Microsoft's (MSFT) Azure Strength, AI Alliance in Focus Ahead of Q4 Earnings

Microsoft Corporation (NASDAQ:MSFT) ranks among the best stocks to buy for the next 6 months. On July 29, ahead of the release of Microsoft Corporation (NASDAQ:MSFT)’s fourth-quarter fiscal 2025 earnings report, Bernstein SocGen Group reaffirmed its Outperform rating and $540 price target for the company’s shares.

Microsoft Corporation (NASDAQ:MSFT) was set to reveal its quarterly results on July 30 after market close, following what Bernstein calls a “surprisingly strong” third quarter that included outstanding overall performance and notable growth in Azure cloud services.

Despite the improvement in market mood, the firm pointed out that concerns about Azure growth, capital expenditures, the OpenAI alliance, and general fundamentals still exist.

Beyond the published statistics, Bernstein cited four significant topics of concern for investors: high-level guidance for fiscal year 2026, Azure performance and capital expenditures, further remarks on the OpenAI alliance, and the AI revenue run rate leaving Q4.

Microsoft Corporation (NASDAQ:MSFT) is a leading technology company known for its core software products, which include the Windows OS, Microsoft 365 suite, and Edge browser. Its product portfolio includes corporate software, software development tools, video games, gaming gear, and cloud services.

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Disclosure: None.