Let’s break down the key metrics for tech giant Microsoft ahead of its earnings release:
1. Earnings Prediction: High probability that MSFT beats consensus. Projected revenue of ~$90.5B (+15% YoY). Driven by Azure Cloud growth, with guidance targeting an impressive 45% YoY.
2. Post-Earnings Price Action: Bullish 🚀. Despite massive AI infrastructure spending (CapEx nearing $50B/quarter), a record-high Remaining Performance Obligation (RPO) of $678B (+84% YoY) confirms strong monetization and long-term demand.
3. Current Position: Holding $MSFT long-term in my tech portfolio.