Microsoft Q4 Earnings Spotlight

Among the FANG stocks, Microsoft and Apple are very stable. Microsoft may be one of the most diversified companies in the world. Microsoft’s Azure revenue growth slowed slightly in the quarter.

Still Microsoft is a rock solid stock to own. Total company revenue climbed almost 22% year over year, according to a?statement. That’s the fastest growth since 2018. Revenue grew 21% in?previous quarter.

Microsoft doesn't have the existential risks that Facebook, Google or even Amazon has in terms of volatility. Microsoft Corp.’s cloud-based software helped drive robust quarterly sales and profit growth, which topped analysts’ estimates for an 11th straight quarter.

• Microsoft reported $20.5 billion in net income, growing 48%.

• Microsoft’s Intelligent Cloud segment — which comprises the Azure public cloud, enterprise services, GitHub, SQL Server, System Center, Visual Studio and Windows Server — delivered $16.96 billion in revenue, which was up 31% year over year.
• Microsoft does not disclose Azure revenue in dollars. This time around Azure growth was 48% in constant currency, above the 45% figure in the prior quarter. Google Cloud and Alibaba Cloud are growing significantly faster at this point.
• The Productivity and Business Processes unit, which includes Dynamics, LinkedIn and Office, contributed $15.04 billion in revenue, up 22% and over the $14.67 billion StreetAccount consensus estimate. LinkedIn relies more on clickbait and gimmick posts than professional business news at this point to retain users.

Chief Executive Officer Satya Nadella has extended the company’s success in cloud computing by lining up a steady stream of deals for Azure software, which stores data and runs applications for corporations.

The company’s More Personal Computing business, including Windows, devices, gaming and search advertising, posted $13.31 billion in revenue, up 12%.?Its efforts in the future of gaming and cybersecurity are particularly impressive.

Microsoft's stock is up over 50% in the past year and that says more about an inflated market than Microsoft in particular.

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