MSFT US · Microsoft CorporationMW GOBLIN RESEARCH
MSFT: The next test of AI growth is earning back the investment
Analysis date
Published
Neutral as of 2026-10-03. Monetization of Azure and Copilot has been confirmed, but at $517.2, the stock trades at 29.9 times annual EPS excluding investment gains and losses from OpenAI. Price attractiveness will improve if cash flow per share rises amid expanding investment.
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- Usage and subscription pricing translate into earnings
- Capital expenditures absorb incremental cash generation