US stock futures rose after Microsoft and Meta Platforms reported strong earnings, beating estimates and issuing optimistic outlooks. Microsoft's annual revenue from Azure exceeded $75 billion, while Meta topped estimates and provided a positive Q3 sales outlook. The Nasdaq Composite rose 0.15% during regular trading, while the S&P 500 and Dow Jones fell 0.12% and 0.38%, respectively. Investors await the June PCE price index report and several earnings releases on Thursday.
US stock futures rose after Microsoft and Meta Platforms reported strong earnings, beating estimates and issuing optimistic outlooks. Microsoft's annual revenue from Azure exceeded $75 billion, while Meta topped estimates and provided a positive Q3 sales outlook. The Nasdaq Composite rose 0.15% during regular trading, while the S&P 500 and Dow Jones fell 0.12% and 0.38%, respectively. Investors await the June PCE price index report and several earnings releases on Thursday.
Microsoft, in its fiscal fourth-quarter earnings report, disclosed that annual revenue for its Azure cloud computing platform surpassed $75 billion, up 34% from a year earlier [1]. The company also reported a fiscal fourth-quarter profit of $34.3 billion, or $3.65 per share, exceeding analyst expectations. Revenue for the April-June period was $76.4 billion, an 18% increase year-over-year, again surpassing analyst forecasts [1].
Microsoft's Azure cloud business has been a centerpiece of its efforts to shift focus to artificial intelligence. The revelation of Azure's standalone revenue offers transparency into Microsoft's cloud market share, positioning it as a formidable rival to Amazon and Google [2]. The company's unbundling of Azure's revenue demonstrates confidence in the cloud business's long-term strength and reflects increasing investor demand for transparency in high-growth segments [2].
Meta Platforms also reported strong earnings, with revenue for the third quarter exceeding Wall Street estimates. The company forecast third-quarter revenue well above estimates, as artificial intelligence continued to strengthen its core advertising business. Meta's shares rose 10% in extended trading, signaling investor confidence in the company's AI-driven strategies [4].
Investors are optimistic about both Microsoft and Meta's stock prospects. Microsoft's Azure revenue growth and strong financial performance position it well for continued growth, while Meta's AI investments and robust financials make it a top choice for long-term growth investors [2, 4].
References:
[1] https://abcnews.go.com/Business/wireStory/microsofts-annual-cloud-revenue-hits-75b-profit-beats-124221585
[2] https://inews.zoombangla.com/microsoft-stock-soars-as-azure-revenue-tops-75-billion-in-annual-sales/
[4] https://nypost.com/2025/07/30/business/mark-zuckerbergs-meta-surges-as-facebook-parents-revenue-soars-on-ai-superintelligence-push/
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