Wall Street Bullish on ​Microsoft Corporation (MSFT) Ahead of its FQ1 2026 Earnings

​Microsoft Corporation (NASDAQ:MSFT) is one of the Best Stocks to Buy for High Returns Heading into 2026. Wall Street is bullish on ​Microsoft Corporation (NASDAQ:MSFT) ahead of its FQ1 2026 earnings release, scheduled to be released on October 29 (Post-Market).

On October 29, Patrick Colville from Scotiabank reiterated a Buy rating on the stock with a price target of $650. A day earlier on October 28, William Blair analyst Jason Ader also reiterated a Buy rating on ​Microsoft Corporation (NASDAQ:MSFT) without disclosing any price targets.

Ander highlighted the company’s recent agreement with OpenAI as a significant development noting that it ensures continued access to OpenAI’s technologies which are crucial for Microsoft’s Copilot and Azure monetization. In addition, the analyst also likes ​Microsoft Corporation’s (NASDAQ:MSFT) valuation which he believes indicates strong financial health and growth potential.

In addition to William Blair, On October 27, John Difucci from Guggenheim upgraded the stock from Neutral to Buy with a price target of $586. ​Difucci noted that it is evident that Microsoft Corporation (NASDAQ:MSFT) and its AI hyperscalers would benefit from the fast-growing technologies.

He believes that the growing adoption of AI will boost the company’s cloud services. He likes the company’s near monopoly in the productivity software space and notes that there are significant opportunities for the company to monetize AI.

​Microsoft Corporation (NASDAQ:MSFT) is a leading technology company known for a wide range of devices, software, and services. Some of the core offerings by the company include productivity software, including Microsoft Office and Azure, the Windows operating system, and gaming devices.

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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Disclosure: None. This article is originally published at Insider Monkey.