15 Stocks on Jim Cramer’s Radar

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12. Microsoft Corporation (NASDAQ:MSFT)

Number of Hedge Fund Holdings: 312

Microsoft Corporation (NASDAQ:MSFT)’s shares are up by 7.3% over the past year. Goldman Sachs kept a $655 share price target and a Buy rating on the shares in January. As part of its coverage, the investment bank discussed the impact of AI data center power usage on Microsoft Corporation (NASDAQ:MSFT)’s cash flow. It pointed out that the technology company could experience a 10% growth in power costs could affect the free cash flow margin by 16 basis points. Goldman added that while Microsoft Corporation (NASDAQ:MSFT) might enter into agreements to secure power in advance, it could struggle to recoup the money spent in these agreements in case its AI revenue isn’t impressive. Morgan Stanley kept an Overweight rating and a $650 share price target in January as it cited a survey to comment that software spending could increase in 2026. Cramer mentioned Microsoft Corporation (NASDAQ:MSFT)’s CEO, Satya Nadella, and AI spending:

“Then I wanna take numbers up Meta because they are the ones that are committed to spending the most, I might take numbers up Microsoft. . .

“Microsoft we’re suddenly uncertain. I don’t want to ever count out Nadella, that’s foolish.”

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