Key insights
- The author views Microsoft's pullback as a potential long-term entry point, citing continued growth in Azure and AI, despite market concerns about margins and profitability timelines. They are cautiously building a position, acknowledging the market's emotional state and the possibility of further correction. This suggests a moderately bullish outlook on MSFT and the broader tech sector, contingent on continued execution and eventual market sentiment shift.
MSFT has pulled back quite a bit from the highs, and now we’re basically sitting around price levels from a few years ago. Kinda crazy when you think about how much the company has actually grown since then.
What I find interesting is that nothing really looks broken on the business side. Azure is still doing its thing, AI spending hasn’t slowed, and Copilot is slowly getting baked into everything. If anything, it feels like the story is still early, not late.
But the market clearly isn’t in the mood to pay up right now. Everyone suddenly cares about margins, timelines, how long before AI actually turns into real profit. I get it… but it also feels like expectations just swung too far the other way.
I’ve been in this market long enough to know these setups don’t usually give you a clean signal. It’s more like… you scale in, stay patient, and don’t try to be perfect.
Personally, I’ve started nibbling a bit. Not going all in, just slowly building. I like having some cash on the side in case we get another leg down. This market still feels emotional to me.
Curious how you all are looking at it right now.
Do you see MSFT here as a solid long term entry
Or do you think we’re not done correcting yet
Would you be buying here or waiting for better prices
Personally, I’ve started nibbling a bit. Not going all in, just slowly building. I like having some cash on the side in case we get another leg down. This market still feels emotional to me.
I do have a small position in MSFT and have been adding slowly.