What's Going On With Microsoft Stock Thursday?
Key takeaways
- Microsoft’s stock faces short‑term technical pressure and a new EU regulatory probe, but remains in a strong long‑term trend ahead of its Oct. 28 earnings.
- MSFT shares down 0.09% to $529.26
- Nasdaq fell 0.48%
- S&P 500 lost 0.20%
What happened
Microsoft (MSFT) shares slipped 0.09% to $529.26 on Thursday as the Nasdaq fell 0.48% and the S&P 500 dropped 0.20%. The decline followed a fresh EU antitrust probe launched by Italy into Microsoft‑owned gaming titles, including Activision Blizzard, over in‑game virtual currency conversions that may violate EU consumer protection rules. Microsoft’s stock remains in a long‑term uptrend, trading 4.4% above its 20‑day SMA and 22.4% above its 200‑day SMA, but its RSI of 70.76 signals overbought…
Why it matters
The EU investigation could expose regulatory risks for Microsoft’s gaming division, potentially leading to fines or forced changes in pricing models that would affect revenue. The overbought technical reading suggests a short‑term pullback could be on the horizon, while the upcoming earnings on Oct. 28, with analysts…
Short-term and longer-term
Short-term. Over the next few days, watch for a pullback toward the $498.94 support level.
Longer-term. Looking ahead, the Oct. 28 earnings will be pivotal. If Microsoft meets the $4.73 Earnings per share — profit for one share of the company, in dollars.EPS
Words on this card
- RSI
- Relative Strength Index, a momentum oscillator that measures the speed and change of price movements; readings above 70 suggest overbought conditions.
- SMA
- Simple Moving Average, a technical indicator that calculates the average price over a specified period.
- EU Consumer Protection Cooperation Network
- An EU initiative that coordinates consumer protection actions across member states.
- Revenue
- Sales — money the company took in before costs.
- Earnings Learn
- A company’s results report — usually profit and sales for a quarter, plus any update on what comes next.