Microsoft Corporation (NASDAQ:
MSFT) is one of the
10 software stocks analysts are upgrading. On June 13, Wells Fargo upped the price objective on the company’s stock to $565 from $515, while keeping an “Overweight” rating, as reported by
The Fly. As per the firm, the investors need to be selective during the summer in software. Overall, H2 of the year is expected to be aided by a rebound as macro noise takes a breather and seasonal buying starts to pitch in. In Q3 2025, Microsoft Corporation (NASDAQ:MSFT)’s cash flow from operations came in at $37 billion, reflecting a rise of 16%. This was aided by robust cloud billings and collections, which were partially offset by increased tax payments.
A development team working together to create the next version of Windows.
For Intelligent Cloud, in Q4 2025, Microsoft Corporation (NASDAQ:MSFT) expects revenue to come between $28.75 billion – $29.05 billion, or growth of 20% – 22% in constant currency. The revenue is expected to be driven by Azure, which can have quarterly variability mainly from in-period revenue recognition depending on the mix of contracts. In Azure, Microsoft Corporation (NASDAQ:MSFT) expects Q4 2025 revenue growth of between 34% – 35% in constant currency, aided by robust demand for its portfolio of services.
RiverPark Advisors, an investment advisory firm and sponsor of the RiverPark family of mutual funds, released its Q1 2025 investor letter.
Here is what the fund said:
“Microsoft Corporation (NASDAQ:MSFT) shares were lower in the quarter despite reporting solid results. Investor expectations around AI monetization timelines moderated, and there was some rotation out of mega-cap tech. Microsoft remains a key enabler of enterprise digital transformation, with leading positions in cloud infrastructure, productivity software, and AI services. With durable growth, operating leverage, and strategic positioning across multiple secular trends, we remain highly confident in Microsoft’s long-term outlook.”
While we acknowledge the potential of MSFT to grow, 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 AI stock that is more promising than MSFT and that has 100x upside potential, check out our report about this
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Disclosure: None.
