Microsoft (MSFT)’s Traditional Software “Was Extraordinary,” Says Jim Cramer

Core Insights - Microsoft Corporation (NASDAQ: MSFT) reported $77.67 billion in revenue and $3.72 in earnings per share, surpassing analyst expectations, but shares fell by 4% due to concerns over increased capital expenditures in 2026 as indicated by CFO Amy Hood [2][3] - The company's cloud computing revenue experienced significant growth of 40%, highlighting its strong performance in this segment [2] - Jim Cramer emphasized the importance of analyzing CFO Amy Hood's comments regarding spending needs and noted the exceptional performance of Microsoft's traditional software products, particularly Copilot [3] Financial Performance - Microsoft achieved $77.67 billion in revenue, exceeding analyst estimates [2] - Earnings per share were reported at $3.72, also beating expectations [2] - Cloud computing revenue grew by 40%, indicating robust demand in this area [2] Management Commentary - CFO Amy Hood's shift in outlook regarding capital expenditures raised investor concerns, as she previously anticipated a decrease in spending [2] - Jim Cramer highlighted the necessity to closely examine Hood's statements about addressing constraints and spending requirements [3] - CEO Satya Nadella's comments were also discussed in the context of the company's future direction [2][3]