Microsoft stock surged to a fresh record high on Thursday after the company announced the launch of its latest artificial-intelligence assistant, Microsoft Copilot for Security.
The Redmond, Wash.-based software giant said Microsoft Copilot for Security will be generally available worldwide on April 1. The generative AI tool will help security and IT professionals protect their operations from cybercriminals using its massive database of threat intelligence, the company said in a blog post.
Copilot for Security delivers tailored insights and offers suggestions on next steps to take. Copilot can process prompts and respond in eight languages with a multilingual interface for 25 different languages.
Microsoft's cybersecurity business has been a growth driver for the company in recent years.
Microsoft Stock Notches All-Time High
In intraday trading on the stock market today, Microsoft stock touched a record high of 427.81. Its prior record high was 420.82 on Feb. 9. Microsoft shares ended the regular session Thursday up 2.4% to 425.22.
In a client note, JPMorgan analyst Mark Murphy said Copilot will drive a paradigm shift in Microsoft's security capabilities.
"We see a strong product-market fit for GenAI in the security market due to its capabilities around code generation, pattern recognition, and automated remediation, among other areas," Murphy said.
Murphy rates Microsoft stock as overweight, or buy, with a price target of 440.
Mizuho Securities analyst Gregg Moskowitz also was positive on the security Copilot launch.
"We expect a warm reception from customers to Microsoft's usage-based pricing, as it will provide businesses a low-cost opportunity (initially) to pursue interesting cybersecurity use cases," he said in a client note.
Moskowitz reiterated his buy rating on Microsoft stock with a price target of 450.
Microsoft Schedules AI Event For Next Week
Microsoft has been gradually adding Copilot assistants across its software products since early 2023, thanks to its partnership with OpenAI. On Feb. 29, the company previewed Microsoft Copilot for Finance, a tool for corporate finance professionals.
Next up for Microsoft is the company's "New Era of Work" event on March 21. It will discuss AI innovations for the workplace, along with what's new with Windows and Surface computers, during the digital event.
Microsoft stock has an IBD Composite Rating of 94 out of 99, according to IBD Stock Checkup. Further, it is on the IBD Tech Leaders stock list.
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