Was This Analyst Right About Microsoft (MSFT)?

We recently published 10 AI Analyst Calls You Should Pay Attention To. Microsoft Corp (NASDAQ:MSFT) is one of the stocks analysts were recently talking about.

Seth Basham, Director of Equity Research at Wedbush Securities, said in a program on CNBC back in July that Microsoft Corp (NASDAQ:MSFT) was among his top AI picks.

“Microsoft Corp (NASDAQ:MSFT) is one of the leaders in the AI revolution. We think that they’re so well positioned to capture share going forward because they own the enterprise. Almost all companies use Microsoft’s services. The enterprise cloud is really where it’s at and 70% of Microsoft’s clients are likely to convert to the cloud leveraging their AI. So we think Microsoft Corp (NASDAQ:MSFT) is the name to own in the AI revolution.”

Microsoft Corp (NASDAQ:MSFT) shares are up about 2.8% since Basham’s comments.

Brown Advisory Large-Cap Growth Strategy stated the following regarding Microsoft Corporation (NASDAQ:MSFT) in its second quarter 2025 investor letter:

“Microsoft Corporation (NASDAQ:MSFT), a global leader in software and cloud services, saw its shares trade higher in the second quarter following an earnings report and guidance update that exceeded consensus expectations. The company delivered strong performance across all business segments, with particularly robust growth in both core and AI-related Azure services. Management’s outlook for Azure remains especially positive, citing rising customer demand for AI solutions.”

While we acknowledge the potential of MSFT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now.

Disclosure: None. This article is originally published at Insider Monkey.