Microsoft (NASDAQ:MSFT) says that things have been working out for it remarkably. According to reports, the company’s shares have showcased steadiness for a few months now. They have been playing around the $140 price level since July. No major discrepancies have been witnessed. The business giant says that on Oct. 23 it will be unveiling its next earnings.
The previous quarter was one of the best for the company because it staged an outstanding performance. The performance was above what the analysts had projected. It beat the estimated figure by $920 million ($33.7 billion quarterly revenue). The second performance to be assessed was the company’s earnings per share. It beat the projected target by $0.16 (EPS of $1.37) and that was quite impressive.
Analysts have been following closely on this company’s growth and seek to know whether or not it will uphold its consistency. There are two chances according to analysts. They believe that it may either generate average growth and if not, plunge downward significantly. Asked to explain why they took such a strong stand, these analysts said that they had considered the scale of the business.
Are Prospects Strong Or Weak VS MSFT Stock Price?
In terms of the company’s revenues, these analysts projected it to be at $32.2 billion. It is quite evident that it’s a slight dip when brought into close comparison to the previous quarter. However, there is still a string of hope for this company.
This is considering that the business guru has an Azure cloud business. Analysts say that if the company manages its cloud as required it could end up disapproving a lot of people by beating expectations. Nomura’s Christopher Eberle says that he is optimistic about the stock of Microsoft because of the above-stipulated point.
Another point worth noting from the presented results is the fact that this company’s cloud business may end up surprising a lot of people. At times it skews more towards the big enterprises. Despite Microsoft’s dedication and commitment to work, the company remains underappreciated by a large number of people globally.
Regardless of the way one wishes to look at it, the Azure Cloud will remain to be a viable competitor. So, could this help push MSFT stock price or are earnings set to disappoint this quarter?