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Microsoft to Report Earnings with Positive Analyst Ratings

Microsoft is expected to announce strong fiscal fourth-quarter earnings after the market close.

July 28, 2025 at 08:47 PM

What Analysts Think of Microsoft Stock Ahead of Earnings

Microsoft is poised to report its fiscal fourth-quarter earnings with strong analyst support.

Strong Analyst Sentiment Surrounds Microsoft Ahead of Earnings

Microsoft is set to announce its fiscal fourth-quarter earnings on Wednesday, and analysts show overwhelming confidence in the tech giant. All 20 analysts monitored by Visible Alpha have assigned a 'buy' rating or equivalent to Microsoft stock, which recently hit a record high. The consensus price target of around $580 represents a 13% upside from its Monday closing price. With revenue expectations reaching $73.86 billion and net income predicted at $25.27 billion, Wall Street eagerly awaits insights on Microsoft's future spending on artificial intelligence for fiscal year 2026. Notably, firms like Wedbush and Citi have elevated their price targets to $600 and $613 respectively, underscoring Microsoft's strong position in the enterprise software market.

Key Takeaways

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All analysts have a 'buy' rating for Microsoft stock.

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The stock closed last week at a record high of $513.71.

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Expected revenue growth of 14% year-over-year to $73.86 billion.

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Analysts predict net income of $25.27 billion for the quarter.

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Microsoft's AI initiatives are driving increased investment and interest.

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Wall Street is keen to hear about AI spending plans for fiscal year 2026.

"Microsoft has pricing and margin power that is nearly unmatched in enterprise software."

Citi's analysts emphasize Microsoft's competitive advantage in the software market.

"The company is just hitting its next phase of monetization on the AI front."

Wedbush suggests that Microsoft's AI initiatives will drive significant revenue growth.

The bullish outlook on Microsoft stock reflects strong market confidence and highlights the company's ongoing commitment to innovation, specifically in artificial intelligence. Analysts believe that Microsoft's integration of AI into its products, including the Copilot chatbot and Azure cloud computing platform, marks a significant phase in its growth strategy. This positioning might not only enhance revenue but also strengthen Microsoft's competitive edge against tech giants like Google and Amazon. However, the company's ambitious capital expenditure plans raise questions about potential impacts on its financial health amid rising costs.