Microsoft shares dip ahead of earnings; AI spending in focus
MSFT•Microsoft shares fell 0.7% ahead of quarterly results due after the bell. Analysts expect revenue of $90.69 billion and adjusted EPS of $4.73; the company also offered voluntary buyouts to about 60,000 employees as it seeks to contain costs while investing in AI.
1. Earnings in focus
Microsoft shares fell 0.7% on Wednesday ahead of quarterly results due after the bell, with investors likely to focus on AI spending and cost-control efforts. Analysts expect revenue of $90.69 billion, up from $77.67 billion a year earlier, and adjusted EPS of $4.73, compared with $4.13.
2. Cost-control efforts
Microsoft offered voluntary buyouts to about 60,000 employees on Monday as it looks to contain costs amid heavy investment in AI. LSEG data showed 57 analyst ratings of “strong buy” or “buy” and two “hold” ratings; the 12-month median price target was $557.50.
