Microsoft’s historic plunge: Why the company lost $357 billion in value despite strong results

Microsoft’s historic plunge: Why the company lost 7 billion in value despite strong results

By Todd Bishop
Publication Date: 2026-02-01 21:29:00

Microsoft’s stock plunge Thursday was the single-day largest dollar loss in its history. (GeekWire File Photo)

The “Black Monday” market crash in October 1987, when the Dow plunged more than 22%. The antitrust ruling against Microsoft in April 2000, when a federal judge declared the company a monopolist. The Surface RT writedown in July 2013, when a $900 million bet on tablets went bad. The COVID crash of March 2020, when the world shut down and the market fell off a cliff.

Now add to the list of Microsoft’s worst single-day stock plunges: the company’s earnings beat for the second quarter of fiscal 2026, last Wednesday, Jan. 28.

Microsoft’s shares fell as much as 12% in intraday trading on Thursday, before closing at $433.50, down 10%, erasing $357 billion from its market value.

It was the largest single-day dollar loss in Microsoft’s history and the seventh-largest percentage decline since the company went public in 1986. The…