Technology giant Microsoft (NASDAQ:MSFT) reported first-quarter financial results after market close Wednesday.
Microsoft reported first-quarter revenue of $65.60 billion, up 16% year-over-year. The total beat a Street consensus estimate of $64.51 billion according to data from Benzinga Pro.
The company reported first-quarter earnings per share of $3.30, beating a Street consensus estimate of $3.09 per share. Microsoft's operating income was $65.6 billion in the first quarter, up 14% year-over-year.
"AI-driven transformation is changing work, work artifacts, and workflow across every role, function, and business process,” Microsoft CEO Satya Nadella said.
Microsoft reported first-quarter revenue of $65.60 billion, up 16% year-over-year. The total beat a Street consensus estimate of $64.51 billion according to data from Benzinga Pro.
The company reported first-quarter earnings per share of $3.30, beating a Street consensus estimate of $3.09 per share. Microsoft's operating income was $65.6 billion in the first quarter, up 14% year-over-year.
"AI-driven transformation is changing work, work artifacts, and workflow across every role, function, and business process,” Microsoft CEO Satya Nadella said.
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00:00let's go to microsoft real quick so microsoft reported after the close yesterday kind of the
00:05same time as meta and microsoft came out with an eps beat three dollars and thirty cents against
00:10the three dollar and nine cent estimate sales came in at 65.6 billion dollars beat the 64.5
00:18billion dollar estimate so like meta you had the double beat on eps and sales uh but the guidance
00:24was a little bit slower uh or a little bit lower than expected um or at least just you know the
00:30guidance i mean microsoft has such a high bar here um and microsoft guidance was a little bit uh
00:37lackluster just in terms of expectations and so they sold off the stock went down about three and
00:43a half percent um what they said they said something about azure so strong cloud growth
00:48still and that's to be expected with microsoft um they see intelligent cloud revenue coming in
00:54in q2 at 25.5 to 25.85 billion dollars uh either way so you're seeing the stock down three and a
01:01half percent but here's how you know it wasn't a terrible quarter because the analysts are coming
01:06in this morning and actually raising price targets morgan stanley maintains overweight on microsoft
01:11raises price target to 548 from 506 that's a pretty significant price target raised um and
01:18that's you know coming in the morning after the earnings the analysts have time to parse through
01:22it go through the call and they say yeah we think uh microsoft's going to do pretty well so the
01:27quarter i mean i think the bar was just high and probably not the right day to report the analysts
01:33just again the analysts just come in and they buy the dip on stocks like microsoft they can't help
01:38themselves so they're coming and raising their price targets because they're getting the dip
01:42and they're like well we got to buy the dip buy the devil microsoft i mean this is just the
01:46mentality it's herd mentality in all these stocks you know all the magnificent seven to a certain
01:50extent maybe minus tesla because obviously it's underperformed them all but it's all about buying
01:56the dip on the meg seven because they just come back so they're like yeah we're coming in we're
02:00going to buy the dip and i mean this is what the market does too on those main stocks you know
02:04eventually they're buying the dip apple's tried to go down we've talked about this relentlessly here
02:08for like you know the last month but on basically bad headlines or negative headlines and bounces
02:16back am i going to bet against the bounce back and microsoft probably not i mean i don't think
02:21it's going down to 400 here today it doesn't feel like the s&p's want to roll over and take
02:25everything with it we're going into a seasonally strong period for the market being november
02:30december i think you know as a trade probably microsoft dip gets bought huh interesting here
02:37uh boom boom boom i mean we're way off the pre-market lows you're not after hours low
02:43that was 409.77 i like that area i like the 410 area just because you can see three four
02:50lows in that area uh the bottom of yesterday's range 432.10 i don't even think you're going to
02:57see that um i think those prior highs maybe maybe be lucky to sell some stuff in the 420 handle
03:04moving up but dennis i i have a a lunch bet or a proposition on microsoft okay i haven't
03:13made a bet in a long time what do you do yeah i don't think microsoft makes a new all-time high
03:24i'll say by the end of q3 q1 q1 q1 you mean you get i get the entire quarter like january
03:33that you get now you get until the end of march see it's the problem i can't take on that bet
03:39because i sold my microsoft because i think the valuation is too high so i don't know when the
03:42market starts caring about valuation but it doesn't right now it just cares about story and it cares
03:46about ai and it thinks microsoft's a big part of it i do think microsoft dip's gonna get bought
03:51that's a long ways away 468 you know you're talking 50 away it's got a 15 rally i don't
03:58know if we're in the market maybe i i again i just valuations just you know