Microsoft Stock Rebounds but Investors Weigh Future Prospects
After a significant decline of about 35% from its record high on October 28, 2025, Microsoft's stock has rebounded sharply. As of now, the stock is trading at around $516 — up roughly 46% since hitting a low in late June and only about 5% below its all-time peak. The recovery was largely driven by strong performance from Azure during Microsoft’s fiscal fourth-quarter report on July 29. Revenue for cloud services grew to 43%, exceeding earlier expectations of around 39-40%. CFO Amy Hood attributed the improvement to efficiency gains and faster delivery of new capacity, which were quickly monetized. Despite concerns about capital expenditures outpacing growth in previous quarters, Microsoft’s spending plans remain robust. Capital expenditures for calendar year 2026 are expected to be around $175 billion — a reduction from earlier estimates due to an accounting change rather than actual cost cuts.
Tickers: $MSFT
Topics: Azure growth capital expenditures Microsoft stock recovery