Microsoft Near $420 Draws Ackman Stake and Wedbush Upgrade

Microsoft shares hover near $420-$423 as fresh institutional buying reinforces its appeal. After Q3 results delivered 18% revenue growth to $82.8B, Azure accelerating 29-40%, and an AI annual run-rate exceeding $37B with a $627B backlog, the stock faced pressure from $190B FY26 capex. Bill Ackman’s Pershing Square disclosed a new core position acquired at roughly 21x forward earnings, while the restructured OpenAI partnership capped revenue share at $38B through 2030. Wedbush called the deal net positive and reiterated a $575 target, with consensus now near $555, signaling renewed conviction despite near-term spending concerns.