Investor Forecasts 50% Upside to $600 on Microsoft After 8% Decline
Microsoft shares have fallen nearly 8% since the last analysis, registering a weekly RSI of 30.5 and approaching oversold levels. The analyst projects a rise to $600 per share over 12–18 months, driven by AI-expanded Office TAM and higher ARPU from new subscription and metering models.
1. Valuation and Technical Indicators
Microsoft's stock has declined nearly 8% since the analyst's prior review, pushing the weekly RSI to 30.5 and signaling potential oversold conditions. This technical setup suggests a buying opportunity if momentum reverses.
2. AI-driven Growth Prospects
The forecast to $600 per share over the next 12–18 months is based on AI-driven expansion of Office's total addressable market, which is expected to boost seat values. Additionally, new subscription and usage metering models are projected to increase average revenue per user, underpinning future cash flow growth.