Please select the second broker

Author: Alan LittleDate: 2022-04-28

Microsoft (MSFT) +6% as Azure cloud boosts Q3 revenue

Microsoft (MSFT) posted fiscal Q3 earnings and revenue beats on Wednesday after its core divisions all recorded strong growth and sent shares 6% higher.

Microsoft’s (MSFT) shares jumped 6% on Wednesday after its core divisions all recorded strong revenue growth and powered the tech giant to top and bottom-line beats in fiscal Q3.

Wall Street analysts had Microsoft pegged at $2.19 earnings per share and $49.05bn revenue, but it surpassed both with figures of $2.22 and $49.36bn for the three months to 31st March.

There were slight concerns going into the report about its Azure cloud offering, but its revenue surged 46% as the wider ‘Intelligent Cloud’ division was up 26% at $19.1bn.

Microsoft’s ‘Productivity and Business Processes’ and ‘Personal Computing’ segments also saw double-digit growth, returning $15.8bn and $14.5bn, respectively.

CEO Satya Nadella said that “industry leaders” including Heinz (KHC) and Boeing (BA) were flocking to its cloud services to support their own digital transformation initiatives.

Nadella also believes that Microsoft’s commercial cloud services give it “significant advantages” when compared to its key rivals in the industry.

Looking ahead to Q4, Microsoft expects the cloud division to grow by at least 10% and deliver between $21.1bn and $21.35bn, which is more than a $2bn rise from Q1.

Reacting to the report, BMO Capital Markets analyst Keith Bachman said that while Microsoft’s shares are not cheap, they offer a compelling case for investors due to “broad” revenue levers.

He added: “Microsoft’s results, guidance, and tone were bullish for Microsoft shares, and perhaps could serve to modestly help alleviate pervasive macro fears for software investors more broadly.”

Bachman also reiterated his ‘outperform’ rating and increased his price target to $345, which is on the upside of its current price.

During early trading on Wednesday, Microsoft shares advanced 6% to $286.30.

Scam Brokers, Broker Complaints

Are you aware of a scam broker or want to make a broker complaint?

We want our site users to find good brokers to trade through and to be warned off bad brokers. We encourage you to use our complaints tool to let us know about your experiences.

We have categorised the common complaints to make it easier for you and we have provided some guidance on what you may want to try before submitting a complaint, if our suggestions do not provide you with a resolution then by submitting a complaint, our team will attempt to take up your case with the relevant Broker and if needed, submit a formal report to the regulators.

We use the information you give us to decide if we want to continue to promote a broker on our site.

Your scam broker complaint not only helps you, it helps others and it helps us determine if we continue to support the broker.