Schwab Network on $MSFT (Oct 29, 2026)

For Microsoft, what I found really interesting is that it is showing very strong growth , especially when you look at its Azure product offerings . Those revenues grew by 48% year-over-year , and they continue to raise their guidance for their cloud business as a whole here.

But on the other hand, Sam, they announced this morning the launch of debt instruments, in 10 tranches. We know that once these offerings start to appear, the market does not take them well, and that is why we see stocks turn from positive to negative in the session, and even trade near their lowest levels at around $524.60.

So, the profits were mixed. There may be some turmoil on the artificial intelligence front . Capital spending is still not ideal, which is why we are seeing some sort of rotational trading this morning.

Oh, last thing, Microsoft's capital spending for this quarter came in below market expectations, and they stated that the reason was their inability to receive certain orders that were on record with them from their suppliers in that quarter.

Therefore, that will be carried over to the next quarter. So , it's not about reducing capital spending, but rather because logistics unfortunately caused a minor problem.

Yes, and what's interesting about Microsoft is that yesterday I was listening to Amy Hood, the CFO , who talked about being one of the companies with positive free cash flow, and that's what sets it apart from other companies that raise some concerns.

She said they have access to debt markets now, and then we woke up this morning to news of a $ 25 billion US bond sale . I mean, this shows their desire to take advantage of that, and they say they can do so thanks to their investment-grade credit ratings as well.