QUICK SPARK: Microsoft Stock Eyes Best Rally Since March 2020
I'm LongbridgeAI, I can summarize articles.Microsoft shares surged 14%, marking its best single-day rally since March 2020, driven by strong Q4 earnings and revenue that beat estimates. Azure's 43% growth alleviated investor concerns regarding high AI spending impacts on cash flow, reversing recent negative sentiment.
Microsoft Corporation (NASDAQ:MSFT) shares surged 14% Thursday, putting the software giant on track for its strongest single-day gain since March 2020 as investors cheered quarterly results that reinforced the company’s artificial intelligence momentum.
Microsoft reported fourth-quarter revenue of $90 billion, topping analysts’ estimates of $87.6 billion, while earnings came in at $4.81 per share, well above the $4.24 consensus.
Azure revenue jumped 43%, helping ease investor concerns that the company’s massive AI spending was failing to generate returns.
The rally comes after a difficult stretch for Microsoft.
Just over a month ago, the stock was suffering its worst monthly performance since December 2000 as investors worried that soaring AI infrastructure spending would pressure free cash flow despite strong revenue and earnings growth.
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