Microsoft to Report Fiscal Q4 Earnings Today: ETFs to Watch

Core Viewpoint - Microsoft is expected to release its fourth-quarter fiscal 2025 results, with strong market anticipation and stock performance leading up to the announcement [1][2]. Company Performance - Microsoft stock has increased approximately 30% over the past three months, outperforming its sector's growth of 21.9% [2]. - The company has an Earnings ESP of -0.64% and a Zacks Rank of 2 (Buy), indicating a solid outlook despite a slight negative earnings surprise prediction [3]. - The earnings surprise average over the last four quarters stands at 5.21%, with a Zacks Consensus Estimate projecting earnings growth of 13.56% and revenue growth of 13.88% year-over-year [4]. Analyst Recommendations - Wall Street analysts have an average recommendation of 1.23 on a scale of 1 to 5, with 39 out of 47 brokerage firms rating it as Strong Buy [5]. - The average price target for Microsoft is $554.30, with estimates ranging from $475.00 to $626.00 [5]. Growth Potential - Microsoft holds a Growth Score of B, suggesting strong growth potential in the near term, with its stock trading at 34.36X forward earnings, above the industry average of 26.68X [6]. - The company is expected to benefit from the increasing use of artificial intelligence applications driving cloud infrastructure, particularly through its Azure cloud business in partnership with OpenAI [7]. Price Target Adjustments - Analysts have raised their price targets for Microsoft, with Evercore ISI increasing its target to $545.00 and Wedbush raising it to $600.00, citing strong momentum in Azure and AI [8]. Earnings Expectations - Microsoft anticipates revenues of $70 billion and earnings per share of $3.46 for the fiscal fourth quarter of 2025 [9]. ETFs with Microsoft Exposure - Several ETFs have significant exposure to Microsoft, including: - T-Rex 2X Long Microsoft Daily Target ETF (MSFX) with $9.1 million in assets [10]. - Global X PureCap MSCI Information Technology ETF (GXPT) with a 19.3% share of Microsoft [12]. - iShares Global Tech ETF (IXN) with a 17.6% share of Microsoft [13]. - iShares U.S. Technology ETF (IYW) with a 15.8% share of Microsoft [14]. - Vanguard Information Technology ETF (VGT) with a 14.9% share of Microsoft [15].