There are currently many good news surrounding Microsoft’s stock. Thanks to the AI boom, the tech giant has become the second company ever to reach a market valuation of 3 trillion US dollars. The stock of Microsoft is currently trading at around 370 euros (approximately 403 dollars), setting a new all-time high (as of January 25, 2024, 11 am).

The performance of Microsoft’s stock is truly impressive: since the beginning of the year, it has gained almost 10%, and on an annual basis, it has grown by almost 70%. And even in the long term, the stock has been consistently on an upward trend for years. The majority of analysts see even more potential for Microsoft’s stock, and some have recently raised their price targets.

Microsoft reaches milestone In early 2022 (or sustainably only in the summer of 2023), Apple became the first company in the world to reach a milestone of more than 3 trillion US dollars in media attention. Now, almost 2 years later, Microsoft has followed suit and also surpassed this mark.

Thanks to the strong performance of Microsoft’s stock in recent months, the technology company has caught up and is almost neck and neck in the race for the top position among the world’s most valuable companies. Yesterday, competitor Apple had a market capitalization of around 3.02 trillion US dollars, just slightly ahead.

Microsoft’s stock benefits from Artificial Intelligence The topic of Artificial Intelligence is currently the main driver for Microsoft’s stock. With the investment in OpenAI (ChatGPT), Microsoft is well positioned to profit from the AI boom. With AI and cloud computing, the company is well positioned for further growth.

Above-average growth is also expected for the current fiscal year 2023/2024 (starting on July 1). Microsoft will present fresh figures in a few days – on January 30, the quarterly report for Q2 and the half-year report will be released.

Analysts raise price targets for Microsoft With the tremendous performance of the stock, many analysts have recently raised their price targets – some examples include Morgan Stanley raising the target from 415 to 450 US dollars, Bank of America from 430 to 450 dollars, and Exane BNP from 350 to 471 dollars.

Source: https://aktienscreener.com/