Aside from the cloud, Microsoft Office, especially the team, is a big winner of the pandemic. “69 organizations currently have over 100,000 users on their teams and more than 1,800 organizations have over 10,000 users on their teams,” CEO Nadella said in a fourth-quarter earnings call. Analysts expect earnings per share to increase 11.6% to $ 1.54 in the first quarter of the fiscal year 2021. Estimated revenue for this period was $ 35.7 billion, with a growth of 8.1%.
What really struck us about Microsoft’s results are the long-term trends that Microsoft is reinforcing. The power of technology helped to maintain a strong profit margin. Revenue growth is one, but profit margins, which grow even faster, are completely different. The company has countless competitors, but Microsoft has been able to maintain its pricing power by transforming the cloud, gradually increasing as the cost of each new dollar increases. I will do it. This is one of the older companies, but operating margins close to 40% are generally in the much younger and smaller range of companies.
Future estimation of Microsoft
Additionally, Microsoft continues to lead earnings growth despite COVID-19. In the third quarter of 2020, sales increased by 12% compared to the previous year. After dilution, this resulted in a 32% increase in earnings per share.
If you are considering entering the day trade or penny stock market, maybe you are missing the opportunity of investing in NASDAQ MSFT. Nadella’s cloud success took place in Microsoft’s Intelligent Cloud. We specialize in server products, cloud services and business services. This division increased Microsoft’s revenue by 20% in the last quarter. As a result, Intelligent Cloud is currently Microsoft’s largest division in terms of revenue. A year ago he was the youngest. Despite these numbers, the company has warned of many business challenges, from tough competition to cybersecurity concerns.
All good investors know that to make money from an investment, they must first understand all aspects. So let’s take a look at daily changes, stock movement over specific time periods, volatility updates, performance indicators, technical analysis, and analyst reviews. .. Choosing a stock is a very difficult task. There are many factors to consider before choosing the right stock to invest in. If it were easy to pick a stock, would everyone be rich? This financial article briefly describes the basics of NASDAQ MSFT and the estimation of its share price targets. Microsoft’s strategy focuses on integrating platforms and apps and using artificial intelligence to drive the next evolution in computing, productivity and business innovation. If you plan to buy this stock, you can check its balance sheet at https://www.webull.com/balance-sheet/nasdaq-msft.
Disclaimer: The analysis information is for reference only and does not constitute an investment recommendation.