Microsoft (MSFT) Projected to Post Earnings on Wednesday

Microsoft (NASDAQ:MSFT) is projected to announce its Q2 2026 results after the market closes on Wednesday, January 28th. Analysts expect the company to announce earnings of $3.86 per share and revenue of $80.2758 billion for the quarter. Individuals may review the information on the company’s upcoming Q2 2026 earning report for the latest details on the call scheduled for Wednesday, January 28, 2026 at 5:30 PM ET.

Microsoft (NASDAQ:MSFT) last announced its earnings results on Wednesday, October 29th. The software giant reported $4.13 earnings per share for the quarter, topping the consensus estimate of $3.65 by $0.48. The company had revenue of $77.67 billion during the quarter, compared to analyst estimates of $75.49 billion. Microsoft had a net margin of 35.71% and a return on equity of 32.45%. Microsoft’s revenue was up 18.4% compared to the same quarter last year. During the same quarter last year, the firm posted $3.30 earnings per share. On average, analysts expect Microsoft to post $13 EPS for the current fiscal year and $15 EPS for the next fiscal year.

Microsoft Price Performance

Microsoft stock opened at $470.28 on Tuesday. The company’s 50 day simple moving average is $477.94 and its 200-day simple moving average is $500.97. The company has a debt-to-equity ratio of 0.10, a quick ratio of 1.39 and a current ratio of 1.40. Microsoft has a 1 year low of $344.79 and a 1 year high of $555.45. The company has a market capitalization of $3.50 trillion, a price-to-earnings ratio of 33.45, a price-to-earnings-growth ratio of 1.88 and a beta of 1.07.

Microsoft Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Thursday, March 12th. Shareholders of record on Thursday, February 19th will be given a $0.91 dividend. The ex-dividend date of this dividend is Thursday, February 19th. This represents a $3.64 dividend on an annualized basis and a yield of 0.8%. Microsoft’s payout ratio is presently 25.89%.

Insider Transactions at Microsoft

In other news, EVP Takeshi Numoto sold 2,850 shares of the stock in a transaction dated Thursday, December 4th. The stock was sold at an average price of $478.72, for a total value of $1,364,352.00. Following the transaction, the executive vice president owned 55,782 shares in the company, valued at approximately $26,703,959.04. This represents a 4.86% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, insider Bradford L. Smith sold 38,500 shares of the business’s stock in a transaction that occurred on Monday, November 3rd. The stock was sold at an average price of $518.64, for a total value of $19,967,640.00. Following the sale, the insider owned 461,597 shares of the company’s stock, valued at approximately $239,402,668.08. The trade was a 7.70% decrease in their position. The SEC filing for this sale provides additional information. In the last ninety days, insiders sold 54,100 shares of company stock valued at $27,598,872. 0.03% of the stock is currently owned by corporate insiders.

Institutional Inflows and Outflows

Hedge funds have recently modified their holdings of the stock. Longfellow Investment Management Co. LLC grew its holdings in shares of Microsoft by 51.3% during the second quarter. Longfellow Investment Management Co. LLC now owns 59 shares of the software giant’s stock worth $29,000 after purchasing an additional 20 shares during the last quarter. LSV Asset Management purchased a new position in Microsoft during the 4th quarter worth approximately $44,000. University of Illinois Foundation acquired a new position in Microsoft during the second quarter worth approximately $50,000. ROSS JOHNSON & Associates LLC lifted its stake in Microsoft by 155.7% in the first quarter. ROSS JOHNSON & Associates LLC now owns 156 shares of the software giant’s stock valued at $59,000 after buying an additional 95 shares during the last quarter. Finally, HFM Investment Advisors LLC acquired a new stake in shares of Microsoft in the first quarter valued at approximately $73,000. 71.13% of the stock is owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several research firms have recently commented on MSFT. Wolfe Research lowered their price target on Microsoft from $675.00 to $625.00 and set an “outperform” rating for the company in a research report on Monday, December 15th. Arete Research increased their target price on Microsoft from $710.00 to $730.00 in a research note on Monday, October 27th. Cantor Fitzgerald dropped their target price on Microsoft from $639.00 to $590.00 in a research report on Thursday, January 22nd. Wells Fargo & Company reduced their price target on shares of Microsoft from $665.00 to $630.00 and set an “overweight” rating on the stock in a research report on Thursday, January 22nd. Finally, Jefferies Financial Group reissued a “buy” rating on shares of Microsoft in a research note on Thursday, January 22nd. Three investment analysts have rated the stock with a Strong Buy rating, thirty-five have issued a Buy rating and three have issued a Hold rating to the company’s stock. According to MarketBeat, the stock currently has a consensus rating of “Buy” and an average target price of $611.87.

Key Stories Impacting Microsoft

Here are the key news stories impacting Microsoft this week:

• Positive Sentiment: Microsoft launched the Maia 200 AI inference chip, which the company says delivers roughly 30% better performance-per-dollar and will be deployed in U.S. data centers — a direct play on lowering inference costs, improving gross margins for Azure/Copilot, and reducing reliance on third-party GPUs. Read More.
• Positive Sentiment: Sell‑side and independent analysts are broadly bullish ahead of Q2, forecasting strong Azure and AI adoption that could drive another “robust” quarter; several previews expect revenue and AI‑driven growth to beat or justify premium multiples. Read More.
• Neutral Sentiment: Upcoming Q2 earnings (Jan. 28) and the Fed meeting make this a volatile catalyst week — investors are focused on forward guidance and margins (not just trailing revenue), so the stock could swing on the tone of management’s commentary. Read More.
• Neutral Sentiment: Analyst price‑target moves are mixed: some firms trimmed targets (Bank of America lowered its PT), while others maintain buy/outperform ratings — this produces conflicting near‑term signals despite a generally bullish long‑term view. Read More.
• Negative Sentiment: Regulatory/legal risk: a class‑action suit targets an AI hiring tool (Eightfold) used by Microsoft and others, raising headline risk around AI product governance and potential reputational/legal costs. Read More.

Microsoft Company Profile

Microsoft Corporation is a global technology company headquartered in Redmond, Washington. Founded in 1975 by Bill Gates and Paul Allen, Microsoft develops, licenses and supports a broad range of software products, services and devices for consumers, enterprises and governments worldwide. Its operations span personal computing, productivity software, cloud infrastructure, enterprise applications, developer tools and gaming.

Microsoft’s product portfolio includes the Windows operating system and the Microsoft 365 suite of productivity and collaboration tools (Office apps, Outlook, Teams).