In this piece, we will discuss Bill Gates’s Stock Portfolio: Top 15 Stock Picks.
Bill Gates’s disciplined and long-term investment philosophy is reflected in the investment strategy of the Bill & Melinda Gates Foundation Trust, which manages the endowment supporting one of the world’s largest philanthropic organizations. Overseen by Chief Investment Officer Michael Larson since 1994, the trust boasts over $47.7 billion in investments, according to the Q2 2025 13F filing. The fund’s portfolio, highly concentrated in stable, blue-chip stocks, is led by Microsoft, Berkshire Hathaway, and Waste Management Inc.. The three leading stocks account for 27.27%, 24.53%, and 15.44% of total holdings, respectively. Representing over half of the portfolio, these three top positions reflect the trust’s focus on quality, resilience, and sustainable returns.
Meanwhile, Bill Gates appeared in an interview with CNBC on October 28, where he shared his broader outlook on the AI boom. He compared AI’s rise to the early internet era, which initially featured hype and speculation but ultimately led to lasting innovation. He highlighted the technology’s massive long-term potential in several areas, including healthcare, education, and science. At the same time, he noted that this boom will feature many ventures that may fail. Thus, he expressed balanced optimism toward AI while acknowledging its societal and infrastructural challenges. This stance reflects his thoughtful approach, which is rooted in innovation, sustainability, and long-term value creation.
With this background in mind, let’s jump to the top 15 stock picks in Bill Gates’s stock portfolio.
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Our Methodology
To curate the list of the top 15 stock picks from Bill Gates’s stock portfolio, we scanned The Bill & Melinda Gates Foundation Trust’s holdings using its 13F filings for the second quarter of 2025. We ranked the stocks based on the value of the trust’s holdings in each stock as of the end of the quarter. Furthermore, we considered the hedge fund sentiment surrounding each stock, using Insider Monkey’s hedge fund database, which tracks over 1,000 hedge funds. The list of top 15 stock picks from Bill Gates’s stock portfolio is presented in ascending order based on Bill Gates’s stake.
We have added the performance of each stock from the end of Q2 2025 to November 3, providing readers with insight into how Bill Gates’s portfolio picks have played out during this period.
Why are we interested in the stocks that hedge funds pile into? The reason is simple: our research has shown that we can outperform the market by imitating the top stock picks of the best hedge funds. Our quarterly newsletter’s strategy selects 14 small-cap and large-cap stocks every quarter and has returned 427.7% since May 2014, beating its benchmark by 264 percentage points (see more details here).
Bill Gates’s Stock Portfolio: Top 15 Stock Picks
15. Madison Square Garden Sports Corp. (NYSE:MSGS)
Bill Gates’s Stake: $123,783,234
Number of Hedge Fund Holders: 50
Share Price Return Between July 1 and November 3: 5.82%
Representing 0.26% of Bill Gates’s stock portfolio, Madison Square Garden Sports Corp. (NYSE:MSGS) is one of his top 15 stock picks.
Madison Square Garden Sports Corp. (NYSE:MSGS) announced results for Q1 fiscal 2026 on October 31, 2025.
Off to a challenging start to fiscal 2026, Madison Square Garden Sports Corp. (NYSE:MSGS) reported $39.5 million in revenue, a 26% year-over-year decrease. The decline was led by an $11.4 million drop in league distributions, alongside a $2.3 million decrease in local media rights fees following amendments to the Knicks’ and Rangers’ agreements with MSG Networks, a regional cable and satellite television network.
Weaker top-line results and higher administrative expenses resulted in an adjusted operating loss of $20.8 million, which was $18.5 million worse than the loss reported in the same period last year. Driven by increased lease, employee, and service-related expenses, Madison Square Garden Sports Corp. (NYSE:MSGS)’s selling, general, and administrative costs increased by 10% to $57.8 million. The company reported diluted loss per common share of $0.37.
While acknowledging short-term financial pressures, Madison Square Garden Sports Corp. (NYSE:MSGS)’s CEO James L. Dolan emphasized the continued strong demand for the Knicks and Rangers. His commentary also reflected confidence in the long-term value of MSG Sports’ premier franchises and its potential to create value for shareholders in the long term.
Madison Square Garden Sports Corp. (NYSE: MSGS) is focused on owning and operating professional sports franchises, including the New York Knicks (NBA) and the New York Rangers (NHL). It also owns and operates development league teams, alongside training facilities.
14. Schrödinger, Inc. (NASDAQ:SDGR)
Bill Gates’s Stake: $140,471,080
Number of Hedge Fund Holders: 25
Share Price Return Between July 1 and November 3: -0.29%
Schrödinger, Inc. (NASDAQ:SDGR), which accounts for 0.29% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
Schrödinger, Inc. (NASDAQ:SDGR) and Copernic Catalysts announced on October 30, 2025, that they have surpassed the final technical milestone for Neptune, their jointly developed ammonia synthesis catalyst.
The breakthrough catalyst, designed to operate under milder conditions, achieved more than twice the ammonia yield of other similar technologies under real-world reactor conditions. Furthermore, industrial ammonia plant capacity could be boosted by up to 47%, potentially generating $110 million in annual profits per plant and reducing energy consumption by 23%. Following this achievement, Schrödinger, Inc. (NASDAQ:SDGR), alongside Copernic, plans to collaborate on a selective ethylene oxide catalyst. With this, they aim to reduce emissions and improve yield in large-scale chemical production.
Meanwhile, on October 8, 2025, KeyBanc reiterated its “Overweight” rating on Schrödinger, Inc., but reduced its price target from $30 to $28, according to The Fly. While noting mixed trends in healthcare IT spending, the investment firm expressed confidence in platforms demonstrating strong ROI, an aspect that is clearly reflected in the company’s computational tools.
Schrödinger, Inc. (NASDAQ:SDGR) accelerates molecular discovery for the life sciences and materials science industries by developing physics-based computational software.
13. Crown Castle Inc. (NYSE:CCI)
Bill Gates’s Stake: $145,883,997
Number of Hedge Fund Holders: 49
Share Price Return Between July 1 and November 3: -13.69%
Representing 0.31% of Bill Gates’s stock portfolio, Crown Castle Inc. (NYSE:CCI) is one of his top 15 stock picks.
On October 23, 2025, BMO Capital’s Ari Klein reiterated his “Buy” rating on Crown Castle Inc. (NYSE:CCI) with a $114 price target. Alongside the company’s strong performance in the third quarter, the analyst cited the company’s strategic execution, margin expansion potential, and transition to a U.S. tower pure-play as key growth drivers. The analyst also highlighted the raised 2025 guidance, which reflects confidence in continued revenue growth and margin expansion.
In its earnings release announced the day before, Crown Castle Inc. (NYSE:CCI) reported $323 million in net income, which is an increase from $303 million in the previous year. This comes despite the 5.1% decline in site rental revenue due to Sprint cancellations and amortization impacts. Meanwhile, $718 million was reported in adjusted EBITDA, alongside AFFO per share of $1.12. The 2025 guidance featured higher straight-line revenues, lower operating costs, and reduced interest expenses, driving expectations for increased profitability.
Crown Castle Inc. (NYSE:CCI) is focused on owning, operating, and leasing approximately 40,000 cell towers and 90,000 route miles of fiber, supporting small cells and broadband connectivity across the U.S.
12. Coupang, Inc. (NYSE:CPNG)
Bill Gates’s Stake: $277,071,428
Number of Hedge Fund Holders: 82
Share Price Return Between July 1 and November 3: 6.85%
Coupang, Inc. (NYSE:CPNG), which accounts for 0.58% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
On November 4, 2025, Coupang, Inc. (NYSE:CPNG) reported its Q3 2025 results.
The company surpassed analyst expectations with earnings per share of $0.05, versus forecasts of $0.04. This marks a 25% upside surprise. This was supported by an 18% YoY increase in revenue to $9.27 billion, which also topped estimates. Top-line growth was driven by Coupang, Inc. (NYSE:CPNG)’s Product Commerce and Developing Offerings segments, alongside a 10% increase in active customers. Meanwhile, gross profit rose 20% to $2.7 billion, and adjusted EBITDA reached $413 million.
However, with investors weighing the sustainability of growth amid macroeconomic headwinds, Coupang, Inc. (NYSE:CPNG)’s shares fell 2.26% in after-hours trading. Looking ahead, the company’s management reaffirmed 20% net revenue growth guidance for the full year, citing ongoing investment in AI-driven logistics and expansion in Taiwan.
With the Coupang, Eats, Play, Rocket Now, and Farfetch brands, Coupang Inc. (NYSE:CPNG), a technology company, offers retail, restaurant delivery, video streaming, and fintech services to customers worldwide.
11. Waste Connections, Inc. (NYSE:WCN)
Bill Gates’s Stake: $401,293,956
Number of Hedge Fund Holders: 43
Share Price Return Between July 1 and November 3: -10.82%
Representing 0.84% of Bill Gates’s stock portfolio, Waste Connections, Inc. (NYSE:WCN) is one of his top 15 stock picks.
On October 23, 2025, UBS increased its price target on Waste Connections, Inc. (NYSE:WCN) from $190 to $195, reiterating its “Neutral” rating.
While adjusting its 2025-2027 annual adjusted EBITDA forecasts to $3.12 billion, $3.36 billion, and $3.70 billion, respectively, UBS attributed its upward revision to Waste Connections, Inc. (NYSE:WCN)’s steady execution and resilient fundamentals following its Q3 results. With smaller operators facing economic pressures that may unlock attractive acquisition targets, the investment firm pointed toward potential upside from incremental M&A activity.
In its Q3 2025 results, Waste Connections Inc. (NYSE:WCN) reported revenue of $2.46 billion, which was an increase from $2.34 billion a year earlier. With adjusted EBITDA rising to $830.3 million, the company believed it was in line with its 2025 guidance, signaling consistency and disciplined cost management.
Operating across the U.S. and Canada, Waste Connections, Inc. (NYSE:WCN) offers non-hazardous waste collection, transfer, and disposal services.
10. FedEx Corporation (NYSE:FDX)
Bill Gates’s Stake: $576,085,826
Number of Hedge Fund Holders: 67
Share Price Return Between July 1 and November 3: 7.96%
FedEx Corporation (NYSE:FDX), which accounts for 1.21% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
On October 23, 2025, FedEx Corporation (NYSE:FDX) unveiled its annual Global Economic Impact Report.
In its report, FedEx Corporation (NYSE:FDX) reported a $126 billion direct and indirect impact on the global economy, highlighting its influence across various industries and regions. The company’s CEO, Raj Subramaniam, hailed the company’s 50-year legacy of connecting communities through innovation and resilience amid evolving global supply chains. Furthermore, the company expanded AI-driven customs brokerage tools by enhancing its global network through optimization of surface and air operations. Additionally, it supported small businesses, with 90% of its suppliers being small- and medium-sized enterprises.
FedEx Corporation (NYSE:FDX) also launched its first major sustainable aviation fuel (SAF) deployment in the U.S. and invested in renewable energy and electric fleets, making strides toward achieving carbon neutrality by 2040. The company also reinforced its social commitment, with FedEx Cares contributing $55.5 million to global nonprofits and logging over 81,000 volunteer hours.
As a vote of confidence, Stephanie Moore, an analyst from Jefferies, reiterated a Buy rating on the stock on October 30, with an unchanged price target of $280.
Operating across more than 220 countries, FedEx Corporation (NYSE:FDX) delivers global transportation, e-commerce, and logistics solutions with the help of its integrated delivery network.
9. Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF)
Bill Gates’s Stake: $601,149,769
Number of Hedge Fund Holders: 10
Share Price Return Between July 1 and November 3: -9.57%
Representing 1.26% of Bill Gates’s stock portfolio, Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF) is one of his top 15 stock picks.
On October 24, 2025, Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF) reported its Q3 results.
The company surpassed analyst estimates, reporting an EPS (per ADS) of MXN 28.07, compared to the consensus estimate of MXN 27.60. With resilient demand in South America offsetting soft conditions in Mexico, the company reported strong operational performance marked by cost controls and productivity gains.
Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF) recorded a 3.3% YoY growth in total revenue, bringing it to MXN 71.9 billion. Meanwhile, operating income rose 6.8% to MXN 10.3 billion, and margins expanded 50 basis points to 14.3%. Moreover, the company noted a 3.7% growth in adjusted EBITDA.
Weaker consumer spending and pending excise tax hikes resulted in a 3.7% decline in volumes in Mexico, compared to 2.6% volume growth in South America, which was driven by Brazil’s strong performance and the success of Coca-Cola Zero. With affordability initiatives, digital rollouts like Juntos+ Advisor, and disciplined commodity hedging, Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF)’s management aims to offset tax and cost pressures, positioning itself for long-term growth amid macro volatility.
Coca-Cola FEMSA, S.A.B. de C.V. (NYSE:KOF), the largest Coca-Cola franchise bottler in the world by sales volume, produces and distributes beverages for The Coca-Cola Company.
8. Walmart Inc. (NYSE:WMT)
Bill Gates’s Stake: $888,866,841
Number of Hedge Fund Holders: 105
Share Price Return Between July 1 and November 3: 3.41%
Walmart Inc. (NYSE:WMT), which accounts for 1.86% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
On October 29, 2025, RBC Capital’s Steven Shemesh raised his price target on Walmart Inc. (NYSE:WMT) from $106 to $116, reiterating his “Outperform” rating, The Fly reported.
This price revision follows investor meetings with Walmart Inc.’s (NYSE:WMT) IR team. The analyst expressed confidence in the company’s leadership position, pricing discipline, and long-term earnings growth potential. Furthermore, Shemesh cited the company’s growing focus on AI-driven efficiencies through its partnership with OpenAI and digital initiatives such as Snap benefits integration. Discussions with management also highlighted consumer health trends and inflation dynamics.
Meanwhile, on the same day, Eli Lilly announced its partnership with Walmart Inc. (NYSE:WMT). With this partnership, the healthcare company will offer its popular weight-loss drug Zepbound at Walmart pharmacies across the U.S. through LillyDirect. Through this collaboration, Walmart looks to deepen its push into the health and wellness sector. Walmart entered the sector in 2019 when it unveiled its first health center.
With its retail stores, eCommerce platforms, and membership clubs, Walmart Inc. (NYSE:WMT) offers groceries, consumer goods, financial services, and health and wellness products.
7. Ecolab Inc. (NYSE:ECL)
Bill Gates’s Stake: $1,405,949,775
Number of Hedge Fund Holders: 59
Share Price Return Between July 1 and November 3: -5.56%
Representing 2.94% of Bill Gates’s stock portfolio, Ecolab Inc. (NYSE:ECL) is one of his top 15 stock picks.
On October 30, 2025, BMO Capital reiterated its “Outperform” rating on Ecolab Inc. (NYSE:ECL), while reducing its price target from $310 to $307.
The investment firm cited a 7% pullback in Ecolab Inc. (NYSE:ECL) shares over the period from October 27 to 29. The firm believes the decline means the creation of a compelling entry point, particularly as the company looks well-positioned to achieve its 12%-15% EPS growth target for 2025. Furthermore, the stock’s valuation multiple is near decade-long lows in comparison to the S&P 500. This may result in shares rebounding toward their updated target, BMO Capital noted.
Meanwhile, just two days earlier, Ecolab Inc. (NYSE:ECL) reported Q3 2025 results. Thanks to accelerating pricing, modest volume gains, and a 110-basis-point organic operating margin expansion, the quarter marked 13% adjusted EPS growth, taking it to $2.07. The company reported strength across Institutional & Specialty, Pest Elimination, and Life Sciences segments, which offset weaknesses in certain industrial end markets. Accordingly, Ecolab tightened its 2025 adjusted EPS guidance to $7.48-$7.58.
Ecolab Inc. (NYSE:ECL), a global leader in sustainability, delivers water, hygiene, and infection prevention solutions to protect people, food, and vital resources in 170 countries.
6. Deere & Company (NYSE:DE)
Bill Gates’s Stake: $1,808,891,139
Number of Hedge Fund Holders: 59
Share Price Return Between July 1 and November 3: -9.13%
Deere & Company (NYSE:DE), which accounts for 3.79% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
On October 28, 2025, UBS reaffirmed its “Buy” rating on Deere & Company (NYSE:DE) with a $535 price target.
Following meetings with management, UBS signaled confidence amid a challenging environment. Due to multiple uncertainties, particularly delays in new equipment orders by farmers, Deere & Company (NYSE:DE) sees a “wide range of possible outcomes” for North American large agriculture trends in 2026. Short-term sales volumes may get hampered, as the company looks to prioritize used inventory reductions by limiting new sales.
Meanwhile, this followed Deere & Company’s (NYSE: DE) weaker fiscal Q3 results in August, where sales and net income declined due to lower crop prices and macroeconomic pressures. Both of the company’s segments, Production & Precision Agriculture and Small Agriculture & Turf, experienced a decline in sales due to lower shipment volumes.
Looking ahead, the trend is expected to persist amid macroeconomic uncertainties. Although UBS believes a potential soybean trade deal could boost farmer confidence, it remains “too early to call.” Deere & Company’s (NYSE:DE) 2026 guidance is expected to reflect a lean start, according to UBS.
Deere & Company (NYSE:DE) is focused on the manufacturing and distribution of agricultural, construction, and forestry equipment.
5. Caterpillar Inc. (NYSE:CAT)
Bill Gates’s Stake: $2,854,746,491
Number of Hedge Fund Holders: 76
Share Price Return Between July 1 and November 3: 45.96%
Representing 5.97% of Bill Gates’s stock portfolio, Caterpillar Inc. (NYSE:CAT) is one of his top 15 stock picks.
On November 3, 2025, DA Davidson increased its price target on Caterpillar Inc. (NYSE:CAT) from $408 to $569, while keeping a “Neutral” rating, The Fly reported.
The investment firm’s raised target reflects the company’s strong Q3 results. The firm’s optimism stems from management’s upbeat tone, which is driven by strong demand in the Energy & Transportation (E&T) segment, particularly from AI-driven data center expansion. DA Davidson noted that margins are expected to come in at the top of Caterpillar Inc.’s (NYSE:CAT) guidance range. This excludes any tariff-related impact.
Earlier, on October 29, 2025, Caterpillar Inc. (NYSE:CAT) reported an earnings beat, sending its shares soaring by 12%. Particularly, its E&T segment delivered a 17% sales growth to $7.2 billion, thanks to rising power-generation demand from data centers and government-backed energy projects. The company surpassed analysts’ earnings forecasts with adjusted earnings per share of $4.95, compared to the $4.52 consensus.
Looking ahead, Caterpillar Inc. (NYSE:CAT) expects tariff headwinds of up to $1.75 billion this year. Nevertheless, its construction and resource segments are expected to remain solid contributors to growth, according to Reuters.
Caterpillar Inc. (NYSE:CAT) is a global manufacturer of construction, mining, and energy equipment and engines.
4. Canadian National Railway Company (NYSE:CNI)
Bill Gates’s Stake: $5,704,178,815
Number of Hedge Fund Holders: 43
Share Price Return Between July 1 and November 3: -8.92%
Canadian National Railway Company (NYSE:CNI), which accounts for 11.94% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
On November 3, 2025, Evercore ISI lifted its price target on Canadian National Railway Company (NYSE:CNI) from $98 to $103, while keeping an “In Line” rating, The Fly reported.
The raised target stems from the company’s demonstration of resilience amid a challenging freight environment in Q3. The investment firm cited the company’s recent earnings beat as evidence of its effective cost management and productivity gains. Evercore ISI believes that Canadian National Railway Company (NYSE:CNI) is successfully tackling volume headwinds with the help of disciplined operations and efficiency initiatives.
Earlier, on October 31, Canadian National Railway Company (NYSE:CNI) reported Q3 2025 results, marked by 1% YoY growth in revenue ($2.95 billion) and 5% growth in net income ($0.81 billion). Meanwhile, a 170-basis-point improvement in the operating ratio resulted in a 6% increase in diluted EPS to $1.30. The company also noted improvements in operational metrics, such as car velocity and train speed, driving fuel efficiency up by 2%.
Looking ahead, Canadian National Railway Company (NYSE:CNI) reiterated its 2025 guidance for mid-to-high single-digit adjusted EPS growth.
Across Canada and the U.S., Canadian National Railway Company (NYSE:CNI) transports freight including chemicals, petroleum, grain, forest products, and automotive goods.
3. Waste Management, Inc. (NYSE:WM)
Bill Gates’s Stake: $7,375,862,594
Number of Hedge Fund Holders: 75
Share Price Return Between July 1 and November 3: -14.00%
Representing 15.44% of Bill Gates’s stock portfolio, Waste Management, Inc. (NYSE:WM) is one of his top 15 stock picks.
On October 29, 2025, The Fly reported that CIBC reduced its price target on Waste Management, Inc. (NYSE:WM) from $235 to $231, while keeping a “Neutral” rating. While pointing toward the company’s Q3 2025 results, the investment firm highlighted strong structural tailwinds, while noting that consistent revenue growth will be required to reflect long-term earnings potential from the Stericycle acquisition. The company acquired Stericycle in 2024, which delivers compliance-based solutions that protect people and brands while promoting health, safety, and environmental sustainability.
Meanwhile, Waste Management, Inc. (NYSE:WM) reported its Q3 2025 results just two days earlier. Demonstrating solid momentum in its legacy segment, Collection and Disposal revenue was boosted, thanks to 6% core pricing and steady industrial volumes. At the same time, cost discipline enhanced operating margins by 160 basis points. Despite revenue being hampered by lower recycled commodity prices, free cash flow for the first nine months of the year climbed 13.5% YoY to $2.11 billion.
Looking ahead, Waste Management, Inc. (NYSE:WM) expressed confidence in its full-year guidance for adjusted EBITDA, which is expected to be between $7.475 billion and $7.625 billion. The optimism stems from continued progress in integration at WM Healthcare Solutions.
Waste Management, Inc. (NYSE: WM) serves residential, commercial, and industrial customers by providing waste collection, recycling, and renewable energy services.
2. Berkshire Hathaway Inc. (NYSE:BRK-A)
Bill Gates’s Stake: $11,718,561,977
Number of Hedge Fund Holders: 133
Share Price Return Between July 1 and November 3: -2.85%
Berkshire Hathaway Inc. (NYSE:BRK-A), which accounts for 24.53% of Bill Gates’s stock portfolio, is one of his top 15 stock picks.
On November 1, 2025, Berkshire Hathaway Inc. (NYSE:BRK-A) announced Q3 2025 results. The quarter marked its cautious market stance as it is about to step into a new era under incoming CEO Greg Abel. Warren Buffett will step down as the company’s CEO at the end of the year.
During the quarter, the conglomerate’s cash holdings climbed to a record $381.7 billion. This surge, driven by lower insurance losses and strong results from its BNSF railroad unit, comes as operating profit jumped 34% YoY to $13.49 billion. Meanwhile, net income rose 17% to $30.8 billion.
However, quarterly revenue rose just 2%, slower than the overall U.S. economy’s growth rate of 3.8%, Reuters reported. CFRA research analyst Cathy Seifert commented, “Berkshire, which is often considered a microcosm of the U.S. economy, isn’t even keeping up. Investors will struggle to find a catalyst for this stock.” The analyst keeps a “Hold” rating on the stock.
Amid high valuations, Warren Buffett remained reluctant to deploy capital, as Berkshire Hathaway Inc. (NYSE:BRK-A) went past its fifth straight quarter without repurchases despite strong profitability. Analysts believe investors may remain cautious on the stock in the short term, as Warren Buffett looks to step down after serving for six decades as the CEO.
Berkshire Hathaway Inc. (NYSE:BRK-A), a conglomerate giant, operates across insurance, energy, rail transportation, manufacturing, services, and retail sectors.
1. Microsoft Corporation (NASDAQ:MSFT)
Bill Gates’s Stake: $13,027,768,274
Number of Hedge Fund Holders: 294
Share Price Return Between July 1 and November 3: 5.08%
Representing 27.27% of Bill Gates’s stock portfolio, Microsoft Corporation (NASDAQ:MSFT) is one of his top 15 stock picks.
On October 29, 2025, Microsoft Corporation (NASDAQ:MSFT) reported fiscal Q1 2026 results. The quarter featured both the promise and the cost of its AI-driven cloud expansion.
Microsoft Corporation’s (NASDAQ:MSFT) capital expenditures reached a record $35 billion in the quarter, going past Wall Street estimates, with the company pouring money into AI infrastructure to ease capacity constraints that have limited Azure’s growth. The investment is already showing results, as Azure exceeded expectations with a 40% YoY revenue surge. Meanwhile, the total revenue rose 18% to $77.77 billion and profit reached $3.72 per share, both surpassing estimates.
The Q3 beat was followed by the company’s November 3 announcement that it will bring its total investment in the United Arab Emirates to $15 billion by 2029. With $7.3 billion already invested between 2023 and the end of 2025, this means Microsoft Corporation (NASDAQ:MSFT) will further invest $7.9 billion. Having already received U.S. approval to export Nvidia chips, this investment will help the company expand AI data centers across the UAE.
Microsoft Corporation (NASDAQ:MSFT) is focused on developing and supporting software, services, devices, and cloud-based solutions globally.
While we acknowledge the potential of MSFT to grow, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than MSFT and that has 100x upside potential, check out our report about this cheapest AI stock.
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