Microsoft Corporation (NASDAQ-MSFT) has reported earnings results for the first quarter of 2024 above the expectations of global analysts. Revenues were $56.5 billion, up 13% year-over-year, according to the company’s press release. Operating profit was up 25% year-over-year to $26.9 billion. The company’s net profit, after all expenses, was up 27% year-over-year to $22.3 billion. Revenue from commercial Office products and cloud services grew 15%, driven primarily by growth in Office 365 Commercial revenue. Revenue from Dynamics products and cloud services grew 22%. These facts have made Microsoft Corporation (NASDAQ-MSFT) stock highly sought after by private investors and multinational investment corporations.
Microsoft’s Chairman and CEO said: “We are rapidly deploying artificial intelligence at every layer of the technology stack and in every role and business process to deliver productivity gains for our customers.” “With copilots, we are making the age of AI real for people and businesses around the world,”
Microsoft Corporation also recently launched a large-scale investment in Floyd County, Georgia, on Huffaker Road in Rome. This investment will exceed $1 billion and will include the construction of a data center to support the Azure platform. “This is a tremendous economic opportunity for our community that will have positive impacts for decades to come,” said Jimmy Byars, Chairman of the Rome Floyd County Development Authority. The site itself is 347 acres in size. The company will also create 150 senior management jobs at the Georgia data center with this investment. This project is expected to take about three years to complete.
The company also pays regular quarterly dividends to its shareholders. Currently, the dividend yield is 0.81% p.a. The actual dividend amount was approved by the AGM at $0.75 per share. According to analysts at brokerage firms and financial strategists at investment banks, the share price can be expected to rise in the short to medium term investment horizon. The average target price for the short to medium term investment horizon was set at USD 424.36 per share.
