Microsoft shares: Forecasts for 2023, Is it worth investing?

Should you buy Microsoft shares? What are the forecasts?

Surely this well-known company needs no introduction, but we must stop and understand if the undisputed reputation of Microsoft also make his actions convenient.

To understand this we have to go and dissect the most important technical information concerning the Microsoft sharesas the target pricethe trend, the quotations and dividends.

Based on these data, what will the Microsoft Stocks 2023 forecasts according to analysts?

Read on to learn more!

Microsoft: a few words about the company

even if theMicrosoft company would need no introduction, it is still useful to first develop a brief overview of the company. Collect more information possible helps to understand whether or not it is worth investing in its shares.

Microsoft Corporation, founded by Bill Gates and Paul Allen in 1975, is a US multinational technology company. It manufactures, develops, supports, licenses and sells software, personal computers, consumer electronics and related services.

The company’s best-known software products are the Microsoft Windows line of operating systems, the Internet Explorer and Edge web browsers, and the Microsoft Office suite.

Microsoft was founded with the aim of developing and selling BASIC interpreters for the Altair 8800, and as early as the mid-1980s, the company dominated the PC operating system market.

The company competes with Facebook, Activision Blizzard, Electronic Arts, Nintendo, Sony, Google, Apple and Amazon. In 2018, Microsoft was ranked 30th on the Fortune 500 list of largest US companies by total revenue.

Microsoft Corporation has been listed on the NASDAQ since 1986 under the ticker MSFT.

The capitalization today is $2.14 trillion.

Microsoft stock performance and price

Now that we have framed this well-known company, we can focus on an aspect that, as an investor, will be particularly close to your heart, namely the performance of the shares.

I now offer you the updated graph with the trend of the shares:

Microsoft Stock Forecasts 2023: What to Expect? Dividends and target price

Now that we have a general picture, also thanks to the graph, let’s go deeper and see the most important data to understand if It is worth investing in Microsoft shares.

Latest news

Il 2020 it was a very profitable year for Microsoft. For the first time in its history, revenues grabbed the $40 billion mark in the fourth quarter alone thanks to record earnings. Revenue climbed 17% year-over-year to $43.1 billion, while net income jumped a whopping 33% to $15.5 billion. The ones that had a significant impact were the console sales (86%), in particolare  Xbox Series S e Xbox Series X.

The results were significantly better than expected.

In detail, on an adjusted basis, earnings per share came in at $2.03, better than the $1.64 estimated by analysts. Revenue of $43.1 billion was also better than the $40.18 billion expected.

In the first three months of 2021 Microsoft reported total revenue of $41.7 billion (vs. forecasts for $41.05 billion). Only the division Intelligent Cloud achieved revenues of $15.12 billion, while the division More Personal Computer it had revenues of 13.04 billion dollars. Profits jumped 44% to $15.5 billion.

In the 2022 we have witnessedl collapse of several technology-related titles, including Netflix. In addition to the core activities, Microsoft is investing appreciably in both the business of metaverso than on that of the cloud.

Now let’s see some news about the 2023: Microsoft missed Wall Street’s estimates for second-quarter revenue, mostly due to a slump in the PC market, and also due to lower demand for its computer unit. servizi cloud Azure.

Revenue grew 2 percent to $52.7 billion in the quarter ended December 31.

On January 31, Mattel and Microsoft’s Minecraft formed a partnership with “Camp Enderwood.”

Another important piece of news concerns the accusation that Google brought against Microsoft, alleging anti-competitive practices on the cloud computing: In fact, Google contests Microsoft’s agreements in the EU, since Microsoft is allegedly leveraging its dominance in the on-premise sector and Office365 and Windows to tie Azure and the rest of the cloud services to the entire offer, thus making it difficult for customers choose.

April 2023 news is related to ChatGPTwhich was suspended in Italy due to a regulatory investigation into data collection.

So we’ll see what the Colossus has in store for us in the coming months.

Microsoft: il target price

Well, now that we have made a summary of the latest news, setting the context, let’s continue with our analysis: according to analysts, the target price it ranges between $212 and $420, with an average price of $297.39.

The advice of analysts is to buy shares because the prospects are good.

Of course, these are always uncertain data and forecasts: let’s remember that no one has a crystal ball and can predict the future, indicating the best way.

Just having a strategy can help you understand how to move and not make mistakes when considering how to manage your portfolio.

Microsoft dividend

To conclude our analysis, here is the last piece of data that may interest you as an investor, namely the one related to Microsoft dividends.

The announcement is that of a dividing quarterly $0.68 per share, to be paid June 8, 2023 to shareholders, ex-dividend date May 17, 2023.

Should you invest in Microsoft shares?

We are at the conclusions: Should you buy Microsoft shares?

For my part, I never recommend buying a single share: in fact, it would be a risky operation if carried out in isolation, without acting in view of a diversified and well-studied strategy.

Investing in stocks can lead to gains, of course, but you need to have a good idea of ​​what you are doing.

I never suggest acting rashly and without due preparation: if you have never invested in stocks and you are at the beginning of your research, I suggest you take a look at the guide to start investing in stocks.

Where to buy Microsoft shares?

If you still want to buy Microsoft shares, but you don’t know how to do it practically, I’ll briefly illustrate the two ways to follow.

First through the traditional bank. In my experience, if you want to invest more than 3-4 thousand euros, your current account should meet the requirements to allow you to operate. On average, the most important Italian banks allow you to have a securities portfolio. Often, however, the problem is that online operations have a high cost and you have to evaluate on a case-by-case basis whether it is actually worthwhile.

A second method is to use a online platform. There are numerous platforms specialized in buying stocks that allow you to access the markets (often cheaper than banks). There are platforms that allow you to buy shares even with just €50. For small investments, they are often preferable in terms of user experience and above all the costs you are going to pay.

If you want to discover the best online platforms to invest independently, read the dedicated guide.

Additional helpful resources

We have done a general overview of the Microsoft titlea company that appears to be very promising.

However, even if you have full faith in the brand, always invest only figures that you can afford to lose and that they never exceed 2-3% of the money you want to invest.

Diversification and prudence are necessary in a sector which, for better or worse, has risk as its constant. You know that my position is adamant on this aspect: take risks yes, but with intelligence.

In the meantime, here are some guides that might interest you:

Finally, you will also find some guides dedicated to those who need a refresher before starting to invest:

See you soon!