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Microsoft – Mr Softy

Microsoft logo on building

MICROSOFT – MR SOFTY, THE ONE STOCK YOU SHOULD OWN: EXTRAORDINARY PROFITS FROM ORDINARY SHARES *WINNING STOCK MARKET STRATEGIES*

 

Microsoft is the dominant developer of software, services, devices and solutions worldwide.

The Businesses Processors segment offers a host of software packages and Microsoft 365 copilot. This segment also has LinkedIn and the Cloud based applications.

The intelligent Cloud segment provides server products and cloud services, such as Azure and other cloud services. The More Personal Computing segment offers, windows and all the related software, all the gaming businesses, X Box hardware and content, search and news advertising, Bing and Microsoft news and Edge.

In the interest of brevity, the above is a most condensed list of all the services and software. The offering is incredible.

Microsoft has the absolutely best management team around, delivering after coup after coup and executing incredibly well.

The biggest segment is now the intelligent cloud. Azure is the driving force behind the cloud platform and revenue from this division grew by 29% last quarter.

By comparison Amazon’s web services grew by only 12% and Google Cloud, which is much smaller, grew by 22%.

Microsoft expects this segment to continue growing at this pace. Driving this performance is the growth in the Azure Arc Platform, which allows customers to run apps on – premise or hybrid cloud environments.  This platform saw a 140% increase in customers year over year last quarter.

And if that is not exciting enough, Microsoft is the clear leader in artificial intelligence (AI). Azure is the preferred platform for some of the best large language model developers. They are using this platform to create generative AI applications. Microsoft also has Open AI models and Meta Platforms, Llama 2 and other open-source models on its platform.

Microsoft continues to generate vast amounts of cash – free cash flow over the last 12 months exceeded $63 billion. The balance sheet has $144 billion in cash and just $72 billion debt.

So, its no wonder that Microsoft shares hit an all time high this month and it is set to go much higher.

It is hard to find other shares that are more compelling as Microsoft’s on a growth and risk adjusted basis.

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If you are not happy with your portfolio performance or would like a second opinion, please do not hesitate to contact Fenestra for a free, independent, objective and confidential review of your portfolio.

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William Meyer – 0796244031