Is Microsoft Stock A Buy After Software Giant's June-Quarter Earnings Report?
Software giant Microsoft (MSFT) has earned plaudits for its successful pivot from desktop computing to cloud computing. And MSFT stock has risen as a result. Many investors may be wondering: Is Microsoft stock a buy right now?To get more microsoft news, you can visit shine news official website.
Bill Gates and Paul Allen started Microsoft in 1975 at the dawn of the personal computer era to make PC operating system software. The company's Windows operating system came to dominate the PC landscape. Microsoft expanded over the years into productivity software, server software, internet services, video games and PC hardware and accessories.
Current Chief Executive Satya Nadella took the reins of the Redmond, Wash.-based company in 2014 and led Microsoft full steam into cloud computing.
The company's cloud offerings today include Azure infrastructure services, Office 365 productivity software and Dynamics enterprise software. Microsoft also owns LinkedIn, Skype and GitHub.On July 14, Microsoft unveiled Windows 365, a service that brings its Windows operating system to the cloud. The commercial service streams the full Windows experience, including apps, data and settings, to PCs and other devices. It also creates a new hybrid personal computing category called Cloud PC, the company said. MSFT stock advanced 0.5% that day.
On June 24, Microsoft introduced its Windows 11 personal computer operating system. Microsoft stock rose 0.5% on the news.
Windows 11 features a refreshed design with a new user interface and Start menu. It also provides PC performance improvements and integrates the Teams videoconferencing app. Windows 11 is the successor to Windows 10, which came out in July 2015. Windows 11 will be available this holiday season.
In other recent news, Microsoft announced a deal to buy Nuance Communications (NUAN) for $19.7 billion on April 12. The acquisition of Nuance will give Microsoft more heft in the health-care sector. Microsoft stock rose a fraction on the news.
And, on March 31, Microsoft received a contract to supply over 120,000 Microsoft HoloLens augmented-reality headsets to the U.S. Army. The contract is part of the Integrated Visual Augmentation System (IVAS) program. The deal could be worth up to $21.88 billion over 10 years. MSFT stock climbed 1.7% on the report.On July 6, the U.S. Department of Defense canceled a major cloud-computing contract that it awarded to Microsoft in October 2019. Microsoft beat out heavily favored Amazon.com (AMZN) to win the contract known as JEDI, or Joint Enterprise Defense Infrastructure. But Amazon contested the $10 billion contract award in court and delayed its implementation.
The Pentagon now plans to open a new contract, the Joint Warfighter Cloud Capability, to competition. The agency says it will solicit bids from both Amazon and Microsoft for the contract.
Meanwhile, Microsoft is protesting the award of a $10 billion cloud contract to Amazon by the the U.S. National Security Agency. That NSA contract is codenamed WildAndStormy, according to media reports. Microsoft filed an administrative protest via the Government Accountability Office about the contract.