Earnings
Home›Earnings›Previews›Microsoft shares rise as investors await AI-driven Q4…
Microsoft shares rise as investors await AI-driven Q4 earnings
Consensus estimates call for adjusted earnings of $4.24 per share on $87.62 billion in revenue, after the stock fell about 19% in 2026 through Tuesday.
Microsoft shares edged higher on Wednesday as investors awaited the company’s fiscal fourth-quarter earnings, scheduled for release after the closing bell, with attention centered on whether its artificial intelligence investments are starting to translate into stronger financial results, according to LiveMint Markets.
Analysts tracked by the outlet expect Microsoft to report adjusted earnings of $4.24 per share on revenue of $87.62 billion, implying 14.6% year-over-year revenue growth for the quarter ended June 30. The projection also suggests revenue growth would accelerate to 15.4% in the September quarter.
LiveMint Markets noted Deutsche Bank maintains a buy rating but flagged concentration risk tied to Microsoft’s partnership with OpenAI, highlighting that Microsoft disclosed in January that roughly 45% of its $625 billion in commercial remaining performance obligations were linked to OpenAI. The company’s AI buildout also requires more advanced chips, which could constrain capacity available for Azure customers, the outlet said.
Options traders are positioning for an approximately $190 billion swing in Microsoft’s market value following the earnings announcement, underscoring the market focus on whether AI is strengthening core performance, LiveMint Markets added. Investors will pay close attention to Azure cloud growth, enterprise adoption of Microsoft’s AI offerings, and company forward guidance during the analyst call starting 5:30 p.m. ET.