Microsoft Stock Is Up 26% From Its 52-Week Low: Buy the Rally or Wait It Out?
This isn't the first rally we've seen in Microsoft's stock this year.
Overview
It has been a tough start to the year for Microsoft's (NASDAQ: MSFT) stock, but after it reported earnings for its fiscal year 2026 (ended June 30), the stock rallied, with a single-day jump of 15%. The stock is still in the red for the year, but it's up 27% from the 52-week low it hit on June 25 and has a lot of momentum on its side.
There's much to be encouraged about from Microsoft's earnings report, but is now the right time to invest after a sudden surge? It comes down to your reason for investing, but for long-term investors, it's still a great go-to.
Details
Much of Microsoft's stock troubles this year can be tied back to its artificial intelligence (AI) spending (current and planned). Many investors weren't convinced that Microsoft's capital expenditures (capex) would translate to a solid return on investment. And although we're still a ways from knowing whether they will, Microsoft's latest results show glimpses of progress.
Source
Originally published at www.fool.com.