Microsoft's (MSFT) AI Edge: RBC Sees Growth Across Both Infrastructure and Applications

Microsoft Corporation (NASDAQ:MSFT) is one of the AI Stocks Investors Are Watching Closely. On October 3, RBC reiterated the stock as “Outperform”

“We think Microsoft’s position as an Al leader stems from its ability to monetize across both infrastructure and applications.”

The firm believes that Microsoft is an AI leader not only from the infrastructure layer but also from end-user applications. This dual strategy enables the company to capture revenue throughout the entire ecosystem.

On the same day, BMO Capital analyst Keith Bachman reiterated a Buy rating on the stock and set a price target of $650.00

Microsoft Corporation (NASDAQ:MSFT) provides AI-powered cloud, productivity, and business solutions, focusing on efficiency, security, and AI advancements.

While we acknowledge the potential of MSFT as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

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Disclosure: None.