Microsoft (MSFT) stock has fallen 23.35% year-to-date (YTD) and is now trading slightly above its 52-week low, making it the worst-performing Magnificent 7 stock this year.
The biggest concern weighing on Microsoft stock is its massive investment in artificial intelligence (AI). The tech giant plans to spend $190 billion on capital expenditures through 2026, with higher AI infrastructure and component costs leading to an increase in planned spending.