Microsoft’s stock ended its seven-day winning streak, dropping 1% to $430.81 on Wednesday. Despite this, the stock has risen 15.38% year-to-date, though still trailing the S&P 500’s 18% gain. On Tuesday, Microsoft announced a 10.7% dividend increase and a $60 billion share buyback program. Analysts remain optimistic, with most rating the stock as a BUY, despite a Quant rating of HOLD due to a low valuation score. Analysts predict Microsoft will thrive in the AI sector given its rising free cash flow and strong shareholder returns.
