Analysts Say ‘We Would Be Aggressive Buyers on Any Pullbacks’ in Microsoft Stock. Should You Be Too?

The market can be a fickle beast. One moment, it is cheering; the next, it is sulking. On Oct. 29, when Microsoft (MSFT) dropped its latest earnings, the crowd gasped as shares slipped about 2.9% the following day. Funny thing is that the company beat expectations. Investors were simply spooked by Microsoft’s growing appetite for capital expenditures, which shot up 74% year-over-year (YOY) in the most recent quarter. Half of that spending went straight into GPUs and CPUs, fuel for Azure’s unrelenting hung ...