Azure Breakthrough Boosts Microsoft Price Target

Microsoft's AI investment is starting to pay off in real financial terms, and its stock price hasn't caught up yet. The company has reached a milestone with Azure crossing $100 billion in full-year revenue for the first time. This achievement, along with a strong fiscal Q4 2026 performance, has led analysts to increase their price target for Microsoft.

The 24/7 Wall St. price target for Microsoft is $613.43, implying 22.85% upside over the next 12 months. This recommendation comes with a high confidence level of 90%. The bull case rests on the company's commercial remaining performance obligations (RPO), which surged 84% year over year to $678 billion.

This multi-year revenue visibility gives Microsoft an advantage over its peers, and Azure grew 43% in the latest quarter. If the FY27 Azure guide of roughly 45% growth in constant currency holds, the bull-case one-year path reaches $710.57.