Microsoft (NASDAQ: MSFT) Stock Price Prediction for 2025: Where Will It Be in 1 Year

• Microsoft is dedicating important capex to AI and unreality infrastructure successful bid to vie with different tech firms.

• Microsoft’s gaming conception grew 44% past year, providing important gross to complement its software, unreality and AI concern lines.

• If you’re reasoning astir retiring oregon cognize idiosyncratic who is, determination are 3 speedy questions causing galore Americans to recognize they tin discontinue earlier than expected. instrumentality 5 minutes to larn much here

Shares of Microsoft (NASDAQ:MSFT) gained 1.27% implicit the past 5 trading sessions aft losing 4.30% the 5 prior. That brings MSFT's year-to-date summation to 22.17%, including a much than 44% summation since its year-to-date debased connected April 8.

When the Magnificent Seven subordinate reported Q3 net connected Oct. 29, shares fell contempt beating connected EPS and revenue. The institution announced net of $3.72 per stock versus analysts' expectations of $3.67, and quarterly gross of $77.67 cardinal versus analysts' expectations of $75.33 billion.

On Oct. 1, the institution announced that it was expanding its Xbox Game Pass subscription by 50%. In its past fiscal year, Microsoft saw much than 8% of gross derived from its gaming segment, which present boasts 50 cardinal monthly progressive subscribers and astir $5 cardinal successful YoY revenue.

In June, it was reported that the institution volition beryllium expanding its AI and unreality investments successful Switzerland, committing $400 cardinal to grow its information halfway infrastructure successful the European nation. The further capableness is expected to enactment much than 50,000 existent customers and grow the availability of AI services for much sectors, including wellness care, concern government. Microsoft is capitalizing connected its Azure platform’s momentum arsenic gross jumped 39% successful FY25 Q4, driven by AI services.

Microsoft's determination successful May occurrence 6,000 employees — oregon 3% of its workforce — signals the tech elephantine is superior astir outgo subject amid economical uncertainty. With analysts eyeing sustained unreality demand, 24/7 Wall St. conducted investigation to research whether Microsoft tin support its upward trajectory and thrust semipermanent growth.

Microsoft navigates challenges, but remains a premier concern owed to its AI and unreality dominance. Third-quarter net showcased robust request for its Intelligent Cloud segment, though tariff risks linger. Microsoft’s $80 cardinal currency reserve fuels its $80 cardinal investments successful unreality and AI infrastructure, with implicit fractional successful the U.S.

Its Microsoft 365 Copilot, adopted by implicit 70% of Fortune 500 firms, drives productivity revenue, positioning Microsoft to seizure the AI market’s 37% compounded yearly maturation predicted done 2030. Similarly, partnerships with Oracle (NYSE:ORCL) for multi-cloud solutions bolster its competitiveness against Amazon's (NASDAQ:AMZN) AWS.