Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Microsoft Corporation (MSFT)’s Stock Is Heading To $55 Due To Nadella Renaissance And Cloud Vision: Daniel Ives

Microsoft Corporation (NASDAQ:MSFT) has recently made sufficient advances in terms of stock price, but how far can this rally go? Daniel Ives, an analyst at FBR Capital Markets was asked a similar question on an interview on Fox Business, and in his opinion the stock was headed even higher.

Microsoft Corporation (MSFT)

“[…] This [Microsoft Corporation (NASDAQ:MSFT)] could be joining the over $55 community as a stock because ultimately if you look at the multiple as it kind of expands, you get that cloud vision, you can add 30 to 40 cents earnings next year. It’s a combination of a fundamental story that is really starting to blossom, and I know there is a Renaissance happening under Nadella […],” explained Ives.

By bringing the tech giant up to date with the current technological trends, namely the Cloud, Microsoft Corporation (NASDAQ:MSFT)’s CEO, Satya Nadella, has indeed initiated a Renaissance in the company. According to Ives, the company suffered badly during a decade of its ex-CEO, Steve Ballmer’s rule, who is also one of the biggest shareholders in the company. Hopefully, he doesn’t have a lot of say in the company’s operations.

Moreover, Ives also identified another potential direction, in which Microsoft Corporation (NASDAQ:MSFT) could be heading. It is the smart phone business. Although the company has a presence in this business, but its share remains substantially small, both in terms of the contribution to the company’s top line, and also the market share.

The smart phone market is mostly dominated by Samsung and Apple, but if Microsoft Corporation (NASDAQ:MSFT) can kick its numbers even a little bit it would mean a lot going forward.

“[…] The Golden Goose is, can they be successful with consumers? Smart phone 3% market share can get it to 6% to 7%, that is where the extra fuel in the engine is, if they are successful that would really be the 180 degree turn around,” said Ives.

Warren Buffett and BillionairesFree Report: Warren Buffett and 12 Billionaires Are Crazy About These 7 Stocks

Let Warren Buffett, David Einhorn, George Soros, and David Tepper WORK FOR YOU. If you want to beat the low cost index funds by an average of 6 percentage points per year look no further than Warren Buffett’s stock picks. That’s the margin Buffett’s stock picks outperformed the market since 2008. In this free report, Insider Monkey’s market beating research team identified 7 stocks Warren Buffett and 12 other billionaires are crazy about. CLICK HERE NOW for all the details.