Most Investors Overlook MSFT's AI Moat. I Think That's a Mistake.
Microsoft is emerging as an AI powerhouse, leveraging Azure, Copilot, and its massive enterprise ecosystem to build a powerful moat.
Overview
When I look at Microsoft (NASDAQ: MSFT) today, I do not think of it as a tired software giant. I feel like some of the internet conversation around the company today just views it as a PC company. What too many views don't account for is Microsoft's artificial intelligence (AI) connections.
To me, Microsoft is a company that has built one of the strongest AI moats in the market, which makes it a good buy.
Details
The numbers help support this underrepresented view. In fiscal 2026, Microsoft delivered about $331 billion in revenue, with revenue growth of up to 18% driven by demand across Azure and its cloud applications. Data from the latest quarter showed Azure and other cloud services revenue up around 40% year over year, and in the fourth quarter, Azure grew 43%, beating analyst expectations near 40%. That growth is now closely tied to AI, not just generic compute.
Source
Originally published at www.fool.com.
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