:max_bytes(150000):strip_icc()/GettyImages-2250743851-14645210ee864ef68de7237400520dd3.jpg?w=1024&resize=1024,1024&ssl=1 "Is Microsoft Undervalued by Investors? These Tech Stock Experts Think So.")
By Learn about our
Publication Date: 2025-12-22 12:00:00
Key Takeaways
- Wedbush analysts wrote Monday that Microsoft stock has room to run in 2026 after it has recently pulled back from October’s record highs.
- Investors are still “underestimating” how much value Microsoft’s Azure cloud computing services could add as the AI industry continues to grow, the analysts said.
Microsoft (MSFT) stock has set a number of records this year, and analysts think that trend can continue well into 2026.
Wedbush analysts led by Dan Ives, who is particularly bullish on the artificial intelligence trade, wrote Monday that Microsoft remains undervalued as the new year approaches. The analysts reiterated their “outperform” rating and $625 price target, upside of nearly 30% from the stock’s Monday levels.
The analysts wrote that investors are still “underestimating” how much Microsoft’s Azure cloud computing service could grow if the AI industry continues expanding as Wedbush expects. The analysts project that Azure and Microsoft’s Copilot AI…