Microsoft Stock Rises 26%, But Is It Too Late to Buy?

Microsoft stock has skyrocketed 26% since its earnings report on July 29. The company's results showed strong growth in its cloud computing business, with revenue rising 43% year over year. Microsoft Azure continued to expand rapidly, which helped boost the stock price.

The rally was also driven by the fact that Microsoft's valuation had fallen to a low point before the report. At the start of July, the stock traded for less than 20 times forward earnings, its cheapest level in a long time. Since then, it has risen to a more reasonable valuation compared to some of its big tech peers.

However, this rapid rise may have come too late for investors who missed their chance to buy Microsoft at the low price point. The company's spending on data centers and infrastructure, while necessary for growth, may also be a concern for investors.