Investors who were hoping for an opportunity to buy the dip in Microsoft Corp. (NASDAQ: MSFT) stock are likely to be disappointed. MSFT stock fell just over 2% in after-hours trading following the company’s third-quarter earnings report. However, the dip is not likely to last for long, and analyst sentiment suggests that the stock’s march to $600 or higher is underway.
In a world of high-speed trading, it doesn’t take much to cause a stock to drop. Like most stocks in the tech sector, Microsoft was priced for perfection heading into earnings. Although the results were outstanding, the company’s caution about higher-than-forecast artificial intelligence (AI) expenditures weighed on investors.
