By Daniel Sparks, The Motley Fool
Publication Date: 2026-03-15 02:20:00
It has been a frustrating start to 2026 for Microsoft (NASDAQ: MSFT) investors. Year to date, the stock has fallen about 18%. Even worse, the stock is down about 29% from a 52-week high of $555.45.
The tech stock’s decline comes as many software stocks take a beating amid investor caution over evolving risks in an era of artificial intelligence (AI).
Will AI create the world’s first trillionaire? Our team just released a report on the one little-known company, called an “Indispensable Monopoly” providing the critical technology Nvidia and Intel both need. Continue »
Previously, I viewed this pullback as a potential opportunity. After all, the underlying business continues to do very well. In its fiscal Q2, for instance, Microsoft’s revenue rose 17% year over year, and operating income rose 21% to $38.3 billion.
But after thinking more about the competitive landscape and the details of Microsoft’s recent earnings report, I’ve changed my mind. I now believe the risk…
