Microsoft shares are under moderate selling pressure today, with the stock retreating toward support near the psychological $500 level. Despite the mildly negative tone of the session, the fundamental backdrop remains strong and the broader outlook constructive.
On July 29, 2026, Microsoft reported results for the fourth quarter and full fiscal year 2026 that substantially exceeded Wall Street expectations. Fourth-quarter revenue reached $90.0 billion, up 18% year on year, while non-GAAP earnings came in at $4.74 per share, compared with the consensus estimate of $4.24.
Azure and AI demand remain key growth drivers
Cloud remained the main growth engine. Annual Azure revenue exceeded $100 billion for the first time, while quarterly Azure growth accelerated to 43% year on year. For fiscal 2026, Microsoft generated record revenue of $331.8 billion, up 18%, while its commercial backlog surged 84% to $678 billion, highlighting sustained long-term demand for AI-related products and services.
Despite the strong results, investor attention has shifted toward record capital spending. Fourth-quarter CapEx rose 70% year on year to $41.0 billion, with roughly $175 billion expected for calendar 2026. Much of the spending is being directed toward GPU and CPU purchases and data-center expansion to support the rapidly growing Microsoft 365 Copilot user base, which now exceeds 30 million paid subscriptions.
$500 support remains key for near-term direction
Although bullish positioning remains relatively strong, a failure to make progress from current levels could trigger additional long-position liquidation. In that scenario, the stock could retreat toward the $470-$450 support zone, where buying interest may strengthen and the decline could offer opportunities to rebuild long exposure.
A decisive break below $450, as I warned in the article Microsoft extends AI-led rebound as Azure outlook offsets macro risks, would materially weaken the technical picture and could expose MSFT to a deeper decline toward $430-$410, which would represent a more concerning signal for the bulls.
-
Afghanistan
-
Albania
-
Algeria
-
Angola
-
Argentina
-
Armenia
-
Australia
-
Austria
-
Azerbaijan
-
Bahamas
-
Bahrain
-
Bangladesh
-
Belarus
-
Belgium
-
Bolivia
-
Botswana
-
Brazil
-
Brunei
-
Bulgaria
-
Cambodia
-
Cameroon
-
Canada
-
Chile
-
China
-
Colombia
-
Congo
-
Costa Rica
-
Cote d'Ivoire
-
Croatia
-
Cuba
-
Cyprus
-
Czechia
-
DR Congo
-
Denmark
-
Dominican Republic
-
Ecuador
-
Egypt
-
El Salvador
-
Estonia
-
Eswatini
-
Ethiopia
-
Finland
-
France
-
Georgia
-
Germany
-
Ghana
-
Greece
-
Haiti
-
Hong Kong
-
Hungary
-
India
-
Indonesia
-
Iran, Islamic republic
-
Iraq
-
Ireland
-
Israel
-
Italy
-
Jamaica
-
Japan
-
Jordan
-
Kazakhstan
-
Kenya
-
Korea
-
Kuwait
-
Kyrgyzstan
-
Laos
-
Latvia
-
Lebanon
-
Lesotho
-
Libya
-
Lithuania
-
Luxembourg
-
Madagascar
-
Malaysia
-
Malta
-
Mauritius
-
Mexico
-
Moldova
-
Mongolia
-
Montenegro
-
Morocco
-
Mozambique
-
Myanmar
-
Namibia
-
Nepal
-
Netherlands
-
New Zealand
-
Nigeria
-
North Macedonia
-
Norway
-
Oman
-
Pakistan
-
Palestine
-
Panama
-
Papua New Guinea
-
Paraguay
-
Peru
-
Philippines
-
Poland
-
Portugal
-
Puerto Rico
-
Qatar
-
Reunion
-
Romania
-
Rwanda
-
Saudi Arabia
-
Serbia
-
Singapore
-
Slovakia
-
Slovenia
-
Somalia
-
South Africa
-
Spain
-
Sri Lanka
-
Sweden
-
Switzerland
-
Syria
-
Taiwan
-
Tajikistan
-
Tanzania
-
Thailand
-
Trinidad and Tobago
-
Tunisia
-
Turkey
-
UAE
-
Uganda
-
Ukraine
-
United Kingdom
-
United States
-
Uruguay
-
Uzbekistan
-
Venezuela
-
Vietnam
-
Yemen
-
Zambia
-
Zimbabwe
- Forex
- Crypto
