Oppenheimer Raises Microsoft Price Target to $625 Ahead of Earnings

Oppenheimer has raised its price target on Microsoft to $625 from $570 while maintaining an Outperform rating ahead of its fiscal first-quarter earnings report on October 28. Analyst Brian Schwartz cited strong enterprise demand across Azure and Microsoft 365, pointing to infrastructure capacity constraints rather than demand as Azure's main expansion bottleneck. Oppenheimer forecasts first-quarter revenue of $90 billion, up 16% year-over-year, and GAAP earnings of $4.69 per share, alongside 46% constant-currency growth for Azure. Microsoft also plans to double data-center capacity within two years.