Microsoft Nears $4 Trillion: AI Boom Propels Stock Rally, Analysts See $600 Ahead
Microsoft’s stock has been on a tear in 2025, hovering near record levels after a robust year of growth. Shares ended last week around $513–$514stockanalysis.com, not far from the all-time closing high of ~$555 set in late Julyts2.tech. This rally has added hundreds of billions to Microsoft’s market capitalization, which now sits just under the $4 trillion milestonets2.tech. The stock has climbed roughly 23% over the past 12 monthsts2.tech, outpacing the broader market amid excitement over artificial intelligence and resilient demand for cloud services. Recent financial results underpin this optimism. In its fiscal 2025, Microsoft delivered double-digit growth across key segmentsts2.tech. Revenue rose to $281.7 billion and operating income hit $128.5 billion, as the company benefited from booming cloud-computing usage and AI-related software sales. The April–June quarter topped expectations with $76.4 billion in sales and earnings of $3.65 per sharets2.tech. CEO Satya Nadella highlighted that “Microsoft Cloud surpassed $168 billion in annual revenue” in FY25, up 23% year-on-yearts2.tech – an indicator of the enormous scale and momentum in Azure, Office 365, and other cloud offerings.