Microsoft Shares Rally 0.51% to 2024 High

Microsoft (MSFT) shares rose 0.51% today, reaching their highest level since July 2024 with an intraday gain of 1.70%.

Over the past five years, the strategy of buying MSFT shares after they reached a recent high and holding for one week yielded strong results. The strategy achieved a 66.55% return, surpassing the benchmark return of 50.02% by 16.53%. Although the strategy had a maximum drawdown of -17.75% and a Sharpe ratio of 1.05, indicating some risk and moderate returns, the 24.03% CAGR and 22.97% volatility showed the strategy's ability to generate consistent returns.

Analysts from Goldman Sachs and Evercore ISI have raised their price targets for Microsoft shares. Goldman Sachs increased their target from $480.00 to $550.00, while Evercore ISI raised their target from $500 to $515, both maintaining a "Buy" and "Outperform" rating respectively. This suggests a positive outlook and potential upside for Microsoft's stock.

Microsoft is likely to avoid fines from the European Union's antitrust case regarding Microsoft Teams. This resolution could positively impact the stock as it removes a potential financial and reputational risk.

Microsoft has dismantled the Lumma Stealer malware operation, which had infected over 394,000 Windows computers. This action highlights Microsoft's proactive approach to cybersecurity, potentially boosting investor confidence in the company’s ability to manage threats.