---
title: "CLSA Raises Microsoft Corporation  TP Sharply to USD700 on Dual-engine Growth in AI Cloud and Copilot"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/295477190.md"
description: "CLSA sharply raised Microsoft's target price to USD700 from USD535, maintaining an Outperform rating. The upgrade is driven by accelerating Azure cloud growth and improved Copilot user outlook, with paid users forecast to reach 150 million by FY2029. CLSA increased EPS forecasts for FY2027-2029 by 4.7% to 18.1%, valuing the company at a 30x P/E."
datetime: "2026-08-11T03:00:53.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/295477190.md)
  - [en](https://longbridge.com/en/news/295477190.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/295477190.md)
generator: "portal-rs"
---

# CLSA Raises Microsoft Corporation  TP Sharply to USD700 on Dual-engine Growth in AI Cloud and Copilot

CLSA published a research report stating that Microsoft Corporation (MSFT.US) 's Azure cloud business growth has accelerated, while the outlook for paid Copilot users has also improved significantly. The broker expects the market to reassess the value of its enterprise distribution platform, and therefore sharply raised its TP from USD535 to USD700, with an Outperform rating.

The report said that in the AI era, capital expenditure and market share are almost directly linked, and Azure must continue investing. Capital expenditure of about USD190 billion in FY2026 (USD175 billion after accounting adjustments) is only the minimum requirement to maintain market share.

Regarding Copilot, CLSA said its latest quarter saw an increase of 10 million paid users, reflecting ongoing product improvement. It forecasts paid users will reach 150 million by the end of FY2029, above the previous forecast of 90 million, but still only one-third of the more than 450 million paid user base of M365. The broker raised its FY2027 to FY2029 EPS forecasts for Microsoft Corporation by 4.7% to 18.1%, representing 5% to 18% above market consensus expectations, and used a 30x calendarized P/E for 2027 (a 10% premium to the five-year average) as the valuation basis for the TP.(ad/u)

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---
> **Disclaimer: This article is for reference only and does not constitute any investment advice.**