Microsoft Surpasses Earnings Expectations as Azure Growth Accelerates

Microsoft's latest quarterly earnings report exceeded expectations in several key areas, sending its stock price up by about 8% in after-hours trading.

The company reported revenue of $90.01 billion for fiscal Q4, a 18% increase from the same period last year and higher than the estimated $87.62 billion.

Azure, Microsoft's cloud computing service, saw its annual revenue cross the $100 billion mark for the first time in fiscal 2026, with growth accelerating to 43% in constant currency.

Morningstar analyst Dan Romanoff maintained a $600 fair value estimate for the stock, citing the company's strong financial performance and potential for long-term growth.