Microsoft still holds below $420

Microsoft still holds below $420
MSFT

​Microsoft is confidently leading the AI economy after a strong Q3 FY2026 earnings report. Revenue rose to $82.9 billion (+18% YoY), Azure growth reached 40% (beating expectations), and annual AI revenue has already hit $37 billion. However, AI infrastructure spending is set to surge to $190 billion due to GPU shortages and ongoing data center expansion.

Big headlines: Accenture is rolling out Copilot to 743,000 employees (97% say it improves productivity), there are over 20 million paid Copilot users, and commercial bookings reached $627 billion (+99% YoY). The Pentagon selected Microsoft to deploy AI on classified networks, further strengthening its position.

Microsoft is also reshaping its partnership with OpenAI: it is losing exclusivity, but Azure remains the primary provider; revenue-sharing terms are now more favorable for Microsoft. Market sentiment remains positive (MSFT is seen as the most reliable AI player), but risks persist—massive spending, margin pressure, and concerns about an "AI bubble." The key question is whether these investments will pay off.

Although support around the $400 level has been holding back the bears, the bulls' inability to break above the $420 resistance keeps downside risks in play, with a potential move toward $390. However, as noted in the article Microsoft bought on dip near $400, but pressure remains, every pullback is seen as a buying opportunity at better prices.

This material may contain third-party opinions, none of the data and information on this webpage constitutes investment advice according to our Disclaimer. While we adhere to strict Editorial Integrity, this post may contain references to products from our partners.
Weekly Top Bonuses
up to $2,500
deposit bonus for all clients
CLAIM BONUS
Your capital is at risk.