Microsoft shares reached a record high on Thursday and are poised to do so again on Friday, defying market concerns about the AI revolution’s impact. Analysts point to the company’s strong position, citing 21% year-over-year revenue growth in its Intelligent Cloud segment as evidence. Microsoft’s partnership with OpenAI is expected to drive significant revenue upside for Azure by the end of the decade.
Several firms raised their price targets for Microsoft shares this week, including Bernstein and Goldman Sachs. Bernstein now predicts a $540 share price, while Goldman Sachs expects it to reach $300 billion in cloud revenue by 2029. The consensus price target among analysts is near $525, representing 12% upside over Friday’s intraday price of about $471.
Microsoft has maintained its lead as the world’s most valuable company, with a valuation of $3.48 trillion, surpassing Nvidia’s $3.46 trillion. As the AI revolution continues to unfold, Microsoft’s strong position and strategic partnerships are expected to drive growth and stability for the tech giant.
Source: https://www.investopedia.com/microsoft-keeps-hitting-record-highs-analysts-think-theres-still-room-to-rise-11749807