Microsoft: Falling Knife or Once-in-a-Decade Buying Opportunity? | The Motley Fool

Artificial intelligence (AI) stocks have slipped in recent days, and there may be various reasons behind this. Broadcom led the movement as the company’s chip sales forecast disappointed some investors, putting pressure on a wide range of AI stocks. Meanwhile, certain investors may be rotating out of today’s major AI players in order to invest in SpaceX after its initial public offering or setting aside funds to invest in the upcoming IPOs of Anthropic and OpenAI.

All of this has weighed on some of the biggest tech players, including Microsoft (MSFT +0.11%). The software giant’s stock slipped 15% since the start of the month through June 11. Is Microsoft a falling knife — or is it offering us a once-in-a-decade buying opportunity at today’s level? Let’s find out.

A confirmed tech giant

First, let’s catch up on the Microsoft story so far. The company long ago confirmed its position as a tech giant, with a range of revenue streams including its leading…