Microsoft: Preparing For Pivotal 'Show-Me' Q3 Earnings
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YR Research5.5K FollowersFollow5ShareSavePlay(10min)Comments(2)Follow us on Google for the latest stock newsFollow Seeking Alpha on Google for the latest stock newsSummaryMicrosoft faces a 'Show Me' quarter, with a Hold rating reiterated due to AI execution concerns and lagging growth versus peers.M365's slowing growth and weak Copilot adoption highlight competitive pressures, with only 15 million Copilot seats and 14% revenue growth last quarter.Azure's lack of acceleration and capacity allocation challenges remain critical; further underperformance versus AWS and GCP would be a bearish signal.MSFT trades at a discount to historical multiples and peers, but must prove AI leadership and growth to re-rate meaningfully higher.Alena Butor/iStock via Getty Images This upcoming Wednesday, nearly $12 trillion of market cap is going to report earnings, as Microsoft (MSFT) and its closest peers in Google (GOOG) (GOOGL), Amazon (AMZN), and Meta (META), take center stage. In theThis article was written byYR Research5.5K FollowersFollowI aim to invest in companies with perfect qualitative attributes, buy them at an attractive price based on fundamentals, and hold them forever. I hope to publish articles covering such companies approximately 3 times per week, with extensive quarterly follow-ups and constant updates.I manage a concentrated portfolio targeted at avoiding losers and maximizing exposure to big winners. This means that often I'll rate great companies at a 'Hold' because their growth opportunity is below my threshold, or their downside risk is too high.Analyst’s Disclosure: I/we have a beneficial long position in the shares of AMZN, GOOG either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.