Microsoft Stock Slips 1.2% Although Copilot Super-App Expands Paid Workflows

Apple's stock fell 2% to $331.08 after Bank of America warned Meta's shopping agent could reduce online commerce activity in its ecosystem. Meta's stock rose 0.4% to $718.53. Alphabet and Microsoft also declined, but less sharply. Bank of America maintained a Buy rating on Apple, citing its strengths despite potential risks. Apple plans a structural overhaul to speed product development and adapt to slowing services growth.

Jefferies reiterated a Buy rating and $575 price target for Microsoft, citing upgrades to Copilot. The new features, including Cowork, Code, and Autopilot, could expand AI usage and spending. Jefferies believes Microsoft's enterprise advantage may drive adoption, but cautioned that AI budget constraints could slow growth. The key metric will be Copilot's integration into production workflows.

Microsoft's stock fell 1.2% to $503.32 on Tuesday, despite expanding its Copilot AI super-app. The app now includes Home, Code, and Autopilot features. Microsoft aims to keep users and AI agents within its ecosystem, but investors question whether customers will pay enough to offset computing costs. The stock is 14.47% below GuruFocus's $588.50 GF Value estimate.

Anthropic plans to spend $518 billion over a decade on AI infrastructure with partners, including $111.1 billion with Google, $110 billion with Amazon, and $31.4 billion with Microsoft, according to an IPO filing. About 80% of these commitments are non-cancellable. The company also has $161.2 billion in non-cancellable Broadcom equipment leases. Anthropic warns that dependence on these partners poses risks.

Microsoft updated its Copilot AI platform, combining chat, delegated work, and coding tools. Home unifies Chat and Cowork, integrating Office apps. Code lets non-programmers describe software to build it. Autopilot handles recurring tasks independently. Features roll out in weeks, with usage-based pricing for some. Microsoft did not provide adoption or accuracy data.

Nokia (NOK) and Microsoft (MSFT) are expanding their partnership to integrate Nokia Data Suite with Microsoft Fabric, enabling AI-driven telecom operations. Nokia's AI & Cloud segment saw €2.8B in Q2 2026 order intake, up 105% YoY, while Microsoft's Azure revenue grew 43% in Q4 FY26. Both companies aim to leverage this collaboration for growth, though Nokia faces restructuring costs and Microsoft has high AI infrastructure expenses.