Microsoft's Earnings Are Days Away: Here’s What Investors Need to Know
Key takeaways
- Microsoft’s upcoming earnings will test whether its cloud and AI growth can sustain a 16‑17% revenue rise and keep capex under $50 billion, with implications for the stock’s near‑term price action.
- $4.72 EPS forecast
- $90.69 billion revenue forecast
- 43% Azure growth Q4
What happened
Microsoft Corporation (NASDAQ: MSFT) will report fiscal first‑quarter earnings on Oct. 28 after the market closes. Analysts project earnings per share of $4.72 and revenue of $90.69 billion, up from $4.74 EPS and $90.01 billion last quarter. The company highlighted 43% Azure growth in Q4, 45% constant‑currency guidance for the quarter, and first‑quarter capex above $50 billion, with a 2026 capex outlook of about $175 billion. Microsoft 365 Copilot passed 30 million paid seats and commercial…
Why it matters
The earnings release will confirm whether Microsoft’s high‑growth cloud and AI businesses are sustaining momentum and whether capital spending will continue to pressure free cash flow. Investors are watching Azure’s 43% growth and the 45% guidance, as well as the $50 billion capex ceiling, to gauge future…
Short-term and longer-term
Short-term. Over the next few days, watch for a rebound toward the $551 resistance if earnings beat expectations and Azure growth holds.
Longer-term. For the coming months, Microsoft’s guidance for a 16‑17% revenue increase and a positive free‑cash‑flow outlook for fiscal 2027 could reinforce its long‑term growth narrative.