Not long ago, Microsoft (NASDAQ: MSFT) was viewed as one of the top artificial intelligence (AI) stock picks.
Few doubted the company’s ability to thrive, and nothing fundamental about its position in the tech world has really changed over the past year
However, the perception of Microsoft in the market has. Microsoft stock is down by about 17% so far this year, while the S&P 500 (SNPINDEX: ^GSPC) is up by about 7%. That’s a huge delta in the performance, and it may have investors wondering if now is the right time to buy or if the tides have turned on Microsoft.
I’m firmly in the buy camp, as I think Microsoft is a screaming deal, and I have the numbers to back that view up. Microsoft rarely gets this cheap First, consider how Microsoft is doing as a company, especially in the all-important AI realm. There are primary ways that it’s benefiting from the AI infrastructure build-out: Integrating AI tools into its core products (primarily via Copilot) and leasing cloud computing capacity and tools (Azure).