By Gabe Ross
Publication Date: 2025-11-23 10:50:00
Microsoft (NASDAQ:MSFT) has been plodding along, delivering positive – though not eye-watering – returns throughout the better part of the year. While nothing to sneeze at, MSFT’s gains of some 13% year-to-date are a far cry from the incredible gains some AI-powered titans have achieved this year.
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It goes without saying that delivering huge gains becomes increasingly difficult as companies scale in size. Microsoft, with a market cap of some $3.5 trillion, certainly fits that bill.
And yet, Microsoft’s most recent quarter demonstrated that the company is doing just fine on that front. Its $77.7 billion in revenue was up 18% on a year-over-year basis, and Microsoft Cloud revenues of $49.1 billion reflected an increase of 26% from the previous year.
However, since reporting its First Quarter Fiscal Year 2026 numbers at the end of October, it has been a downhill slog for MSFT. Overall fears of an AI bubble are likely the biggest culprit for…
