Analyst Keith Weiss of Morgan Stanley maintained a Buy rating on Microsoft, retaining the price target of $530.00.
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Keith Weiss has given his Buy rating due to a combination of factors including Microsoft’s strong position in the generative AI market and stable demand trends. The company’s leadership in AI is underscored by the expectation of increased deployment of M365 Copilot across a significant portion of endpoints, indicating improved market penetration.
Additionally, Microsoft’s core spending intentions remain robust, with a notable percentage of CIOs planning to increase their investment in Azure and O365. The shift towards higher subscription tiers, such as E5, further supports the positive outlook. Despite a slight decline in on-premise server spending, Microsoft’s overall growth prospects, particularly in AI, make it an attractive investment opportunity.
In another report released yesterday, Oppenheimer also upgraded the stock to a Buy with a $600.00 price target.