Skip to content

Stock expert Dan Ives expects Microsoft to join $3 trillion club in 2024

Stock expert Dan Ives expects Microsoft to join $3 trillion club in 2024

For years, Microsoft (NASDAQ: MSFT) has remained a steadfast blue-chip asset in the stock market, consistently generating reliable returns for investors. Its success can be attributed to its unwavering commitment to innovation and its remarkable adaptability to ever-changing market conditions. 

As of July 5, Microsoft is the world’s second most-valuable company in the world, with a stock market capitalization of more than $2.5 trillion, only behind Apple (NASDAQ: AAPL) at $3.04 trillion. 

Financial strategists and market experts expect Microsoft to maintain this continued uptrend, including Wedbush analyst Daniel Ives, who expects to see MSFT in the “exclusive $3 trillion club by early 2024.” 

Ives cites increased AI spending as a game-changer

According to Ives, Microsoft should hit $3 trillion early next year. His projections are mainly due to the tech giant’s increased spending on the nascent artificial intelligence (AI) technology

Specifically, the strategist estimates that for each $100 of Microsoft’s spending in its cloud solution Azure, “there is an incremental $35-$40 of AI spend that now is on the table which changes the game.” 

Earlier this year, the maker of the Windows operating system injected a whopping $10 billion into OpenAI, an AI research lab behind ChatGPT – the fastest-growing consumer application in history. 

As part of the deal, Microsoft Azure became the exclusive cloud provider for the chatbot since OpenAI uses Azure to train all of its AI models. 

The tech behemoth also equipped its search engine Bing with ChatGPT’s underlying technology in February. More recently, the company announced the launch of Windows Copilot – an AI-based ‘personal assistant’ for Windows 11. 

Microsoft stock price analysis

At press time, shares of MSFT were trading at $340.78, rising 0.83% at the market open on Wednesday.

The stock closed at an all-time high last month of $348.11 last month, exceeding its previous peak of $343.11 it reached in November 2021.

MSFT 1-month price chart. Source: Finbold

Year-to-date, the stock gained more than 40%, driven by the ongoing AI frenzy and the broader tech market rebound. 

In June, analysts at BMO Capital Markets hiked their price target on MSFT stock to $385 per share, citing the AI’s ability to fuel the company’s incremental revenue opportunities in the coming years. 

Buy stocks now with Interactive Brokers – the most advanced investment platform


Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

Best Crypto Exchange for Intermediate Traders and Investors

  • Invest in cryptocurrencies and 3,000+ other assets including stocks and precious metals.

  • 0% commission on stocks - buy in bulk or just a fraction from as little as $10. Other fees apply. For more information, visit etoro.com/trading/fees.

  • Copy top-performing traders in real time, automatically.

  • eToro USA is registered with FINRA for securities trading.

30+ million Users
Securities trading offered by eToro USA Securities, Inc. (“the BD”), member of FINRA and SIPC. Cryptocurrency offered by eToro USA LLC (“the MSB”) (NMLS: 1769299) and is not FDIC or SIPC insured. Investing involves risk, and content is provided for educational purposes only, does not imply a recommendation, and is not a guarantee of future performance. Finbold.com is not an affiliate and may be compensated if you access certain products or services offered by the MSB and/or the BD

Read Next:

Finance Digest

By subscribing you agree with Finbold T&C’s & Privacy Policy

Related posts

Sign Up

or

By submitting my information, I agree to the Privacy Policy and Terms of Service.

Already have an account? Sign In

Services

IMPORTANT NOTICE

Finbold is a news and information website. This Site may contain sponsored content, advertisements, and third-party materials, for which Finbold expressly disclaims any liability.

RISK WARNING: Cryptocurrencies are high-risk investments and you should not expect to be protected if something goes wrong. Don’t invest unless you’re prepared to lose all the money you invest. (Click here to learn more about cryptocurrency risks.)

By accessing this Site, you acknowledge that you understand these risks and that Finbold bears no responsibility for any losses, damages, or consequences resulting from your use of the Site or reliance on its content. Click here to learn more.