In this video, I'll talk about Meta's, Microsoft's (MSFT 0.83%), and ServiceNow's earnings, and why the market keeps dumping software stocks like Salesforce, Rubrik, and others. Watch the short video to learn more, consider subscribing, and click the special offer link below.
Microsoft Corporation delivered robust Q2 FY2026 results, with revenue up 16.8% and EPS up 24% year-over-year, beating expectations. Azure's 39% growth and a $625B backlog, largely AI-driven, underpin long-term revenue, though 45% is concentrated with OpenAI. Despite a sharp stock drop, MSFT stock trades at a 10% discount to peers, with a P/E of 28.19 and accelerating cloud growth.
Microsoft (MSFT) and Meta (META) both beat earnings, but diverged post-report as MSFT fell 10% and META rose 10%, reflecting differing market sentiment on core execution and AI investment. Tesla (TSLA) and Apple (AAPL) both saw muted reactions; TSLA's narrative remains tech-driven despite declining deliveries, while AAPL's AI progress remains opaque despite record iPhone and services revenue.
In this video, Motley Fool contributors Jason Hall and Tyler Crowe explain why Brookfield Renewable (BEP +5.69%) (BEPC +6.21%), a key partner to power Microsoft (MSFT 0.53%) and its expanding AI and Cloud infrastructure, is built to be a big winner for investors over the long term.
The Virtus Artificial Intelligence & Technology Opportunities Fund provides investors with exposure to a portfolio that is tilted primarily toward technology stocks, with a hybrid allocation to equities, convertibles, and high-yield bonds.
Meta Platforms, Inc. has demonstrated superior AI monetization, driving 24% YoY revenue growth and a 10% post-earnings rally. AI enhancements at META have materially improved both user engagement and ad ecosystem economics, fueling robust top-line expansion. Microsoft Corporation's AI-driven growth remains incremental, with cloud as the main contributor; Copilot and productivity offerings have ...
The Magnificent Seven sailed into 2026 in a rather muted spot. While there has been a notable divergence in performance among the members, I do think that the group remains worth sticking with for the long haul, especially the names that have been viciously marked down.
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