Microsoft Corporation (MSFT)’s Inner Loch Ness Monstrosity Is On A Stroll In the Clouds

 Microsoft Corporation (NASDAQ:MSFT)‘s CEO, Satya Nadella has finally helped the company grow back its long neck, resembling a Loch Ness monster. Using the long neck, the software company can now see far into the future, and help in maneuvering this behemoth of a company with a market cap of nearly $370 billion. An article on CNBC by Ari Levy focused on the path that the company will take, with its new found farsightedness.

Its only one thing that it sees, Clouds. However, it is not a plural and doesn’t exist in the skies, not literally at least. Microsoft Corporation (NASDAQ:MSFT) is finally heading in the right direction of cloud computing. It is still not clear how much damage has already been done by the nearsightedness of Microsoft’s ex-CEO, Steve Ballmer, who refused to venture on this road. It’s a bit early to say, but hopefully the sun will shine for the company through its clouds.

In a way, it can be said that the cloud business, which currently contributes about 5% to the company’s top line is the antidote for the Microsoft Corporation (NASDAQ:MSFT)’s  ageing software licensing operations. It was a fatal disease that the company was suffering from, which is evidenced by the decline in earnings that the software company is expected to post in its first quarter earnings tonight.

According to the article, Microsoft Corporation (NASDAQ:MSFT) is expected to post a 20% decline in earnings form a net income of 5.2 billion, 62 cents per share, a year earlier to $4.1 billion , or 50 cents per share. The drop in income is primarily due to the rising sales and marketing costs.

To Microsoft Corporation (NASDAQ:MSFT)’s Satya Nadella these numbers mean little, as he seems sure that his company’s cloud services, which include Office 365 Web-based tools and Microsoft Azure will one day conquer the skies, once again.

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