By Anthony Di Pizio
Publication Date: 2026-02-06 09:20:00
Microsoft stock tumbled after the company’s latest earnings report, which could be an opportunity for long-term investors.
Microsoft (MSFT +1.65%) is one of the world’s most diversified technology companies, with a presence in software, cloud computing, gaming, social media, and more. It’s leveraging its dominant position in some of those industries to participate in the artificial intelligence (AI) boom, and it’s having incredible success despite some bumps in the road.
Microsoft reported its operating results for its fiscal 2026 second quarter (ended Dec. 31) on Jan. 28, which sent its stock tumbling to a one-day loss of over 10%. Despite strong results across the board, investors were concerned about some modest weakness in its AI software and cloud businesses.
The stock is now down 22% from its record high, but it’s still one of the best-performing investments in history, with a 580,650% gain since its initial public offering (IPO) in 1986. The recent sell-off might be a…