Will AI momentum continue to drive Microsoft (MSFT.US)?
1min read Microsoft (MSFT.US) will announce its FY24 Q4 earnings after the bell on Tuesday, July 30. Wall Street analysts expect Microsoft to report Q4 revenue of $63.47bn (+14.6% YoY), net income of $22.88bn (+8.9% YoY), and EPS of $2.93. Investors will be looking for updates on the growth of Microsoft's cloud business Azure and the latest progress of the company's AI plans.
As customers use cloud platforms to train and run AI workloads, Azure benefits from the AI momentum. The sustained growth of Azure revenue has driven Microsoft's earnings growth in the past quarters. Goldman analysts expect Azure revenue to reach $37.2bn, up YoY and MoM. Analysts say that as long as the market is in the infrastructure building stage of generative AI, Azure's share and its leadership in generative AI will continue to put Microsoft on a path of its own.
Microsoft's earnings call and conference call may focus on the company's position in the growing market for AI. Through its ongoing partnership with OpenAI, the tech giant has established itself as an early leader in AI. The company may provide updates on its latest Windows PCs designed for AI workloads, as well as how these new devices are expected to impact Microsoft's computing business.