MSFT

Microsoft (MSFT) delivered earnings and revenue surprises of 2.20% and 0.34%, respectively, for the quarter ended December 2022. Do the numbers hold clues ...

This provider of software and services to the insurance industry is expected to post quarterly earnings of $0.33 per share in its upcoming report, which represents a year-over-year change of +3.1%. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #3 (Hold) for the stock. It will be interesting to see how estimates for the coming quarters and current fiscal year change in the days ahead. MSFT Quick Quote MSFT - Free Report) came out with quarterly earnings of $2.32 per share, beating the Zacks Consensus Estimate of $2.27 per share. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately.

Microsoft is experiencing slow growth, but is hopeful Microsoft Cloud can carry it into the future.

[Q2 2023 earnings call](https://www.shacknews.com/article/133817/miscrosoft-msft-q2-2023-earnings-call). [Microsoft (MSFT) Q2 2023 earnings results miss revenue expectations on in-line EPS](/article/133825/microsoft-msft-q2-2023-earnings-results-miss-revenue-expectations-on-in-line-eps) "The next major wave of computing is being born, as the Microsoft Cloud turns the world’s most advanced AI models into a new computing platform," Microsoft CEO and chairman Satya Nadella said in Tuesday's earnings report. Microsoft's overall outlook appears to be optimistic, as the company turns towards the Microsoft Cloud to push it forward. However, it falls short of the $52.94 billion that was expected. [Q2 2023 earnings report](https://www.microsoft.com/en-us/investor/earnings/fy-2023-q2/press-release-webcast) on the Microsoft website:

Microsoft (MSFT) was able to evade the bears late Tuesday when results from its cloud business impressed enough for the market to overlook its half-bi.

Early bulls in the market may want to brace themselves for a steeper retracement. The author makes no representations as to the accuracy, completeness, or suitability of this information. Bears could position themselves for a profitable trade idea in the coming days. Equities find themselves in the red once again. The author has not received compensation for writing this article, other than from FXStreet. The author will not be held responsible for information that is found at the end of links posted on this page. This would imply that the bottom in MSFT shares was in since Microsoft already produced a higher low on January 6, above the range low from November 4. It also does not guarantee that this information is of a timely nature. “The next major wave of computing is being born, as the Microsoft Cloud turns the world’s most advanced AI models into a new computing platform,” said Satya Nadella. This would likely bring more bulls to the fore. Microsoft (MSFT) was able to evade the bears late Tuesday when results from its cloud business impressed enough for the market to overlook its half-billion-dollar revenue miss. 18% still demonstrates that the growth in cloud has begun to slow, but nearly everyone knew that based on competitors like Amazon Web Services and Google Cloud.

Microsoft Corp.'s second-quarter profit topped analysts' estimates, helped by strength in its Azure cloud-services business even as demand slumped for ...

In Microsoft’s closely watched Azure cloud-computing business, sales gained 38%, compared with predictions for a 37% increase, excluding the impact of currency fluctuations. That compared with average analysts’ projections for $2.30 a share in earnings and $52.9 billion in revenue, according to a Bloomberg survey. Shares rose more than 4% in late trading.

Microsoft Corp. said revenue growth in its Azure cloud-computing business will decelerate by 4 or 5 percentage points in the current period and projected a ...

Microsoft Corporation's Q2 '23 results showed a slight earnings beat, despite revenue falling short of expectation. Read more as we analyze MSFT's earnings.

[HoloLens group](https://www.bloomberg.com/news/articles/2023-01-18/microsoft-scales-back-hololens-business-after-setback-on-us-army-goggles) after “Congress [rejected](https://www.bloomberg.com/news/articles/2023-01-12/microsoft-combat-goggles-falter-as-congress-says-no-to-buying-more-this-year) the U.S. Ensuing improvements to the bottom line, and inadvertently, EPS expansion will likely “strengthen the bull case” for a more sustained recovery in Microsoft Corporation stock later in the calendar year, and offset any persistent top line deceleration coming off of the temporary macroeconomic headwinds. [previous coverage](https://seekingalpha.com/article/4549085-microsoft-q1-2023-quick-take-snooze-you-lose) on the stock, Microsoft has already incorporated OpenAI’s AI-enabled text-to-image tool, [DALL-E](https://www.bloomberg.com/opinion/articles/2022-10-14/microsoft-ai-art-app-could-help-curb-fake-images), into its new “ [Designer](https://www.cnbc.com/2022/10/12/microsoft-launches-designer-its-answer-to-highly-valued-startup-canva.html)” app, as well as other “ [Image Creator](https://www.bing.com/create) features for Bing and Microsoft Edge”. Taking into consideration an assumed average annual salary rate of $200,000 across all functions and levels within Microsoft, the latest reduction in force (“RIF”) enforced could result in annualized savings of as much as $2 billion, and bolster consolidated operating margins by 100 to 200 bps with an added $0.20 range boost to EPS. And this is consistent with the current situation, where the [rising volume of job cuts](https://www.bloomberg.com/news/articles/2023-01-20/google-cuts-add-to-tech-wipeout-that-s-claimed-over-100-000-jobs) across the tech industry, which has inadvertently driven down seat subscription volumes, will likely continue to weigh on PBP segment revenue growth within the near-term. [a third](https://www.bloomberg.com/news/articles/2023-01-20/who-uses-chatgpt-30-of-white-collar-professionals-tried-it-at-work) of [recently surveyed](https://www.fishbowlapp.com/insights/chatgpt-sees-strong-early-adoption-in-the-workplace/) American professionals indicating they have used “ChatGPT or another artificial intelligence program in their work,” Microsoft’s extended partnership with OpenAI will likely grow into a key competitive advantage over the longer-term, and further narrow the market share gap between Azure and industry leader AWS. While longer-term secular growth trends in cloud-computing persist due to the mission critical nature of related solutions for ongoing global digitization efforts – which we view to be beneficial for Azure, especially given growing adoption of a multi-cloud strategy to improve reliability and cost-efficiencies – accelerating “cloud spend optimization” implemented by customers to essentially “do more with less” as Nadella has preached, taken together with persistent input cost fluctuations (e.g., energy), will likely eat further into the business’ profit margins in the near-term as well. [recent retreat](https://www.bloomberg.com/news/articles/2023-01-03/dollar-makes-strong-start-to-2023-after-months-long-slump), alongside moderating benchmark Treasury yield, from its peak in late September on the back of improving inflation data that has traders dialing back on expectations for more aggressive Fed rate hikes as the year progresses. Although Surface device sales account for only a nominal mix of the company’s consolidated results, Microsoft’s flagship Windows operating system remains the “dominant operating system” for personal workstations, underscoring the MPC segment’s vulnerability to near-term deterioration in economic conditions. Taken together with the benefit of weaker PY comps from fiscal 1H23, when margins were blighted by higher energy costs, severance / restructuring costs, new acquisition (i.e., Nuance and Xandr) integration costs, and adverse FX headwinds, Microsoft is ripe for a turnaround in the second half of calendar 2023. Specifically, improvements to margin preservation and expansion amid the looming economic downturn will be a key driver of potential upside recovery for Microsoft in the second half of calendar 2023. [persistent softening](https://www.gartner.com/en/newsroom/press-releases/2023-01-11-gartner-says-worldwide-pc-shipments-declined-28-percent-in-fourth-quarter-of-2022-and-16-percent-for-the-year) in PC demand, which had, inadvertently, further slowed sales of its higher-margin Windows software – the dominant operating system for personal workstations.

Call Participants. Prepared Remarks: Operator. Greetings, and welcome to the Microsoft fiscal year 2023 second quarter earnings conference call. At this time, ...

And we lapped the acquisitions both of Nuance and of Xandr. In the first half of the year, over 70% of our revenue came from our Commercial business and over 70% of that from Microsoft Cloud. I mean, you know, I think that you can -- you have a workload, you optimize the workload, and you start a new workload. While we had some more challenges on maybe a stand-alone sale of a new product where the cycle is going to be a little longer, right, and you're going to have to show that cost savings. And those are all the things that people will be able to sort of use to ensure that the ARPUs are also going up a bit value. Satya, I was hoping you could talk to us about, is there any expansion in the scope of what you guys are doing with OpenAI and the commitment that you guys are making in terms of sort of the compute capacity you're going to be giving to them? We expect COGS to grow between 1% and 2% in constant currency or to be between $15.65 billion and $15.85 billion and operating expense to grow between 11% and 12% at constant currency or be $14.7 billion to $14.8 billion. And finally, as a reminder, for Q3 cash flow, we expect to make a $1.2 billion cash tax payment related to the TCJA capitalization of R&D provision. Within the segments, we anticipate roughly four points of negative impact on revenue growth in Productivity and Business Processes, three points in Intelligent Cloud, and two points in More Personal Computing. Operating expenses increased 6% and 9% in constant currency, including roughly six points of impact from the Q2 charge noted earlier and three points of impact from the Xandr acquisition. In our per-user business, the Enterprise Mobility and Security installed base grew 16% to over 241 million seats with impact from the slowdown in growth of new business noted earlier. I want to start with the context I shared with our employees last week on the changing environment and our priorities.

Today's instrument is the Microsoft Corp.'s stock traded in Nasdaq exchange under the ticker MSFT. Looking at the MSFT's chart, we can see that it was.

Experts at the crypto intelligence tracker Santiment believe the recent spike in activity by whales on these networks needs to be watched closely. GBP/USD is having a difficult time gathering recovery momentum and trading in negative territory below 1.2400 on Friday. Gold price has lost its traction and declined below $1,930 during the American trading hours. EUR/USD has extended its slide toward 1.0850 in the American session. Information presented herein is not to be construed as a solicitation or an offer to buy or sell any Financial Instrument or to participate in any trading strategy. [Read more](https://www.fxstreet.com/cryptocurrencies/news/is-the-dramatic-rise-in-whale-activity-in-aave-matic-and-dydx-a-sell-signal-202301270615) [Breaking: US annual Core PCE inflation declines to 4.4% in December as expected](https://www.fxstreet.com/news/breaking-us-annual-core-pce-inflation-declines-to-44-in-december-as-expected-202301271331) [Read more](https://www.fxstreet.com/analysis/us-december-pce-inflation-preview-is-there-room-for-further-us-dollar-weakness-202301261520) [GBP/USD News](https://www.fxstreet.com/news?q=&hPP=17&idx=FxsIndexPro&p=0&dFR%5BTags%5D%5B0%5D=GBPUSD) [Gold struggles to hold above $1,930](https://www.fxstreet.com/markets/commodities/metals/gold) [Gold News](https://www.fxstreet.com/markets/commodities/metals/gold) [Is the dramatic rise in whale activity in AAVE, MATIC and DYDX a sell signal?](https://www.fxstreet.com/cryptocurrencies/news/is-the-dramatic-rise-in-whale-activity-in-aave-matic-and-dydx-a-sell-signal-202301270615) Today, we could expect a slight drop toward its support level at around $23,5 and if it is able to hold it above that level, then an upward reaction should be expected towards its closed price. [EUR/USD News](https://www.fxstreet.com/news?q=&hPP=17&idx=FxsIndexPro&p=0&dFR%5BTags%5D%5B0%5D=EURUSD) [GBP/USD trades on the back foot below 1.2400](https://www.fxstreet.com/currencies/gbpusd) [EUR/USD retreats to 1.0850 area as US Dollar rebounds](https://www.fxstreet.com/currencies/eurusd)

Shares of Microsoft (NASDAQ:MSFT) rose initially but then declined in after-hours trading after the company reported earnings for its second quarter of ...

[analysts’ consensus estimate](https://www.tipranks.com/stocks/msft/earnings) of $2.29 per share. Sales increased by 2% year-over-year, with [revenue](https://www.tipranks.com/stocks/msft/financials) hitting $52.7 billion. [Join our Webinar to learn how TipRanks promotes Wall Street transparency](https://lp.tipranks.com/webinar-big/) The Intelligent Cloud division—which includes Azure—posted $21.5 billion in revenue, narrowly beating consensus figures calling for $21.4 billion. Additionally, the overall revenue deceleration seen in 2022 will continue to impact the 2023 results. MSFT stock is down 2.5% in pre-market trading at the last check.