One Reason I Can’t Stop Buying Microsoft Stock

I keep hitting the buy button on Microsoft (NASDAQ:MSFT | MSFT Price Prediction) because the stock has gotten cheaper while the business has gotten stronger. The shares are down 13.06% year to date and down 7.24% over the past year, sitting at $418.57.

Meanwhile, the company just told me its AI business is running at a $37 billion annualized revenue run rate, up 123% year over year. That gap is the trade I am taking, quarter after quarter, with my own money.

The thesis I keep coming back to

Satya Nadella did not bury the lead on the last call. He said, “Our AI business surpassed $37 billion ARR, up 123%.” Then he added that this is “the beginning of one of the most consequential platform shifts” in tech. I can see the receipts inside the same report.

Microsoft 365 Copilot paid seats are now over 20 million, up 250% year over year, with Accenture alone running 740,000 seats and Bayer, Johnson & Johnson, Mercedes,…