Microsoft (NASDAQ: MSFT) has received a fresh price target increase from Wall Street after its latest earnings results reinforced confidence in the company’s artificial intelligence and cloud growth strategy.
In this regard, Tigress Financial Partners reiterated its ‘Buy’ rating on Microsoft and raised its 12-month price target to $690 from $595, representing a 15.97% increase from the firm’s previous forecast.
Based on Microsoft’s press-time price of $489, the new target implies upside potential of roughly 40%.
The revised outlook comes as analysts continue to highlight Microsoft’s leadership in artificial intelligence, accelerating Azure cloud growth, and expanding monetization of its Copilot platform.
According to Tigress Financial Partners analyst Ivan Feinseth, Microsoft’s AI, cloud, and software ecosystem remain key drivers of durable growth and long-term shareholder value.
The firm pointed to accelerating Azure performance, growing Copilot adoption, and a record commercial backlog as major catalysts supporting future revenue expansion.
The analyst also noted that Microsoft’s disciplined capital allocation strategy continues to strengthen returns on capital while reinforcing its competitive position in AI.
In particular, the firm sees Copilot adoption reaching an inflection point across Microsoft’s extensive installed customer base, creating a significant long-term monetization opportunity.
The latest target increase aligns with broader Wall Street sentiment toward Microsoft stock.
To that end, data from TipRanks shows that 36 analysts covering Microsoft maintain a consensus ‘Strong Buy’ rating. Among them, 35 recommend buying the stock, while one has a Hold rating and none recommend selling.
The average 12-month Microsoft stock price target stands at $560.52, implying upside of approximately 14.6% from the current share price. Analysts’ targets range from a low of $450 to a high of $690.
MSFT stock fundamentals
The outlook comes as Microsoft shares have rebounded from earlier volatility, supported by stronger-than-expected fiscal fourth-quarter and full-year 2026 results.
For fiscal 2026, revenue rose 18% to $331.8 billion, while diluted earnings per share increased 32% to $17.95. In the fourth quarter, revenue reached $90 billion and earnings came in at $4.74 per share, both ahead of Wall Street estimates.
Azure revenue growth accelerated to 43%, pushing its annual revenue run rate above $100 billion for the first time.
Microsoft Cloud revenue climbed 27% to $214.4 billion, while commercial remaining performance obligation, a key measure of future contracted revenue, jumped 84% to $678 billion. Microsoft 365 Copilot adoption also continued to expand, surpassing 30 million paid seats.
