MICROSOFT (#MICROSOFT)

MICROSOFT (#MICROSOFT) weekly special report based On 1 Lot Calculation:

ARTIFICIAL INTELLIGENCE:

• ARTIFICIAL INTELLIGENCE TECHNOLOGY CONTINUES TO GROW: According to the IDC, investments in Artificial Intelligence are expected to grow by 31% per year, to 251 billion dollars by 2027. Bloomberg estimates that the Generative Artificial Intelligence market could grow to 1.3 trillion dollars by 2032. The market is currently worth around 40 billion dollars.
• MICROSOFT IS A LEADER FOR ARTIFICIAL INTELLIGENCE PLATFORMS: According to recent data, Microsoft has introduced “BING AI” and Copilot for Microsoft 365. Previously, Microsoft has partnered with OpenAI, the developer of the most demanded AI application, ChatGPT. As of October 2024, ChatGPT has over 200 million weekly active users, double the number recorded in November 2023. Since the platform also launched SearchGPT and GPT-4o mini, ChatGPT users have reached an all-time high.

MICROSOFT: EVENTS

• EVENT (OCTOBER 30, AFTERMARKET): Q1 2025 EARNINGS REPORT. Microsoft is expected to print the highest ever EPS figure (3.1 dollars). This could be an increase of 5.44% compared to the previous quarter. The company is also expected to report 64.56 billion dollars in terms of revenues, a 14.27% increase compared with the same period last year.
• QUARTERLY REVENUE AND EARNINGS: LAST 8 QUARTERS. Microsoft has beat revenue expectations 6 out of the last 8 times. Microsoft has beaten earnings expectations 7 out of the last 8 times.

MICROSOFT: NEWS

• NEWS (OCTOBER 10): MICROSOFT UNVEILS MICROSOFT CLOUD FOR HEALTHCARE INNOVATIONS. Microsoft has unveiled new AI-powered innovations in its Cloud for Healthcare, including advanced medical imaging models, improved healthcare data management with Microsoft Fabric, and AI-driven nursing workflow solutions. These tools aim to streamline operations, enhance patient care, and address workforce shortages. The updates align with Microsoft's commitment to responsible AI development in healthcare.
• NEWS (SEPTEMBER 16): MICROSOFT ANNOUNCES QUARTERLY DIVIDEND INCREASE AND NEW SHARE REPURCHASE PROGRAM. Microsoft announced that its board of directors declared a quarterly dividend of $0.83 per share, reflecting an 8 cent or 10% increase over the previous quarter’s dividend. The board of directors also approved a new share repurchase program authorizing up to $60 billion in share repurchases. The new share repurchase program, which has no expiration date, could be terminated at any time.

MICROSOFT: DIVIDEND POLICY

• DIVIDEND PAID EACH QUARTER: $0.83 a share.
• TOTAL ANNUAL DIVIDEND: $3.32 share.
• EXAMPLE: If an investor owns 10,000 shares, he could each year expect to receive $33,200 in dividends.

MICROSOFT: PRICE ACTION

• MICROSOFT OVER THE PAST 10 YEARS: The stock price has risen on average around 29% each year over the past 10 years. The only negative return was recorded in 2022 when the whole market entered a bear run.

Data Source: Meta Trader 4

Please note that past performance does not guarantee future results.

• STOCK PRICE ACTION: THE STOCK HAS FALLEN BY ABOUT 10.5% FROM IT'S ALL-TIME HIGH OF $468.35. Microsoft was last trading around $419, and if a full recovery follows to all-time highs, the stock could see an upside of around ~11.77%. However, the price could go lower.

• ANALYSTS OPINIONS: TRUIST SECURITIES forecasts $600. Wedbush forecasts $550. HSBC forecasts $533. WELLS FARGO forecasts $515. MORGAN STANLEY forecasts $506.

#MICROSOFT, October 15, 2024
Current Price: 419

Example of calculation based on weekly trend direction for 1 Lot¹

1. 1.00 lot is equivalent of 1000 units

2. Calculations for exchange rate used as of 08:15 (GMT+1) 15/10/2024

There is a possibility to use Stop-Loss and Take-Profit.

• You may wish to consider closing your position in profit, even if it is lower than suggested one.

• Trailing stop technique could protect the profit.