Microsoft’s stock price continues to decline. Why has its AI advantage failed to gain market favor?
The pullback in stock prices has triggered pessimistic sentiment; however, data on cloud services and AI demand continues to show growth. Analysts have clearly stated that Microsoft remains the company with the strongest cash-generating capabilities, and its valuation has become even more attractive.
Microsoft’s (MSFT.O) stock price has fallen by approximately 10% over the past three months, hitting a more than 7-month low, reflecting continued weakness in the software sector. However, analysts at Morgan Stanley noted that when asked where IT directors would allocate additional AI budgets, Microsoft was still the most frequently mentioned.
On January 14, the company’s share price fell by 2.4%, closing at $459.38, its lowest level since…
