Microsoft (MSFT) Set for Another Strong Quarter, Analysts Say

Microsoft Corporation (NASDAQ:MSFT) is one of the AI Stocks in the Spotlight Right Now. On July 22, Citi raised its price target on the stock to $613.00 from $605.00 while maintaining a “Buy” rating. According to the firm, Microsoft is poised for “another strong quarter of positive revisions and upside to Q4+Q1 Azure numbers” for its fiscal fourth quarter.

The firm’s reseller survey has demonstrated one of the strongest growth and quota attainment performances in the course of four years. The research note further highlighted how partner checks have shown that Microsoft’s CoPilot and Dynamics offerings are performing well.

Owing to its artificial intelligence exposure, business model quality, and long-term pricing and margin power, Microsoft remains Citi’s top pick in the sector. The firm views the stock as “nearly unmatched in enterprise software.”

Microsoft (MSFT) Set for Another Strong Quarter, Analysts Say

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“We reiterate our bullish view into MSFT’s F4Q results, anticipating another strong quarter of positive revisions and upside to Q4+Q1 Azure numbers. Our reseller survey yielded one of the strongest growth/ quota attainment performances in 4+ years, while partner checks highlighted CoPilot + Dynamics strength. After raising Azure estimates in mid-June, where Citi FY26E Azure growth is still ~3pts above the Street, we nudge estimates up again. This takes our TP to $613 (based on 30x FY28 EPS discounted back) and suggests continued upside ahead. Microsoft remains our top pick given the exposure to AI, quality of business model and long-term pricing/margin power that we view as nearly unmatched in enterprise software.”

Microsoft Corporation (NASDAQ:MSFT) provides AI-powered cloud, productivity, and business solutions, focusing on efficiency, security, and AI advancements.

While we acknowledge the risk and potential of MSFT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than MSFT and that has 10,000% upside potential, check out our report about this cheapest AI stock.

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Disclosure: None.