There are quite a few positives being touted for Microsoft stock from analysts right now as to why it may be worth buying. Microsoft invested $1 billion in OpenAI in 2019 and is rumoured to be investing another $10 billion in a deal that would ultimately see Microsoft with 75% of all profits until it recovers its original investment and then reverts back to a 49% ownership. Morgan Stanley sees Microsoft stock with a price target of over $300.
Microsoft is projected to generate $212 billion in revenue during 2023 (up over 7% from 2022) and it also has its gaming brand Xbox as a revenue earner. So, does the recent broader market falls for Microsoft mean it is a good value to buy for the long term?
Over the last 10 years, Microsoft has gained 8 times between January 18 and March 01 for an average return of 3.42%. Do these seasonals make this a good time to buy Microsoft stock?
Major Trade Risks: The major risk here is that slowing global growth hinders demand for Microsoft products and the OpenAI investment proves unsuccessful.
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