Oppenheimer raised Microsoft's target price from $515 to $570 and maintained a “outperforming market” rating, believing that the company maintains capital expenditure discipline while expanding its AI business. The agency pointed out that with the launch of more computing power, the Azure and M365 commercial businesses are expected to continue to accelerate in the 2027 fiscal year, Copilot's commercial performance will also remain strong, and more enterprise customers are using Microsoft as their main AI platform. Oppenheimer believes that Microsoft's execution in improving efficiency and controlling capital expenditure will help improve the predictability of capital expenditure and support free cash flow. However, the agency also suggested that changes in business models brought about by AI, early release of IT expenses of some enterprises, and pressure on cloud business profit margins and capital efficiency may limit the growth rate of Azure and M365 after entering 2027.

Oppenheimer raised Microsoft's target price from $515 to $570 and maintained a “outperforming market” rating, believing that the company maintains capital expenditure discipline while expanding its AI business. The agency pointed out that with the launch of more computing power, the Azure and M365 commercial businesses are expected to continue to accelerate in the 2027 fiscal year, Copilot's commercial performance will also remain strong, and more enterprise customers are using Microsoft as their main AI platform. Oppenheimer believes that Microsoft's execution in improving efficiency and controlling capital expenditure will help improve the predictability of capital expenditure and support free cash flow. However, the agency also suggested that changes in business models brought about by AI, early release of IT expenses of some enterprises, and pressure on cloud business profit margins and capital efficiency may limit the growth rate of Azure and M365 after entering 2027.