Microsoft (MSFT) stock is back in favor with Wall Street.
The AlphaSpace analysis: Shares of Microsoft are now trading above their key 200-day moving average by the widest margin since October, according to Yahoo Finance AlphaSpace analysis
The stock is still lagging the S&P 500 (^GSPC) year to date, notching a 4.7% gain compared to a 13% rise for the benchmark index. Microsoft’s stock has relatively underperformed for the bulk of 2026 amid concerns of overspending on AI. However, the narrative has begun to shift.
What else you need to know: Microsoft’s fiscal fourth quarter earnings recently shut up the bears, which largely explains why the stock has fallen back into the good graces of Wall Street. The tech titan posted a staggering $90 billion in revenue in Q4, up 18% year over year. Azure and other cloud services growth surged 43%.