Microsoft Dips 2% After-Hours on AI Cash Flow Hit Amid Mixed Tech Earnings

US mega-cap tech stocks swung wildly after first-quarter earnings, with Microsoft falling 2% in after-hours trade despite beating revenue estimates at $83 billion (+16%) and profits at $38 billion (+23%), but flagging AI pressures that dropped cash flow to $15.8 billion. Alphabet surged nearly 6% on 30% profit growth and 63% Google Cloud revenue tied to AI, while Meta slid over 5% after hiking capex to $145 billion and Amazon dipped 1.6% despite 28% cloud growth. Investors are probing returns on over $500 billion in planned AI spending by these hyperscalers, which carry $10 trillion market cap and 17% S&P 500 weight, extending pre-earnings worries over capex eating 90% of cash flow by 2027 per Barclays.