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Veteran Bank Cuts Microsoft Stock Price Target on AI Spending Concerns
Microsoft's stock has hit a 52-week low amid concerns over AI spending and its impact on the company's profitability. The stock is down over 25% year-to-date. Stifel cut Microsoft's price target to $400 from $415, citing rising AI and cloud infrastructure investments.
What changed
Stifel lowered its price target on Microsoft stock due to AI spending concerns.
Live updates
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Veteran Bank Cuts Microsoft Stock Price Target on AI Spending Concerns
confidence 50%Microsoft's stock has hit a 52-week low amid concerns over AI spending and its impact on the company's profitability. The stock is down over 25% year-to-date. Stifel cut Microsoft's price target to $400 from $415, citing rising AI and cloud infrastructure investments.
What's confirmed:
- Microsoft's stock hit a 52-week low of $349.20.
- The stock is down over 25% year-to-date.
- Stifel cut Microsoft's price target to $400 from $415.
- Rising AI and cloud infrastructure investments will drive up capital expenditures and depreciation.
- Microsoft's Azure growth remains a key support for the stock.
Still unconfirmed:
- Chances of losing money are higher, as Wall Street's fears about AI spending are a dark cloud that's floating above the company.