Microsoft Stock (NASDAQ:MSFT) Notches Up as Copilot+ Not a Lost Cause

Tip Ranks
2025.12.05 18:34
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Microsoft's Copilot+ initiative has seen mixed results, with limited user interest in AI features for laptops. Despite this, investor interest has increased, leading to a slight rise in Microsoft's stock. Copilot+ sales were low, representing less than 10% of systems sold in Q3 2024, dropping to 2.3% in Q1 2025. Analysts maintain a Strong Buy rating on MSFT stock, with a 30.89% upside potential.

The rise of Copilot+ at tech giant Microsoft (MSFT) has been a bit of a mixed bag so far. The idea was a clever one, but the execution just fell somewhat flat as it turned out most users were not especially interested in adding artificial intelligence (AI) features to their laptop experience. Still, the plan had some benefits, and this was enough to perk up investor interest. Investors sent Microsoft shares up fractionally in Friday afternoon's trading.

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Basically, the notion of AI in laptops was attention-getting, but what it brought out was a bit underwhelming, reports noted. Things like Microsoft Recall were useful, but only in some cases. Many users had a tough time seeing why they would need a database of files they opened or websites they visited. The privacy concerns were also a bit of a problem right from the word go.

The skepticism showed in Copilot+ sales, which represented less than 10% of all systems sold in the third quarter of 2024, reports noted. That dropped to 2.3% of Windows machines sold in 2025's first quarter. Thus, Copilot became less a tentpole and more a sidebar, with Microsoft moving to "…make every Windows 11 computer an AI PC."

Buying a Game for Christmas is Easier Than You Might Think

If there is a gamer on your list this holiday season, then you might be thinking about buying a game for said gamer. Good thought, but not as easy as it once was. Your ability to simply go to a store, get a game, wrap the case and place it under the tree is a bit stymied in the age of digital delivery. So what do you do now?

The answer is simpler than you may think, even if it is a bit more complex than it once was. Simply go to the Microsoft Store, find the game in question through its interface, then just click the "gift wrap icon" to open "Buy as gift" options. Type in the email of the recipient's Xbox account, choose your payment option, and that is all it takes. It turns out this process works about the same whether you have an Xbox console yourself or just have a PC.

Is Microsoft a Buy, Hold or Sell?

Turning to Wall Street, analysts have a Strong Buy consensus rating on MSFT stock based on 33 Buys and two Holds assigned in the past three months, as indicated by the graphic below. After an 8.4% rally in its share price over the past year, the average MSFT price target of $630.64 per share implies 30.89% upside potential.