Microsoft Stock Surges to $500 as Azure Growth Accelerates and Maia 300 Production Looms

Microsoft's stock surged by roughly 25% in the week following its July 29 fiscal fourth-quarter earnings release, reaching around $500. This dramatic post-earnings move is already behind us. The question now for investors evaluating MSFT is what buying at this price requires them to believe.

The answer changed with a report from The Information on Monday morning. Microsoft is targeting a September 2026 public unveiling of its next-generation Maia 300 AI accelerator and has entered talks with TSMC to secure manufacturing capacity for more than 300,000 units for delivery in 2027. This development reframes what Microsoft's capital expenditure guidance for fiscal year 2027 actually funds.

Microsoft's fiscal fourth quarter ended June 30, 2026, delivered results that exceeded analyst expectations across every major line. Revenue reached $90.0 billion, up 18% year-over-year against a consensus of roughly $87.6 billion. Adjusted earnings per share came in at $4.74 versus the $4.24 estimate, an 11.8% beat.

The Azure metric was actually being watched by the market and grew 43% year-over-year, accelerating from 40% in the prior quarter and clearing the informal floor of roughly 36% that analysts had identified as the level below which a sell-off would be near-certain. For fiscal year 2026 in full, Azure crossed $100 billion in annual revenue for the first time, growing 41% over the year.