Microsoft Gets Fresh Bull Who Says AI Upside Is Still Undervalued

Microsoft’sMSFT

stock just hit all-time highs, but one Wall Street firm sees even more room to run. With the tech titan up 40% from “Liberation Day” lows, OppenheimerOPY

raised its outlook to Outperform, pointing to underappreciated AI upside — even as 90% of analysts already recommend buying.

• With shares trading around $500, Oppenheimer’s $600 price target represents a 20% gain — believing “its AI business is not fully [reflected] in the stock, nor is a re-acceleration in Azure.”
• The call follows a Q1 earnings beat that saw net income jump 18% and every business segment post growth — propelled by cloud platform Azure’s 33% sales boom from last year.

Timing is everything: While Oppenheimer touts Microsoft as “one of the long-term AI winners,” CEO Satya Nadella’s recent AI “overbuild” warning sings a different tune. The software giant reportedly canceled data center leases and adopted a “wait and see” approach just months before this bullish upgrade. Oppenheimer’s target also towers above the ~$530 average, suggesting either Wall Street is missing something or Microsoft is playing chess while others play checkers. Regardless, someone’s about to be very right — or very wrong.