What's Happening with msft
Tech titan Microsoft (MSFT) reports fiscal second-quarter numbers January 29. The company will report its numbers after the market close with the consensus calling for earnings of $1.32 per share. During the same period last year the company $1.08 and the stock has appreciated 23% since the end of June.
Technical Analysis
MSFT was recently trading at $166.89 down $1.30 from its 12-month high and $64.72 above its 12-month low. InvestorsObserver gives MSFT a 82 long-term technical score and a 92 short-term technical score. The stock has recent support above $160 and recent resistance below $168. Of the 23 analysts who cover the stock 21 rate it Strong Buy, 1 rates it Buy, 1 rates it Hold, 0 rate it Sell, and 0 rate it Strong Sell, MSFT gets a score of 72 from InvestorsObserver.
Analysts' Thoughts
Microsoft has been one of the top stocks in the market over the last several years as the company's ability to carve out a leadership role in the fast-growing cloud computing market. The company has managed to grow profits at an annual rate of 18.1% over the last five years and looking ahead, analysts see the company's profits rising 14.6% per annum over the next five years. MSFT stock is trading just shy of its all-time high, with a forward P/E of 27.4. The valuation is a little high, and with MSFT priced for perfection, the company is going to need a strong set of numbers to keep shares moving higher. Microsoft has outpaced estimates on the top and bottom lines for three straight quarters, and the street expects another earnings beat this quarter with a whisper number of $1.38. Given the strong bullish sentiment in the stock, MSFT will continue to move higher as long as the company is able to hit or exceed its forecast. Analysts have an average price target of $172.67 on the stock.