Microsoft rises as cloud growth outlook eases spending fears
Yesterday 08:23
BUZZ-Microsoft rises as cloud growth outlook eases spending fears ** Microsoft MSFT.O shares up more than 4% in premarket trading after co forecast strong cloud growth and its free cash flow beat expectations, easing concerns over AI spending
** Fiscal Q1 free cash flow reached $18.6 bln vs Visible Alpha estimate of $8.54 bln, providing financial headroom for co's hefty AI investments
** Co sees Q2 Azure revenue growth of 49%-50% vs 47.6% expected, per Visible Alpha; total sales forecast of $96 bln-$97.1 bln tops $95.6 bln estimate, per LSEG data
** "MSFT is offering the best of both worlds: better growth from AI but without the high debt burden risk" said analysts at Barclays
** MSFT has advanced 9.8% YTD vs Nasdaq .IXIC's 14.2%
(Reporting by Rashika Singh in Bengaluru)
Recent news on Microsoft
See all newsUS stocks weekly: Spooky
October ends with a thud for Intel, Reddit, AI stalwarts
Refile: GRAPHIC-Nasdaq faces $2 trillion wipeout in October as AI spending fears deepen
Brief: The Estée Lauder Companies And Microsoft Announce A New Strategic Partnership To Power Enterprise Efficiency And Consumer-Centric Growth
Graphic: Investors pull money from US equity funds ahead of earnings reports from AI hyperscalers