, Microsoft Azure customers will be able to develop software using Mistral's data centers in France, giving Microsoft more capacity in Europe and ​regulated industries an alternative to U.S.-controlled infrastructure.

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Mistral, meanwhile, has added its AI models called Medium 3.5 and OCR ​4 to Microsoft's app builder known as Foundry. Microsoft Copilot Studio has brought on Medium 3.5 ⁠as well.

Finally, businesses with independent data centers that access Microsoft services via Azure Local will have the option to run ​Mistral's "open" models, which give customers license to develop AI as their own.

The deal underscores growing interest in Europe and elsewhere to ​reduce dependence on U.S. technology so other countries may have greater say in their future society and economy. It may also help Microsoft meet rising demand for open models.

Though the push for "sovereign" AI is now years old, a U.S. decision last month to pause foreign access to two advanced ​models from San Francisco-based Anthropic has made technology independence a more urgent issue in Europe.

In a joint interview with Reuters, Microsoft ​President Brad Smith and Mistral CEO Arthur Mensch said the partnership aimed to deliver such sovereignty while allowing access to U.S. software and ‌security features.

"By ⁠putting Mistral's models on Azure Local and on Mistral's computational capacity, we can combine American and European technology and do it in a way that provides continuous and assured access," Smith said.

STAYING IN AI RACEDecoupling Europe from U.S. technology would be a tall order. Nvidia (NVDA.O), opens new tab chips powering the global AI boom, also key to Mistral's data-center buildout, are American-designed. Nvidia, like Microsoft, is a ​Mistral investor.

Smith said the deal ​announced on Tuesday did not ⁠include any new financial stake in the startup, and Mensch declined to comment on a Bloomberg News report, opens new tab that Mistral was in talks to raise around €3 billion ($3.4 billion) at a €20 billion valuation.

The ​Paris-based lab has come to represent one of Europe's top hopes in AI. So far ​it has targeted ⁠manufacturing, financial services and defense sales and has won business from France's armed forces. Its valuation remains dwarfed by U.S. peers such as Anthropic.

Still, Mensch said the deal showed how Microsoft and Mistral were "working together on closing the gap on the infrastructure side in ⁠Europe."

Mistral is ​targeting 1 gigawatt of compute capacity by 2030, and the Microsoft agreement - ​specifics of which Mensch declined to provide - validates its strategy.

The companies are working on a joint go-to-market plan, they added.

"This is going to help both of ​our companies grow our businesses, unquestionably," Smith said.

Reporting by Jeffrey Dastin in San Francisco; Editing by Sayantani Ghosh and Jamie Freed

Our Standards: The Thomson Reuters Trust Principles., opens new tab

Jeffrey Dastin is a correspondent for Reuters based in San Francisco, where he reports on the technology industry and artificial intelligence. He joined Reuters in 2014, originally writing about airlines and travel from the New York bureau. Dastin graduated from Yale University with a degree in history. He was part of a team that examined lobbying by Amazon.com around the world, for which he won a SOPA Award in 2022.

For much of the past two decades, geopolitical conflicts have shaped markets through higher oil prices, inflation fears, and supply chain disruptions. Investors have learned to expect those ripple effects. The Iran war, however, is introducing a different risk: Digital infrastructure is increasingly becoming part of the battlefield itself. 

Beyond the tragic human cost borne by the people of Iran, technology companies are finding themselves drawn into the conflict as cloud computing, satellite communications, and artificial intelligence become intertwined with modern military logistics. That raises an uncomfortable question for investors: What happens when data centers become strategic targets?

Cloud Infrastructure Is No Longer Off Limits Tehran has escalated its rhetoric by warning 18 major U.S. technology companies — including Amazon (NASDAQ:AMZN | AMZN Price Prediction), Microsoft (NASDAQ:MSFT), and Alphabet‘s (NASDAQ:GOOG)  Google — that their regional infrastructure constitutes legitimate military targets because of its alleged integration with U.S. defense and intelligence operations. Iranian officials have also identified SpaceX‘s (NASDAQ:SPCX) Starlink infrastructure, including a regional ground station, as a military objective because of its claimed support for U.S. and Israeli military operations.

Amazon has already felt the consequences.Following drone strikes in March and April, AWS’s Bahrain cloud region became one of the earliest corporate casualties of the conflict. Now, Iran’s Islamic Revolutionary Guard Corps (IRGC) has claimed it destroyed the Bahrain AWS data center with cruise missiles, although neither Amazon, Bahraini authorities, nor regional news organizations have confirmed that report.

Regardless of the facility’s ultimate condition, the earlier attacks exposed a critical weakness. AWS’s me-south-1 (Bahrain) and me-central-1 (UAE) represented the company’s entire Middle Eastern cloud footprint. When both regions suffered outages, AWS lacked automated regional failover capabilities because there was no third Middle Eastern cloud region available.

Data centers are the new front line. See which tech giants are facing physical threats and how a single outage cost $150 million. © 24/7 Wall St. Amazon’s Recovery Highlights the Stakes Instead of seamless recovery, AWS engineers shifted workloads manually across continents, including to Frankfurt, Ireland, Mumbai, and the UAE. Engineers stripped nonessential applications from the surviving UAE infrastructure to preserve capacity for customers legally prohibited from moving sensitive data outside the country.

For enterprise customers, the response resembled traditional disaster recovery rather than routine cloud resilience. Organizations were forced to reroute DNS traffic, restore databases from cross-region backups, and invoke force majeure provisions to temporarily suspend regional data residency requirements.

That disruption carries real financial consequences. Before the conflict, AWS generated an estimated $1.5 billion to $2.5 billion annually from its Middle Eastern cloud operations. The Bahrain region served as the primary digital backbone for governments, banks, startups, and multinational corporations throughout the Gulf.

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Amazon also disclosed that the March and April disruptions resulted in roughly $150 million in customer service credits, directly reducing AWS profitability. Meanwhile, the company’s planned $5.3 billion Saudi Arabia cloud expansion now faces far greater geopolitical uncertainty.

Combined across AWS and its regional e-commerce operations, Amazon’s Middle East revenue exposure totals roughly $4.5 billion to $7.5 billion annually. That represents less than 1% of Amazon’s $717 billion annual revenue, but it had been among AWS’s fastest-growing international AI markets.

The Risk Extends Beyond Amazon This story isn’t only just about Amazon. Microsoft Azure and Google Cloud continue expanding across the Gulf while AI infrastructure becomes increasingly concentrated inside hyperscale data centers. Those facilities represent billions of dollars of computing equipment, networking hardware, and semiconductor investments concentrated in single locations.

Ironically, cloud computing was designed to eliminate single points of failure. Regional conflicts demonstrate that geographic concentration can still create physical vulnerabilities.

The IRGC has stated the latest strike was retaliation for recent U.S. military action against Iran’s under-construction Darkhovin nuclear facility. Whether further escalation occurs remains uncertain. Yet investors should recognize that technology infrastructure has become part of modern geopolitical strategy rather than merely supporting it.

Key Takeaway In short, investors shouldn’t panic, but they also shouldn’t dismiss this emerging risk. Higher oil prices and inflation remain important market concerns, yet the Iran war is adding a new dimension by placing physical technology infrastructure closer to the front lines. Amazon’s revenue exposure remains modest relative to its global business, but the operational disruption demonstrates how quickly geopolitical events can affect even the world’s largest cloud providers. 

As AI investment increasingly depends on global networks of data centers, savvy investors should begin evaluating not only where Big Tech builds its infrastructure, but also where that infrastructure may become vulnerable.

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Contact [email protected] for any questions or corrections.

A securities fraud class action lawsuit has been filed on behalf of Microsoft investors after its stock plummeted 10% because Microsoft allegedly misled investors regarding its AI chatbot Copilot and cloud computing platform Azure.

, /PRNewswire/ -- Leading securities law firm Bleichmar Fonti & Auld LLP announces that a class action lawsuit has been filed against Microsoft Corporation (NASDAQ:MSFT) and certain of the Company's senior executives for securities fraud after its significant stock drop resulting from potential violations of the federal securities laws.

If you invested in Microsoft, you are encouraged to obtain additional information by visiting: https://www.bfalaw.com/cases/microsoft-class-action-lawsuit.

Key Details of the Microsoft ($MSFT) Class Action:

Lead Plaintiff Deadline: August 11, 2026 Alleged Misconduct: Securities fraud alleging that Microsoft misled investors regarding its Azure cloud computing platform and AI chatbot Copilot Stock Drop: January 28, 2026 – 10% Stock Drop Court: U.S. District Court for the Western District of Washington Action: Contact BFA Law to discuss your rights Investors have until August 11, 2026 to ask the Court to be appointed to lead the case. The complaint asserts securities fraud claims under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 on behalf of investors in Microsoft common stock. The class action is pending in the U.S. District Court for the Western District of Washington. It is captioned City of St. Clair Shores Police and Fire Retirement System, et al., No. 26-cv-02071.

Why is Microsoft Being Sued for Securities Fraud?

Microsoft is a multinational technology company that develops software, cloud services, and devices. In recent years, Microsoft's cloud computing platform named Azure has been Microsoft's main growth driver. A key reason for Azure's recent growth is Microsoft's multi-billion-dollar investment into AI, including the development of its own generative AI chatbot named Copilot. 

According to the complaint, during the relevant period, Microsoft consistently touted Copilot's best-in-class capabilities, which purportedly drove widespread and growing user adoption.  Copilot's apparent success allowed Microsoft to report surging Azure-related revenue.

As alleged, in truth, Copilot suffered from severe functionality issues that caused user adoption to decline and put Microsoft's Azure revenue at risk.

Why did Microsoft's Stock Drop?

On January 28, 2026, Microsoft announced disappointing 2Q 2026 financial results and that Azure growth had slowed suddenly. Microsoft also allegedly revealed for the first time that the number of Microsoft 365 Copilot premium customers totaled only 15 million, materially below analyst estimates.

This news caused the price of Microsoft common stock to decline $48.13 per share, or 10%, from $481.63 per share on January 28, 2026, to $433.50 per share on January 29, 2026. 

Additionally, on February 3, 2026, The Wall Street Journal reported in an article titled "Microsoft's Pivotal AI Product Is Running Into Big Problems" that severe challenges and functionality issues had plagued Copilot, causing the application to lose market share. Specifically, The Wall Street Journal reported that "[c]onfusing brand positioning and interoperability problems have frustrated users."

Click here for more information: https://www.bfalaw.com/cases/microsoft-class-action-lawsuit.

What Can You Do?

If you invested in Microsoft, you may have legal options and are encouraged to submit your information to the firm.

All representation is on a contingency fee basis; there is no cost to you. Shareholders are not responsible for any court costs or expenses of litigation. The firm will seek court approval for any potential fees and expenses.

Submit your information by visiting:

https://www.bfalaw.com/cases/microsoft-class-action-lawsuit

Why Bleichmar Fonti & Auld LLP?

BFA is a leading international law firm representing plaintiffs in securities class actions and shareholder litigation. It has been named a top plaintiff law firm by Chambers USA, The Legal 500, and ISS SCAS, and its attorneys have been named "Elite Trial Lawyers" by the National Law Journal, "Litigation Stars" by Benchmark Litigation, among the top "500 Leading Plaintiff Financial Lawyers" by Lawdragon, "Titans of the Plaintiffs' Bar" by Law360 and "SuperLawyers" by Thomson Reuters.

Most recently, The Legal 500 awarded BFA the most client satisfaction accolades of any plaintiff's securities litigation law firm, with clients noting: "[t]here is no better service provider in the practice area," "[t]he interest of the client is always front and center," and "[t]here isn't a better firm in this space."  One testimonial described the firm as "nimble and entrepreneurial," with a "relentless focus on adding value for clients."

Among its recent notable successes, BFA recovered over $900 million in value from Tesla, Inc.'s Board of Directors, as well as $420 million from Teva Pharmaceutical Ind. Ltd.

For more information about BFA and its attorneys, please visit https://www.bfalaw.com.

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SOURCE Bleichmar Fonti & Auld LLP

Alphabet (GOOGL +1.54%) (GOOG +1.56%) and Microsoft (MSFT +2.21%) are two of the world's most prominent tech companies. Each has certainly earned their place among the Magnificent Seven. Both companies boast a portfolio of sticky products and services that generate massive cash flows.

These companies are also leaders in cloud computing and artificial intelligence (AI), which might be the two largest growth opportunities in tech for the foreseeable future. But which is better if you had to choose between the two?

Alphabet dominates the consumer-facing landscape, while Microsoft enjoys deep-rooted relationships with enterprises worldwide. In the end, it boils down to execution. Here's why that gives Alphabet a slight edge right now.

Image source: Getty Images

Alphabet's AI momentum is palpable Both companies are AI hyperscalers, pouring eye-watering amounts of capital into building data centers and other infrastructure to support widespread AI adoption. The pressure will only increase for these companies to monetize the infrastructure to justify spending the money. Alphabet is beginning to see the trickle-down impact of its AI investments. It has developed and integrated Gemini AI throughout Google Search, Android, and various software apps.

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Growth is accelerating across Alphabet, with revenue up 22% in the first quarter of 2026, compared with 12% a year ago. AI features, such as its AI overviews, are driving engagement in Google Search. Google's ad revenue increased 19% in the first quarter of 2026, versus 10% the prior year. Growth accelerated even more in Google Cloud, with revenue soaring 63% versus 28% a year ago, and operating profit more than tripling to $6.6 billion.

Microsoft has struggled to forge an AI identity of its own Microsoft took an entirely different approach to AI, initially investing in and partnering with OpenAI, the creator of ChatGPT. In one sense, it worked. Microsoft's approximately 27% stake in OpenAI is worth around $230 billion, and ChatGPT's immense usage has helped Microsoft grow its Azure cloud business. Commercial remaining performance obligations doubled to a whopping $627 billion. There's no doubt that it's been profitable.

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But the company's relationship with OpenAI has cooled over the past year. It has also left Microsoft without a notable AI identity of its own. It has integrated Copilot AI into its software products but has struggled to win users away from ChatGPT and Claude, despite Microsoft's deeply entrenched enterprise relationships. Copilot's sluggish adoption hasn't financially damaged Microsoft. Still, it seems like a missed opportunity at the very least.

Two tech stalwarts, but only one winner today Microsoft could absolutely gain in the AI race. Enterprises could begin to use Copilot more, especially after Microsoft's pivot toward using multiple models in Copilot. However, Alphabet is already executing at a high level, and Gemini has carved out a major slice of the consumer AI market, where it primarily competes. Alphabet will surely continue to go after enterprise market share as well, but that's gravy when you're already so strong in other areas.

Plus, Azure is already so large that Microsoft may eventually struggle to grow cloud revenue. On the other hand, Google Cloud is much smaller, and it can still move the needle for Alphabet as it continues to blossom. Wall Street analysts estimate that both companies will grow earnings by about 16% to 17% annually over the next three to five years. Microsoft is notably less expensive at 20 times forward earnings estimates, versus Alphabet at 24 times.

GOOGL PE Ratio (Forward) data by YCharts

Alphabet and Microsoft are both remarkable companies and among the best in their respective fields. Choosing between them is like picking your favorite child. That said, being a long-term investor is about thinking years ahead and gauging which company is more likely to maintain its competitive edge. Even though Microsoft trades at a more attractive valuation right now, Alphabet's momentum with Gemini gives it the edge. But ultimately, it's hard to go wrong owning both.

In the latest close session, Microsoft (MSFT - Free Report) was up +2.15% at $402.29. The stock's performance was ahead of the S&P 500's daily loss of 0.19%. On the other hand, the Dow registered a loss of 0.59%, and the technology-centric Nasdaq decreased by 0.05%.

Coming into today, shares of the software maker had gained 3.8% in the past month. In that same time, the Computer and Technology sector lost 4.32%, while the S&P 500 gained 0.55%.

Market participants will be closely following the financial results of Microsoft in its upcoming release. The company plans to announce its earnings on July 29, 2026. The company is forecasted to report an EPS of $4.21, showcasing a 15.34% upward movement from the corresponding quarter of the prior year. At the same time, our most recent consensus estimate is projecting a revenue of $87.42 billion, reflecting a 14.36% rise from the equivalent quarter last year.

MSFT's full-year Zacks Consensus Estimates are calling for earnings of $17.33 per share and revenue of $329.24 billion. These results would represent year-over-year changes of +27.05% and +16.87%, respectively.

Any recent changes to analyst estimates for Microsoft should also be noted by investors. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.16% higher within the past month. Currently, Microsoft is carrying a Zacks Rank of #3 (Hold).

Investors should also note Microsoft's current valuation metrics, including its Forward P/E ratio of 20.39. This represents a premium compared to its industry average Forward P/E of 15.74.

Also, we should mention that MSFT has a PEG ratio of 1.19. The PEG ratio is akin to the commonly utilized P/E ratio, but this measure also incorporates the company's anticipated earnings growth rate. MSFT's industry had an average PEG ratio of 1.32 as of yesterday's close.

The Computer - Software industry is part of the Computer and Technology sector. This industry, currently bearing a Zacks Industry Rank of 102, finds itself in the top 42% echelons of all 250+ industries.

The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.

Microsoft Corp (NASDAQ:MSFT)'s fiscal fourth quarter results will be a key test of the company's AI execution, with Azure growth, AI infrastructure spending and Microsoft 365 Copilot adoption expected to be the main focus when the software giant reports, according to Bank of America analysts.

The analysts wrote that "AI execution remains the central debate" heading into the results, adding that fiscal 2027 commentary on Azure growth, data center buildout and AI backlog conversion will also be closely watched.

The analysts highlighted that Azure remains the key metric for investors, with Microsoft previously guiding for 39% to 40% year-over-year growth in constant currency. They wrote that demand continues to outpace capacity, while the company's first Fairwater data center facility in Wisconsin is now fully operational, supporting the conversion of commercial remaining performance obligations (RPO) into revenue.

The analysts highlighted Microsoft's $627 billion commercial RPO balance reported last quarter and noted that management expects about 25% of that amount to be recognized over the next 12 months, which they said could help validate Microsoft's AI investment strategy.

Bank of America estimates Q4 capital expenditures, including finance leases, will total about $42 billion, up 32% from the prior quarter and 74% from a year earlier, as Microsoft continues expanding AI compute capacity. The analysts expect the higher spending to pressure free cash flow in the near term and wrote that Azure growth at or above the company's 39% to 40% outlook is likely needed to support the stock, while a weaker result could raise concerns about returns on AI investments.

The analysts also identified Microsoft 365 Copilot adoption and broader AI monetization as important proof points. Copilot reached 20 million paid seats in the third quarter after adding 5 million sequentially, while AI annual recurring revenue exceeded $37 billion, up 123% year over year. They expect both metrics to continue growing as AI capacity expands.

For the quarter, the Bank of America analysts forecast revenue of $87.4 billion, up 14.4% from a year earlier, driven by Intelligent Cloud revenue of $38.1 billion and Productivity and Business Processes revenue of $37.3 billion. They expect More Personal Computing revenue to decline 10.5% year over year to $12 billion, reflecting ongoing gaming headwinds.

The analysts reiterated a ‘Buy’ rating and a $500 price target on Microsoft shares, implying upside from current levels of about $400.

The company will report its earnings on July 29.

Despite producing record cash from its business, the e-commerce and cloud giant has watched its free cash flow evaporate as AI infrastructure spending accelerates.

The contrast highlights an emerging reality of the AI arms race: generating cash is no longer the challenge. Keeping it is.

Big Tech’s Cash Machines Keep Getting BiggerOperating cash flow — the cash generated from day-to-day business operations — has surged across the largest technology companies over the past three years.

Microsoft’s operating cash flow has climbed from $89.03 billion in 2022 to $169.65 billion on a trailing 12-month basis, per Benzinga’s MSFT Report.

Alphabet has nearly doubled its operating cash generation over the same period, rising from $91.50 billion to $174.35 billion, while Meta’s operating cash flow has jumped from $50.47 billion to $124 billion.

Amazon’s growth has been equally impressive. The company has more than tripled its operating cash flow from $46.75 billion in 2022 to $148.53 billion over the trailing 12 months, underscoring the strength of its retail operations and AWS cloud business.

On the surface, Big Tech has never looked healthier.

Amazon’s Free Cash Flow Tells A Different StoryBut one number stands out.

Amazon’s free cash flow has swung from $32.88 billion in 2024 to $7.69 billion in 2025, before turning negative $2.47 billion on a trailing 12-month basis.

By comparison, Microsoft’s trailing free cash flow remains at $72.92 billion, Alphabet’s at $64.43 billion, and Meta’s at $48.25 billion.

The divergence suggests Amazon is reinvesting virtually every additional dollar it generates back into the business, largely to fund the enormous infrastructure buildout required to support artificial intelligence workloads.

Chief Executive Andy Jassy has repeatedly described AI as a once-in-a-generation opportunity, with Amazon pouring tens of billions of dollars into expanding AWS data centers, custom Trainium chips and broader cloud infrastructure.

AI Is Changing The Cash EquationThe numbers illustrate a shift that investors may increasingly need to watch.

For years, Big Tech’s biggest attraction wasn’t just rapid revenue growth—it was the ability to convert that growth into massive amounts of free cash, fueling share buybacks, acquisitions and strategic investments.

Today, AI is changing that equation.

Microsoft, Alphabet and Meta continue to generate enormous free cash flow even as spending rises. Amazon, however, is offering an early glimpse of what happens when AI infrastructure investment begins consuming nearly all of the cash a company generates.

That doesn’t necessarily make Amazon’s strategy a negative one. If today’s investments produce years of AI-driven growth through AWS, they could strengthen the company’s long-term competitive position.

For investors, however, the AI story is evolving. Revenue growth remains important, but the next question may be even more consequential: how much of Big Tech’s record cash generation actually makes it back to shareholders—and how much is being recycled into the AI arms race?

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Rudra "Rudy" Mitra, who led Microsoft's Purview data-security business, is joining Amazon Web Services as vice president of security services.

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Wall Street's Reassessment of Microsoft's AI Monetization Claims Cost MSFT Investors Billions as Analyst Sentiment Shifted From Euphoria to Skepticism Wall Street's Reassessment of Microsoft's AI Monetization Claims Cost MSFT Investors Billions as Analyst Sentiment Shifted From Euphoria to Skepticism

20.7.2026 16:07, MSFT, AMD, TER, DPZ, GOOG, GOOGL, BAAGOOGL

Index Dow Jones +0,14 % na 52220,81 b., S&P 500 +0,59 % na 7501,84 b., Nasdaq Composite +0,92 % na 25753,86 b.

Wall Street na začátku obchodování roste tažena oživením v sektoru polovodičů. Index S&P 500 přidává o 0,59 %.

Akcie Alphabet posilují o 3,3 %. Společnost Google, spadající pod technologický konglomerát, údajně vyvíjí nový serverový čip, který má být navržen přímo na míru jeho modelu umělé inteligence Gemini. Informoval o tom server The Information s odvoláním na zdroje obeznámené se situací.

Řetězec rychlého občerstvení Domino's Pizza (+3,2 %) zveřejnil hospodářské výsledky za druhý kvartál roku 2026. Tržby mírně překonaly odhady analytiků, zisk na akcii však za očekáváním zaostal. Porovnatelné tržby v domácích obchodech stagnovaly.

Společnosti AMD (+3,6 %) a Microsoft (-0,8 %) rozšiřují svoje dlouhodobé partnerství. Microsoft se chystá na cloudové platformě Azure nasadit řešení Helios Rackscale od AMD, které bude pohánět inferenci u nejpokročilejších AI modelů. Microsoft tak začne ve velkém využívat systém AMD Helios pro potřeby vlastní AI inference, své AI zákazníky i služby Azure AI. Společnost AMD zahájí dodávky tohoto systému zákazníkům včetně Microsoftu ve druhé polovině roku 2026.

Analytik Timothy Arcuri ze společnosti UBS zvýšil cílovou cenu pro akcie společnosti Teradyne, která se specializuje na automatizační a testovací řešení pro elektroniku a průmysl, z 440 USD na 500 USD a zachoval nákupní doporučení. Nová cílová cena představuje potenciální nárůst o 46 % oproti páteční zavírací ceně.

Index S&P 500 +0,59 % na 7501,84 b. Nejsilnější sektory S&P Změna Nejslabší sektory S&P Změna Komunikační služby +1,5 % Nezbytná spotřeba -0,2 % Informační technologie +1,1 % Zdravotní péče -0,1 % Utility +0,5 % Finanční sektor -0,1 % Nejsilnější akcie S&P Změna Nejslabší akcie S&P Změna Teradyne (TER) +7,9 % ServiceNow (NOW) -4,3 % Lumentum Holdings (LITE) +7,6 % Intuit (INTU) -3,7 % Coherent Corp (COHR) +6,6 % Chipotle Mexican Grill (CMG) -3,7 % Intel Corp (INTC) +5,8 % Adobe (ADBE) -3,6 % Sandisk Corp (SNDK) +5,6 % Honeywell Aerospace (HONA) -3,0 % Zdroj: Bloomberg

Michal Šnobl
Fio banka, a.s.
Prohlášení

According to The Wall Street Journal, Elon Musk‘s SpaceX and the Pentagon are discussing a leasing agreement under which the company would rent computing capacity from its data centers, allowing military and intelligence agencies to run AI models on SpaceX’s infrastructure.

From Launching Rockets to Powering Pentagon AIThe Pentagon is already one of SpaceX’s largest customers. The company launches national security missions, provides military satellite communications through Starlink and supports missile-tracking initiatives. Leasing AI computing power would deepen that relationship, expanding SpaceX’s role from delivering physical infrastructure to providing the computing infrastructure that powers artificial intelligence.

For investors, that marks another step in the company’s evolution.

SpaceX has steadily diversified beyond launch services through Starlink, turning connectivity into a major business. AI computing could become another high-growth revenue stream as demand for compute continues to outpace supply.

A New Competitive LandscapeUnlike the launch industry, where SpaceX has established a commanding lead, AI infrastructure is one of the most competitive markets in technology.

Microsoft’s Azure, Amazon Web Services, Google Cloud and Oracle have spent years building cloud platforms for enterprise and government customers. A Pentagon AI compute deal would place SpaceX alongside those hyperscalers rather than traditional aerospace and defense contractors.

That shift reflects a broader trend across the AI industry. As computing power becomes one of the world’s most valuable resources, the lines between aerospace, cloud computing and artificial intelligence are beginning to blur.

The reported talks also suggest SpaceX’s AI ambitions extend beyond government work. The Wall Street Journal said the company already leases computing capacity to commercial AI customers, including Google, Anthropic and Reflection AI.

If a Pentagon agreement materializes, it could reinforce a broader transformation already underway. SpaceX wouldn’t simply be competing to launch the government’s satellites or connect its troops—it would also be competing to power the AI systems that increasingly shape military operations, putting it in direct competition with some of the world’s largest cloud providers.

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Microsoft (NASDAQ: MSFT | MSFT Price Prediction) and Amazon (NASDAQ: AMZN) both reported on April 29, 2026, revealing two different clocks running on AI cloud ROI. Microsoft is already cashing checks on Copilot and Azure. Amazon is pouring concrete, buying chips, and stringing power. The gap between them is the gap between a software business and an infrastructure project.

Copilot Is Paying Today. Trainium Is Paying Tomorrow. Microsoft’s Intelligent Cloud segment hit $34.68B, and Satya Nadella framed the payoff plainly: “Our AI business surpassed an annual revenue run rate of $37 billion, up 123% year-over-year.” Paid Copilot seats reached over 20 million, with Accenture alone taking 740,000. That is SaaS revenue landing the same quarter the GPUs light up.

Amazon’s picture is heavier. AWS grew 28% to $37.59B, its fastest pace in 15 quarters, and the Trainium chip business crossed a $20 billion run rate. But Q1 capex ran $44.2 billion against just $26.0 billion in operating cash flow, producing negative free cash flow of $18.2 billion. Andy Jassy did not flinch: “We have high confidence this will be monetized well, as we already have customer commitments for a substantial portion of it.”

Business Driver Microsoft Amazon AI Run Rate $37B $15B+ AI, $20B chips 2026 Capex Plan ~$190B ~$200B Backlog / RPO $627B $364B Operating Margin 45.6% 11.2% Software Velocity vs. Silicon Ownership Microsoft converts capex into revenue almost immediately because Copilot rides on existing seats. Gross margin sits at 68.8%, and the RPO backlog of $627B gives Amy Hood visibility other CFOs would trade a kidney for. Amazon’s payoff is structural. Jassy told investors “Trainium will save us tens of billions of dollars of CapEx each year and provide several hundred basis points of operating margin advantage” at scale. With over $225 billion in Trainium commitments from Anthropic, OpenAI, and others, AWS is pre-selling the capacity it is building.

Why 2027 Is the Crossover Jassy laid out the math: “The free cash flow and ROIC for these investments are cumulatively quite attractive a couple of years after being in service.” Chips and servers depreciate over five to six years, data centers over 30-plus. The 2025 to 2026 capex wave, $131.8B in FY25 alone, starts generating full revenue as those assets enter service in mid-to-late 2027. That is when Amazon’s owned silicon compounds against Microsoft’s ongoing NVIDIA and OpenAI cost obligations.

Why I Own the Wait on Amazon If I want stability and clean cash generation right now, Microsoft is the cleaner pick. Free cash flow yield of 2.4%, dividends intact, and Copilot economics already proven. Down 16.69% YTD, the market has punished the capex line without fully crediting the monetization.

But I lean Amazon for 2027. You are paying today’s price for tomorrow’s margin curve, and Jassy’s chip stack looks like the most underappreciated ROI lever in the group. I would change my view if Trainium3 slips or memory costs stay stuck. Absent that, the crossover looks real.

Act now: the analyst who called NVIDIA in 2010 just named his top 10 AI stocks — and Microsoft didn't make the cut. Grab the names FREE today.

Contact [email protected] for any questions or corrections.

NEW YORK, July 19, 2026 (GLOBE NEWSWIRE) --

WHY: Rosen Law Firm, a global investor rights law firm, reminds purchasers of common stock of Microsoft Corporation (NASDAQ: MSFT) between May 1, 2025 and January 28, 2026, inclusive (the “Class Period”), of the important August 11, 2026 lead plaintiff deadline.

SO WHAT: If you purchased Microsoft common stock during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.

WHAT TO DO NEXT: To join the Microsoft class action, go to https://rosenlegal.com/cases/microsoft-corporation/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than August 11, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.

WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually handle securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered billions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs’ Bar. Many of the firm’s attorneys have been recognized by Lawdragon and Super Lawyers.

DETAILS OF THE CASE: According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Microsoft’s Copilot family of products had experienced significant brand positioning, user experience, usage, data siloing, computational capacity, organizational, and interoperability problems; (2) Microsoft’s flagship proprietary AI model ranked well below competitors on a number of benchmark tests; (3) Microsoft needed to increase by billions of dollars its capital expenditures and divert graphics processing unit (“GPU”) and central processing unit (“CPU”) capacity away from fulfilling demand for its profitable Azure services in order to improve the competitive positioning of its critical Copilot family of products and increase its AI-related research and development (“R&D”); and (4) as a result, Microsoft had failed to convert a significant percentage of its commercial Microsoft 365 users to paid Copilot subscriptions and Microsoft’s Copilot offerings had lost market share to rival products, a trend that was increasing. When the true details entered the market, the lawsuit claims that investors suffered damages.

To join the Microsoft class action, go to https://rosenlegal.com/cases/microsoft-corporation/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.

No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor’s ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

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Contact Information:

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Free cash flow conversion is now the single most important determinant of share price. Burdening company valuation for the moment, I expect FCF conversion to help Microsoft's long term upwards trajectory when it comes back to more sustainable levels in the late 2020s. Impressive margins in Software and strong growth in Cloud dispel return on investment fears.

New York, New York--(Newsfile Corp. - July 19, 2026) - Bronstein, Gewirtz & Grossman, LLC, a nationally recognized investor-rights law firm, announces that a class action lawsuit has been filed against Microsoft Corporation (NASDAQ: MSFT) and certain of its officers.

This lawsuit seeks to recover damages against Defendants for alleged violations of the federal securities laws on behalf of all persons and entities that purchased or otherwise acquired Microsoft securities between May 1, 2025 and January 28, 2026, both dates inclusive (the "Class Period"). Such investors are encouraged to join this case by visiting the firm's site: bgandg.com/MSFT.

Microsoft Case Details

The Complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements because they failed to disclose that:

Microsoft's Copilot family of products had experienced significant brand positioning, user experience, usage, data siloing, computational capacity, organizational, and interoperability problems; Microsoft's flagship proprietary AI model ranked well below competitors on a number of benchmark tests; Microsoft needed to increase by billions of dollars its capital expenditures and divert graphics processing unit ("GPU") and central processing unit ("CPU") capacity away from fulfilling demand for its profitable Azure services in order to improve the competitive positioning of its critical Copilot family of products and increase its AI-related research and development ("R&D"); and as a result of the above, Microsoft had failed to convert a significant percentage of its commercial Microsoft 365 users to paid Copilot subscriptions and Microsoft's Copilot offerings had lost market share to rival products, a trend that was increasing.What's Next for Microsoft Investors?

A class action lawsuit has already been filed. If you wish to review a copy of the Complaint, you can visit the firm's site: bgandg.com/MSFT, or you may contact Peretz Bronstein, Esq. or his Client Relations Manager, Nathan Miller, of Bronstein, Gewirtz & Grossman, LLC at 917-590-0911. If you suffered a loss in Microsoft you have until August 11, 2026, to request that the Court appoint you as lead plaintiff. Your ability to share in any recovery doesn't require that you serve as lead plaintiff.

No Cost to Microsoft Investors

We, Bronstein, Gewirtz & Grossman LLC, represent investors in class actions on a contingency fee basis. That means we will ask the court to reimburse us for out-of-pocket expenses and attorneys' fees, usually a percentage of the total recovery, only if we are successful.

Why Bronstein, Gewirtz & Grossman, LLC for Microsoft Securities Class Action?

Bronstein, Gewirtz & Grossman, LLC is a nationally recognized firm that represents investors in securities fraud class actions and shareholder derivative suits. Our firm has recovered hundreds of millions of dollars for investors nationwide. More at www.bgandg.com

"Our practice centers on restoring investor capital and ensuring corporate accountability, which serves to uphold the essential integrity of the marketplace," said Peretz Bronstein, Founding Partner of Bronstein, Gewirtz & Grossman, LLC.

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Beacon Bank & Trust reduced its stake in shares of Microsoft Corporation (NASDAQ:MSFT – Free Report) by 3.9% during the first quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 36,605 shares of the software giant’s stock after selling 1,492 shares during the quarter. Microsoft comprises about 2.8% of Beacon Bank & Trust’s investment portfolio, making the stock its 10th largest holding. Beacon Bank & Trust’s holdings in Microsoft were worth $13,550,000 as of its most recent filing with the Securities & Exchange Commission.

Other institutional investors have also recently added to or reduced their stakes in the company. Norges Bank purchased a new stake in shares of Microsoft during the fourth quarter valued at $50,664,631,000. Auto Owners Insurance Co grew its stake in Microsoft by 56,160.8% during the 4th quarter. Auto Owners Insurance Co now owns 60,116,384 shares of the software giant’s stock valued at $29,073,486,000 after acquiring an additional 60,009,531 shares in the last quarter. Nuveen LLC purchased a new position in Microsoft during the 1st quarter valued at about $18,733,827,000. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC increased its holdings in shares of Microsoft by 500.0% in the 3rd quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 59,543,261 shares of the software giant’s stock valued at $30,840,432,000 after purchasing an additional 49,618,571 shares during the period. Finally, Laurel Wealth Advisors LLC lifted its position in shares of Microsoft by 49,640.3% in the second quarter. Laurel Wealth Advisors LLC now owns 29,967,038 shares of the software giant’s stock worth $14,905,904,000 after purchasing an additional 29,906,791 shares in the last quarter. 71.13% of the stock is currently owned by institutional investors and hedge funds.

Microsoft Trading Down 1.8% MSFT stock opened at $393.82 on Friday. The company has a current ratio of 1.28, a quick ratio of 1.27 and a debt-to-equity ratio of 0.08. The business’s 50 day moving average is $400.28 and its 200-day moving average is $411.30. Microsoft Corporation has a 1-year low of $349.20 and a 1-year high of $555.45. The firm has a market cap of $2.93 trillion, a P/E ratio of 23.44, a P/E/G ratio of 1.20 and a beta of 1.13.

Microsoft (NASDAQ:MSFT – Get Free Report) last announced its earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share for the quarter, beating analysts’ consensus estimates of $4.06 by $0.21. The company had revenue of $82.89 billion during the quarter, compared to analyst estimates of $81.44 billion. Microsoft had a return on equity of 31.94% and a net margin of 39.34%.The firm’s quarterly revenue was up 18.3% compared to the same quarter last year. During the same period last year, the company posted $3.46 earnings per share. Equities analysts anticipate that Microsoft Corporation will post 16.71 earnings per share for the current fiscal year.

Microsoft Dividend Announcement The company also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be paid a $0.91 dividend. The ex-dividend date is Thursday, August 20th. This represents a $3.64 annualized dividend and a yield of 0.9%. Microsoft’s payout ratio is presently 21.67%.

Wall Street Analyst Weigh In Several analysts recently commented on the stock. New Street Research decreased their price target on shares of Microsoft from $675.00 to $600.00 and set a “buy” rating for the company in a report on Thursday, April 30th. Phillip Securities upgraded shares of Microsoft to a “buy” rating and set a $485.00 price objective on the stock in a research note on Wednesday, May 13th. Stifel Nicolaus cut their target price on shares of Microsoft from $415.00 to $400.00 and set a “hold” rating for the company in a research report on Thursday, June 25th. Barclays reissued an “overweight” rating on shares of Microsoft in a research note on Wednesday, June 3rd. Finally, Tigress Financial boosted their price target on Microsoft from $595.00 to $680.00 and gave the company a “buy” rating in a research note on Wednesday, May 6th. Forty-one research analysts have rated the stock with a Buy rating and seven have assigned a Hold rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and a consensus price target of $557.96.

View Our Latest Analysis on MSFT

Insider Transactions at Microsoft In other Microsoft news, CEO Judson Althoff sold 15,500 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The stock was sold at an average price of $460.99, for a total value of $7,145,345.00. Following the sale, the chief executive officer owned 110,477 shares in the company, valued at $50,928,792.23. This represents a 12.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. Also, EVP Amy Coleman sold 1,262 shares of the business’s stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $411.34, for a total value of $519,111.08. Following the transaction, the executive vice president directly owned 46,003 shares in the company, valued at $18,922,874.02. The trade was a 2.67% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 23,762 shares of company stock valued at $10,508,361 over the last 90 days. 0.03% of the stock is owned by corporate insiders.

Microsoft News Roundup Here are the key news stories impacting Microsoft this week:

Positive Sentiment: Microsoft is still getting support from Wall Street, with some analysts and portfolio managers reiterating buy ratings and arguing that Azure demand, Copilot adoption, and Microsoft 365 tailwinds can support long-term earnings power. Article: Josh Baer Reiterates Buy on Microsoft, Citing AI Leadership, Azure/M365 Budget Tailwinds and Underappreciated Earnings Power Positive Sentiment: A CIO survey and other commentary pointed to strong Azure demand at multi-year highs, reinforcing the view that Microsoft’s cloud and AI platform remains a core beneficiary of enterprise spending. Article: Microsoft (MSFT) Stock Surges on Strong Azure Demand in Latest CIO Survey Positive Sentiment: Microsoft also announced a multi-year AI infrastructure partnership with 3M, which investors viewed as another sign that its Azure ecosystem is expanding into real-world enterprise use cases. Article: Microsoft Stock Rebounds on 3M Optical Infrastructure Alliance Neutral Sentiment: Microsoft CEO Satya Nadella criticized Anthropic’s Fable restrictions and pushed for Microsoft to promote its own AI models more aggressively, highlighting the company’s effort to reduce reliance on outside AI vendors. Article: Microsoft’s Nadella rips Anthropic’s Fable restrictions in staff meeting: ‘Doesn’t make sense’ Neutral Sentiment: Reports that Microsoft is training its sales force to push in-house AI models over OpenAI, Google, and Anthropic suggest a strategic shift toward better control over costs and monetization, but the market is still waiting for proof that this approach boosts returns. Article: Microsoft is reportedly training salespeople to talk down OpenAI and Anthropic Negative Sentiment: Several reports said analysts trimmed price targets ahead of earnings, and commentary stressed that investors are increasingly worried Microsoft’s AI spending spree could pressure margins before the payoff becomes visible. Article: Why Microsoft Is Playing a Different AI Game Than Big Tech—and Cash Flow Is the Test Negative Sentiment: Microsoft is facing added overhang from securities class-action deadlines and allegations tied to Copilot and Azure disclosures, which can keep pressure on sentiment even though these developments are not operational. Article: MSFT UPCOMING DEADLINE : The Gross Law Firm Alerts Microsoft Corporation Stockholders of Securities Class Action Microsoft Company Profile (Free Report)

Microsoft Corporation is a global technology company headquartered in Redmond, Washington. Founded in 1975 by Bill Gates and Paul Allen, Microsoft develops, licenses and supports a broad range of software products, services and devices for consumers, enterprises and governments worldwide. Its operations span personal computing, productivity software, cloud infrastructure, enterprise applications, developer tools and gaming.

Microsoft’s product portfolio includes the Windows operating system and the Microsoft 365 suite of productivity and collaboration tools (Office apps, Outlook, Teams).

Featured Articles Five stocks we like better than Microsoft Netflix May Be Cheap Enough to Tempt Buyers After Earnings Drop Delta vs. United: Which Airline Is Better Built for Higher Fuel Costs? The Market Sold Alcoa After Earnings—But It May Be Missing the Real Story Why Intuitive Surgical’s Strong Quarter Still Spooked Investors Want to see what other hedge funds are holding MSFT? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Microsoft Corporation (NASDAQ:MSFT – Free Report).

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Posted by Defense World Staff on Jul 19th, 2026

Dividend Assets Capital LLC grew its holdings in shares of Microsoft Corporation (NASDAQ:MSFT – Free Report) by 3.1% in the 1st quarter, according to its most recent 13F filing with the Securities & Exchange Commission. The fund owned 69,792 shares of the software giant’s stock after purchasing an additional 2,072 shares during the quarter. Microsoft makes up approximately 5.2% of Dividend Assets Capital LLC’s holdings, making the stock its biggest position. Dividend Assets Capital LLC’s holdings in Microsoft were worth $25,835,000 at the end of the most recent quarter.

A number of other institutional investors and hedge funds also recently made changes to their positions in the business. Taylor Securities Services Inc. bought a new position in Microsoft in the 4th quarter worth approximately $2,616,000. PMG Family Office LLC bought a new stake in shares of Microsoft during the third quarter valued at approximately $828,000. Werba Rubin Papier Wealth Management lifted its holdings in shares of Microsoft by 15.7% in the fourth quarter. Werba Rubin Papier Wealth Management now owns 12,492 shares of the software giant’s stock worth $6,041,000 after buying an additional 1,698 shares in the last quarter. SG Americas Securities LLC lifted its holdings in shares of Microsoft by 2,332.1% in the fourth quarter. SG Americas Securities LLC now owns 6,746,017 shares of the software giant’s stock worth $3,262,509,000 after buying an additional 6,468,645 shares in the last quarter. Finally, World Investment Advisors boosted its position in shares of Microsoft by 22.1% during the fourth quarter. World Investment Advisors now owns 272,424 shares of the software giant’s stock worth $131,750,000 after acquiring an additional 49,371 shares during the last quarter. Hedge funds and other institutional investors own 71.13% of the company’s stock.

Insiders Place Their Bets In other Microsoft news, EVP Takeshi Numoto sold 4,500 shares of the company’s stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $402.84, for a total value of $1,812,780.00. Following the transaction, the executive vice president directly owned 47,468 shares in the company, valued at $19,122,009.12. This represents a 8.66% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, EVP Amy Coleman sold 1,262 shares of the firm’s stock in a transaction that occurred on Thursday, May 14th. The stock was sold at an average price of $411.34, for a total transaction of $519,111.08. Following the transaction, the executive vice president directly owned 46,003 shares in the company, valued at approximately $18,922,874.02. This trade represents a 2.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold 23,762 shares of company stock worth $10,508,361 in the last three months. Corporate insiders own 0.03% of the company’s stock.

Microsoft Stock Performance Shares of Microsoft stock opened at $393.82 on Friday. The company has a quick ratio of 1.27, a current ratio of 1.28 and a debt-to-equity ratio of 0.08. The stock’s fifty day moving average is $400.28 and its two-hundred day moving average is $411.30. Microsoft Corporation has a 52 week low of $349.20 and a 52 week high of $555.45. The company has a market capitalization of $2.93 trillion, a PE ratio of 23.44, a price-to-earnings-growth ratio of 1.20 and a beta of 1.13.

Microsoft (NASDAQ:MSFT – Get Free Report) last released its earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share for the quarter, topping the consensus estimate of $4.06 by $0.21. The business had revenue of $82.89 billion during the quarter, compared to the consensus estimate of $81.44 billion. Microsoft had a return on equity of 31.94% and a net margin of 39.34%.The business’s revenue for the quarter was up 18.3% compared to the same quarter last year. During the same period last year, the company earned $3.46 earnings per share. As a group, analysts expect that Microsoft Corporation will post 16.71 earnings per share for the current year.

Microsoft Announces Dividend The business also recently disclosed a quarterly dividend, which will be paid on Thursday, September 10th. Shareholders of record on Thursday, August 20th will be given a $0.91 dividend. This represents a $3.64 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Thursday, August 20th. Microsoft’s payout ratio is 21.67%.

More Microsoft News Here are the key news stories impacting Microsoft this week:

Positive Sentiment: Microsoft is still getting support from Wall Street, with some analysts and portfolio managers reiterating buy ratings and arguing that Azure demand, Copilot adoption, and Microsoft 365 tailwinds can support long-term earnings power. Article: Josh Baer Reiterates Buy on Microsoft, Citing AI Leadership, Azure/M365 Budget Tailwinds and Underappreciated Earnings Power Positive Sentiment: A CIO survey and other commentary pointed to strong Azure demand at multi-year highs, reinforcing the view that Microsoft’s cloud and AI platform remains a core beneficiary of enterprise spending. Article: Microsoft (MSFT) Stock Surges on Strong Azure Demand in Latest CIO Survey Positive Sentiment: Microsoft also announced a multi-year AI infrastructure partnership with 3M, which investors viewed as another sign that its Azure ecosystem is expanding into real-world enterprise use cases. Article: Microsoft Stock Rebounds on 3M Optical Infrastructure Alliance Neutral Sentiment: Microsoft CEO Satya Nadella criticized Anthropic’s Fable restrictions and pushed for Microsoft to promote its own AI models more aggressively, highlighting the company’s effort to reduce reliance on outside AI vendors. Article: Microsoft’s Nadella rips Anthropic’s Fable restrictions in staff meeting: ‘Doesn’t make sense’ Neutral Sentiment: Reports that Microsoft is training its sales force to push in-house AI models over OpenAI, Google, and Anthropic suggest a strategic shift toward better control over costs and monetization, but the market is still waiting for proof that this approach boosts returns. Article: Microsoft is reportedly training salespeople to talk down OpenAI and Anthropic Negative Sentiment: Several reports said analysts trimmed price targets ahead of earnings, and commentary stressed that investors are increasingly worried Microsoft’s AI spending spree could pressure margins before the payoff becomes visible. Article: Why Microsoft Is Playing a Different AI Game Than Big Tech—and Cash Flow Is the Test Negative Sentiment: Microsoft is facing added overhang from securities class-action deadlines and allegations tied to Copilot and Azure disclosures, which can keep pressure on sentiment even though these developments are not operational. Article: MSFT UPCOMING DEADLINE : The Gross Law Firm Alerts Microsoft Corporation Stockholders of Securities Class Action Analyst Ratings Changes Several brokerages have recently issued reports on MSFT. BMO Capital Markets lifted their target price on Microsoft from $500.00 to $515.00 and gave the stock an “outperform” rating in a report on Tuesday, July 7th. Royal Bank Of Canada reissued a “buy” rating on shares of Microsoft in a research report on Friday, May 22nd. Benchmark restated a “buy” rating and issued a $525.00 price target (up from $450.00) on shares of Microsoft in a research report on Tuesday, April 28th. Wells Fargo & Company dropped their price objective on shares of Microsoft from $650.00 to $625.00 and set an “overweight” rating for the company in a research note on Wednesday. Finally, BNP Paribas Exane cut their price objective on shares of Microsoft from $556.00 to $555.00 and set an “outperform” rating on the stock in a research report on Friday, May 1st. Forty-one analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company’s stock. Based on data from MarketBeat, Microsoft has a consensus rating of “Moderate Buy” and a consensus price target of $557.96.

Check Out Our Latest Stock Analysis on Microsoft

About Microsoft (Free Report)

Microsoft Corporation is a global technology company headquartered in Redmond, Washington. Founded in 1975 by Bill Gates and Paul Allen, Microsoft develops, licenses and supports a broad range of software products, services and devices for consumers, enterprises and governments worldwide. Its operations span personal computing, productivity software, cloud infrastructure, enterprise applications, developer tools and gaming.

Microsoft’s product portfolio includes the Windows operating system and the Microsoft 365 suite of productivity and collaboration tools (Office apps, Outlook, Teams).

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Posted by Defense World Staff on Jul 19th, 2026

Collaborative Fund Advisors LLC bought a new stake in Microsoft Corporation (NASDAQ:MSFT – Free Report) during the 1st quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund bought 4,353 shares of the software giant’s stock, valued at approximately $1,611,000.

Other institutional investors and hedge funds have also recently modified their holdings of the company. Longfellow Investment Management Co. LLC raised its holdings in shares of Microsoft by 51.3% during the 2nd quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock valued at $29,000 after buying an additional 20 shares in the last quarter. Bernzott Capital Advisors bought a new position in shares of Microsoft in the 4th quarter worth approximately $34,000. Timmons Wealth Management LLC bought a new stake in Microsoft during the fourth quarter worth about $36,000. Fairway Wealth LLC boosted its holdings in Microsoft by 287.0% in the fourth quarter. Fairway Wealth LLC now owns 89 shares of the software giant’s stock worth $43,000 after acquiring an additional 66 shares in the last quarter. Finally, University of Illinois Foundation bought a new stake in shares of Microsoft during the second quarter valued at approximately $50,000. 71.13% of the stock is owned by hedge funds and other institutional investors.

Microsoft Stock Down 1.8% NASDAQ MSFT opened at $393.82 on Friday. The company has a debt-to-equity ratio of 0.08, a quick ratio of 1.27 and a current ratio of 1.28. The business has a fifty day moving average price of $400.28 and a 200 day moving average price of $411.30. Microsoft Corporation has a one year low of $349.20 and a one year high of $555.45. The company has a market cap of $2.93 trillion, a P/E ratio of 23.44, a P/E/G ratio of 1.20 and a beta of 1.13.

Microsoft (NASDAQ:MSFT – Get Free Report) last posted its quarterly earnings results on Wednesday, April 29th. The software giant reported $4.27 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $4.06 by $0.21. The business had revenue of $82.89 billion during the quarter, compared to analyst estimates of $81.44 billion. Microsoft had a return on equity of 31.94% and a net margin of 39.34%.The business’s revenue was up 18.3% compared to the same quarter last year. During the same period in the prior year, the business earned $3.46 earnings per share. Research analysts anticipate that Microsoft Corporation will post 16.71 EPS for the current fiscal year.

Microsoft Announces Dividend The firm also recently announced a quarterly dividend, which will be paid on Thursday, September 10th. Investors of record on Thursday, August 20th will be paid a dividend of $0.91 per share. This represents a $3.64 annualized dividend and a yield of 0.9%. The ex-dividend date of this dividend is Thursday, August 20th. Microsoft’s dividend payout ratio is presently 21.67%.

Analyst Upgrades and Downgrades MSFT has been the topic of several research analyst reports. President Capital increased their price target on Microsoft from $500.00 to $520.00 and gave the company a “buy” rating in a report on Thursday, April 30th. Piper Sandler reaffirmed an “overweight” rating on shares of Microsoft in a research note on Tuesday, May 26th. Dbs Bank decreased their price objective on shares of Microsoft from $678.00 to $573.00 in a research note on Thursday, May 7th. BNP Paribas Exane decreased their price target on shares of Microsoft from $556.00 to $555.00 and set an “outperform” rating for the company in a research note on Friday, May 1st. Finally, Stifel Nicolaus dropped their target price on Microsoft from $415.00 to $400.00 and set a “hold” rating on the stock in a research report on Thursday, June 25th. Forty-one investment analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. According to MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $557.96.

Get Our Latest Stock Analysis on Microsoft

Insider Buying and Selling at Microsoft In related news, CEO Judson Althoff sold 15,500 shares of the company’s stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $460.99, for a total transaction of $7,145,345.00. Following the sale, the chief executive officer directly owned 110,477 shares in the company, valued at approximately $50,928,792.23. This represents a 12.30% decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, EVP Amy Coleman sold 1,262 shares of the firm’s stock in a transaction on Thursday, May 14th. The shares were sold at an average price of $411.34, for a total value of $519,111.08. Following the completion of the sale, the executive vice president owned 46,003 shares in the company, valued at approximately $18,922,874.02. This represents a 2.67% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold 23,762 shares of company stock valued at $10,508,361 in the last quarter. Corporate insiders own 0.03% of the company’s stock.

Trending Headlines about Microsoft Here are the key news stories impacting Microsoft this week:

Positive Sentiment: Microsoft is still getting support from Wall Street, with some analysts and portfolio managers reiterating buy ratings and arguing that Azure demand, Copilot adoption, and Microsoft 365 tailwinds can support long-term earnings power. Article: Josh Baer Reiterates Buy on Microsoft, Citing AI Leadership, Azure/M365 Budget Tailwinds and Underappreciated Earnings Power Positive Sentiment: A CIO survey and other commentary pointed to strong Azure demand at multi-year highs, reinforcing the view that Microsoft’s cloud and AI platform remains a core beneficiary of enterprise spending. Article: Microsoft (MSFT) Stock Surges on Strong Azure Demand in Latest CIO Survey Positive Sentiment: Microsoft also announced a multi-year AI infrastructure partnership with 3M, which investors viewed as another sign that its Azure ecosystem is expanding into real-world enterprise use cases. Article: Microsoft Stock Rebounds on 3M Optical Infrastructure Alliance Neutral Sentiment: Microsoft CEO Satya Nadella criticized Anthropic’s Fable restrictions and pushed for Microsoft to promote its own AI models more aggressively, highlighting the company’s effort to reduce reliance on outside AI vendors. Article: Microsoft’s Nadella rips Anthropic’s Fable restrictions in staff meeting: ‘Doesn’t make sense’ Neutral Sentiment: Reports that Microsoft is training its sales force to push in-house AI models over OpenAI, Google, and Anthropic suggest a strategic shift toward better control over costs and monetization, but the market is still waiting for proof that this approach boosts returns. Article: Microsoft is reportedly training salespeople to talk down OpenAI and Anthropic Negative Sentiment: Several reports said analysts trimmed price targets ahead of earnings, and commentary stressed that investors are increasingly worried Microsoft’s AI spending spree could pressure margins before the payoff becomes visible. Article: Why Microsoft Is Playing a Different AI Game Than Big Tech—and Cash Flow Is the Test Negative Sentiment: Microsoft is facing added overhang from securities class-action deadlines and allegations tied to Copilot and Azure disclosures, which can keep pressure on sentiment even though these developments are not operational. Article: MSFT UPCOMING DEADLINE : The Gross Law Firm Alerts Microsoft Corporation Stockholders of Securities Class Action About Microsoft (Free Report)

Microsoft Corporation is a global technology company headquartered in Redmond, Washington. Founded in 1975 by Bill Gates and Paul Allen, Microsoft develops, licenses and supports a broad range of software products, services and devices for consumers, enterprises and governments worldwide. Its operations span personal computing, productivity software, cloud infrastructure, enterprise applications, developer tools and gaming.

Microsoft’s product portfolio includes the Windows operating system and the Microsoft 365 suite of productivity and collaboration tools (Office apps, Outlook, Teams).

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New York, New York--(Newsfile Corp. - July 18, 2026) - WHY: Rosen Law Firm, a global investor rights law firm, reminds purchasers of common stock of Microsoft Corporation (NASDAQ: MSFT) between May 1, 2025 and January 28, 2026, inclusive (the "Class Period"), of the important August 11, 2026 lead plaintiff deadline.

SO WHAT: If you purchased Microsoft common stock during the Class Period you may be entitled to compensation without payment of any out of pocket fees or costs through a contingency fee arrangement.

WHAT TO DO NEXT: To join the Microsoft class action, go to https://rosenlegal.com/cases/microsoft-corporation/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action. A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than August 11, 2026. A lead plaintiff is a representative party acting on behalf of other class members in directing the litigation.

WHY ROSEN LAW: We encourage investors to select qualified counsel with a track record of success in leadership roles. Often, firms issuing notices do not have comparable experience, resources, or any meaningful peer recognition. Many of these firms do not actually handle securities class actions, but are merely middlemen that refer clients or partner with law firms that actually litigate the cases. Be wise in selecting counsel. The Rosen Law Firm represents investors throughout the globe, concentrating its practice in securities class actions and shareholder derivative litigation. Rosen Law Firm has achieved the largest ever securities class action settlement against a Chinese Company. Rosen Law Firm was Ranked No. 1 by ISS Securities Class Action Services for number of securities class action settlements in 2017. The firm has been ranked in the top 4 each year since 2013 and has recovered billions of dollars for investors. In 2019 alone the firm secured over $438 million for investors. In 2020, founding partner Laurence Rosen was named by law360 as a Titan of Plaintiffs' Bar. Many of the firm's attorneys have been recognized by Lawdragon and Super Lawyers.

DETAILS OF THE CASE: According to the lawsuit, throughout the Class Period, defendants made false and/or misleading statements and/or failed to disclose that: (1) Microsoft's Copilot family of products had experienced significant brand positioning, user experience, usage, data siloing, computational capacity, organizational, and interoperability problems; (2) Microsoft's flagship proprietary AI model ranked well below competitors on a number of benchmark tests; (3) Microsoft needed to increase by billions of dollars its capital expenditures and divert graphics processing unit ("GPU") and central processing unit ("CPU") capacity away from fulfilling demand for its profitable Azure services in order to improve the competitive positioning of its critical Copilot family of products and increase its AI-related research and development ("R&D"); and (4) as a result, Microsoft had failed to convert a significant percentage of its commercial Microsoft 365 users to paid Copilot subscriptions and Microsoft's Copilot offerings had lost market share to rival products, a trend that was increasing. When the true details entered the market, the lawsuit claims that investors suffered damages.

To join the Microsoft class action, go to https://rosenlegal.com/cases/microsoft-corporation/join or call Phillip Kim, Esq. toll-free at 866-767-3653 or email [email protected] for information on the class action.

No Class Has Been Certified. Until a class is certified, you are not represented by counsel unless you retain one. You may select counsel of your choice. You may also remain an absent class member and do nothing at this point. An investor's ability to share in any potential future recovery is not dependent upon serving as lead plaintiff.

Follow us for updates on LinkedIn: https://www.linkedin.com/company/the-rosen-law-firm, on Twitter: https://twitter.com/rosen_firm or on Facebook: https://www.facebook.com/rosenlawfirm/.

Attorney Advertising. Prior results do not guarantee a similar outcome.

-------------------------------

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/305695

Source: The Rosen Law Firm PA

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Microsoft Investigation Initiated: Kahn Swick and Foti, LLC Investigates the Officers and Directors of Microsoft Corporation - MSFT

Microsoft (MSFT 1.67%) shares are trading at their cheapest valuation in years.

*Stock prices used were the afternoon prices of July 15, 2026. The video was published on July 17, 2026.

Parkev Tatevosian, CFA has positions in Microsoft. The Motley Fool has positions in and recommends Microsoft. The Motley Fool has a disclosure policy. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

Microsoft NASDAQ:MSFT shares fell 1.5% on Friday, extending a difficult year for the software giant as investors continued to weigh heavy artificial intelligence spending against the company's long-term growth prospects.

The stock has declined more than 20% in 2026 and nearly 23% over the past year, even as Microsoft has continued investing aggressively in AI infrastructure and Azure cloud services.

Several Wall Street firms revised their price targets this week ahead of Microsoft's fiscal fourth-quarter earnings report on July 29, while largely maintaining bullish ratings on the stock.

Wall Street lowers targets but maintains bullish ratingsCiti reduced its price target on Microsoft to $570 from $620 while maintaining a Buy rating.

According to reports, the firm said the lower target reflected broader valuation compression across software stocks rather than any deterioration in Microsoft's business fundamentals.

The bank said its channel checks remained positive, highlighting healthy adoption of Microsoft 365 Copilot and the company's positioning as enterprises increasingly optimize AI spending.

Citi expects Microsoft to deliver a strong fiscal fourth-quarter report but believes investors will focus closely on management's outlook for fiscal 2027, particularly regarding operating margins and capital expenditure.

Other brokerages also adjusted their targets.

Mizuho analyst Gregg Moskowitz lowered his price target to $490 from $515 while maintaining an Outperform rating.

"SaaS (software-as-a-service) continues to be resilient, although multiples continue to be plagued by investor concerns about AI-led disruption," Moskowitz said in a research report on software stocks.

He added that Microsoft continues to see improvement in its Azure cloud computing and Microsoft 365 Copilot businesses despite broader concerns surrounding AI-native competitors and infrastructure spending.

Wells Fargo also lowered its price target to $625 from $650 while maintaining its Overweight rating, citing questions around cloud market share and the pace of capital expenditure.

Evercore ISI moved in the opposite direction, raising its price target to $525 from $510 while maintaining an Outperform rating.

Microsoft is scheduled to report fiscal fourth-quarter results after the market closes on July 29.

Consensus estimates compiled by Fiscal AI and Koyfin call for earnings of $4.24 per share on revenue of $86.66 billion.

Analysts expect Azure growth and operating margin guidance to be the primary focus during the earnings release.

While Citi expects the fourth-quarter results to be solid, the firm believes management's commentary on fiscal 2027 could prove more important for investors as Microsoft continues expanding its AI infrastructure.

Heavy AI investments remain under scrutinyMicrosoft's aggressive capital spending remains one of the biggest concerns for investors.

The company spent $30.88 billion on capital expenditures during its fiscal third quarter, up 84.4% from a year earlier.

According to Forbes estimates, Microsoft's total fiscal 2026 capital expenditure could reach approximately $190 billion as the company continues investing in AI data centers, Azure infrastructure and computing capacity.

The elevated spending has pressured margins and free cash flow, contributing to the stock's underperformance despite continued business growth.

At the same time, analysts note that enterprise demand for AI remains healthy.

Bernstein's mid-year CIO survey pointed to strong IT budget growth in 2026, supporting Azure demand, although investors continue to monitor whether Microsoft can translate that investment into market share gains and stronger financial returns.

STAMFORD, Conn.--(BUSINESS WIRE)---- $III #Azure--Firms in the U.S. are integrating Microsoft AI and cloud capabilities into AI-native operating models that improve enterprise performance, ISG says.

Microsoft Corp (NASDAQ:MSFT) CEO Satya Nadella criticized Anthropic's Fable 5 model in an internal meeting with Copilot engineers, saying the AI's refusal of certain requests feels "editorially controlled" and "doesn't make sense," CNBC reported.

"If you use Fable, when it refuses for any random thing, it just is like, when was the last time you had a creation tool that was so editorially controlled?" Nadella told the engineers. "It doesn't make sense."

Nadella also weighed in on the broader question of AI concentration, arguing against a market dominated by a small number of players. "It can't be that there are only two companies in the world with token capital, and everybody else is renting it," he said.

Anthropic restored access to Fable on July 1 after suspending the model to comply with a U.S. government export control directive. The company said at the time that the updated safeguards would flag a somewhat higher share of harmless requests than the previous version had. A support page indicates that queries touching on certain elements of large-scale model development, among other subjects, may be handled by an earlier version of Fable rather than the current one.

Microsoft has committed $5 billion to Anthropic, while Anthropic has pledged to direct $30 billion toward Microsoft's Azure cloud platform. Microsoft also launched Copilot Cowork this year, a workplace productivity offering built around Anthropic's technology.

Microsoft shares were down 2% in early Friday trading.