Microsoft Reaffirms Analyst Optimism as Royal Bank Targets $640

Royal Bank of Canada has reaffirmed its 'outperform' rating for Microsoft (NASDAQ:MSFT), along with a target price of $640.00, indicating a potential upside of 39.86% from the company's previous close.

This is not the only analyst to have expressed optimism about Microsoft's prospects. CLSA has also reaffirmed its 'outperform' rating, while Deutsche Bank Aktiengesellschaft has restated a 'buy' rating on shares of Microsoft.

Microsoft has been performing well in recent times, with Azure growth exceeding expectations and revenue increasing 43% year over year. The company's Intelligent Cloud revenue rose 32% to $39.3 billion, strengthening confidence in Microsoft’s cloud and AI strategy.