Wall Street stays overwhelmingly bullish on Microsoft ahead of its July 29 earnings, with 53 of 56 analysts rating the stock a Buy or higher. The optimism lands as the company cuts roughly 4,800 jobs and leans harder on its own AI models.
Analysts are almost unanimous on Microsoft. Fifty-three of 56 rate the stock Buy or higher, with an average price target of $559.59 that implies roughly 45% upside.
Microsoft reports quarterly earnings on July 29, and traders will watch the pace of capital expenditure, cloud AI revenue, and guidance.
The bullish ratings arrive alongside cuts. Microsoft is eliminating roughly 4,800 jobs, about 2.1% of its workforce, with the Xbox division shedding around 3,200 roles — close to 20% of that unit.
At the same time, the company is changing how its software uses AI. Microsoft is routing some Copilot prompts in Excel and Outlook to its in-house MAI model, handling thousands of weekly prompts as it shifts away from third-party models.
Investor interest extends beyond the sell side. Michael Burry disclosed in June that his portfolio includes Microsoft, counting it among his value-investing holdings.
The stock itself has drifted. MSFT is down about 0.4% over the past week, and retail sentiment reads as bearish even as analyst targets point higher.
Source: TradingView
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