$MSFT

Yorkville Ives analyst Dan Ives named Microsoft (MSFT) his top software pick for 2027, citing its AI and Azure cloud momentum. Microsoft reported Q1 2027 revenue of $92.28B (+19% YoY) and EPS of $4.92, beating estimates. Azure revenue grew 48%. Ives maintains an Outperform rating with a $615 price target, noting strong AI demand and enterprise adoption.

Alphabet, Meta, and Microsoft face depreciation impacts from AI capex spending, with Meta most exposed. Alphabet's Q3 free cash flow was negative $9.1B, Meta's depreciation rose 44%, and Microsoft's free cash flow slipped. Analysts expect Alphabet's EPS to dip in 2027. Cloud growth at Microsoft and Alphabet may offset depreciation costs, while Meta lacks this advantage.

Microsoft announced Windows 11 updates that improve responsiveness by up to 20% on PCs with 8GB of RAM, according to Pavan Davuluri, EVP of Windows + Devices. Improvements include better memory compression, reduced app memory usage, and prioritization of active tasks. The company plans further optimizations and collaboration with partners.

Oracle (ORCL) stock rose 6% to $125.81 after a $20B stock and bond sale, despite a 35% YTD decline. The company sold 86.2M shares at $116 each and issued bonds with coupons up to 8.65%. Analysts have mixed views on the move, with bulls citing a cleared overhang and bears pointing to high interest costs. CoreWeave (CRWV) and Microsoft (MSFT) also saw gains, up 7% and 2% respectively.

Indian equity markets rallied on Nov 3, with Sensex up 1,225.07 pts (1.62%) and Nifty 50 up 370.05 pts (1.58%), driven by easing crude oil prices, FII inflows, and hopes for a review of LTCG tax. Bharti Airtel, HDFC Bank, and ICICI Bank led gains. Global tech shares weakened, and US midterm elections were watched closely.

Microsoft expanded its Imagine Cup to include early-stage startups, offering $250,000 cash and $1M in cloud credits. The 2027 rules allow any AI usage on Azure, reflecting Microsoft's evolving AI strategy. Judging criteria now emphasize business metrics and Azure readiness, with diversity criteria removed. Applications are due Feb 28, and winners will be announced in May or June.

The TAIEX index fell 0.65% to 44,920 points, its lowest since Aug. 24, driven by concerns over AI capital expenditure. TSMC shares dropped 1.69% to NT$2,330, despite reporting record Q3 net profit of NT$763 billion. ASE Technology raised its capital expenditure forecast to US$11.5 billion. Microsoft and Alphabet's spending and earnings reports fueled market anxiety.

Microsoft's cloud services, Azure Functions and Azure Monitor, are reportedly hosting an Israeli app, Al Munasseq, used to monitor Palestinian movement in the occupied West Bank, according to a report by Ekō. The app, launched by Israel's COGAT unit, manages permits for Palestinians. Ekō claims this enables mass surveillance, while an Irish lawmaker calls for an investigation.

8x8 has received Microsoft certification for its session border controller (SBC) technology, enabling Microsoft Teams calls in 57 countries. The company is one of the few native cloud providers with certified SBC technology supporting both Direct Routing and Operator Connect. 8x8's direct carrier interconnections and licensed services aim to reduce costs and simplify global deployments.

Microsoft's Windows AI roadmap lists upcoming processors from AMD, Intel, Qualcomm, and NVIDIA, including AMD Ryzen AI 500 and Intel Core Ultra Series 4. The roadmap categorizes AI PCs into four tiers based on memory and AI capabilities, with some processors not yet officially confirmed by their manufacturers.