Microsoft’s Q4 report could spark a rebound after a 30% drop from its peak, with Azure growth as the key catalyst.
Microsoft (NASDAQ: MSFT) shares have fallen nearly 30% from their all-time high, nearing a one-year low. The stock’s performance hinges on Q4 earnings due July 29, which analysts say could trigger a rebound if key divisions show strength.
Azure, Microsoft’s cloud computing platform, remains a critical focus. Last quarter, Azure revenue grew 40% year over year, but investors seek acceleration to match competitors like Alphabet’s Google Cloud, which surged 82% in Q2. AI-driven demand for cloud capacity is expected to drive results.
A strong report could validate Microsoft’s undervaluation and reignite investor confidence. The stock’s trajectory may shift if growth in cloud and AI segments exceeds expectations.