Microsoft Reclaims Momentum Near $460 as Build Fuels AI Optimism

Microsoft shares have stabilized near $460 after a 13-15% YTD decline, with sentiment shifting sharply higher by late May. Early coverage highlighted earnings beats offset by cautious guidance and OpenAI partnership concerns, prompting calls to remove MSFT from the Magnificent 7. By June, analysts emphasized the $37 billion AI annualized run rate (+123% YoY), $627 billion commercial backlog, and sustained 40% Azure growth, supporting a consensus price target of $560. Wall Street maintains strong-buy ratings, framing the stock as an attractive long-term holding despite elevated 2026 capex guidance near $190 billion.