Is Wall Street Loving Microsoft's Q4 As Much As The Market Is?

Microsoft Corporation MSFT shares are up 5.4 percent in Friday’s session after a Q4 earnings report that certainly pleased the market. Was the report good enough to change Wall Street’s mind? Here’s what five top firms have to say.

Raymond James
Analyst Michael Turits calls Microsoft “a secular winner in the narrowing field of hyperscale cloud contenders.” The firm maintains a Strong Buy rating and a $62 price target.

JPMorgan
Analyst Mark Murphy says that Q4 “reaffirms our view that Microsoft is favorably reshaping its long-term future and is poised to benefit as one of the leaders of the mobile-first cloud-first world.” The firm maintains a Neutral rating and $50 price target.

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Credit Suisse
Analyst Philip Winslow feels that “although Microsoft remains in transiotion, we view this quarter’s results as further evidence of the convergence of several drivers that position the company for continued growth and margin leverage in H2 and beyond.” The firm maintains an Outperform rating and raised its price target from $60 to $62.50.

FBR & Co
Analyst Daniel Ives notes that “even more impressive than the top-line beat was the stronger-than-expected margin/free cash flow performance, which speaks to Microsoft’s ability to be a leaner technology giant going forward as it embarks on its next stage of cloud transformation with Windows 10.” The firm maintains an Outperform rating and raised its price target from $60 to $63.

PiperJaffray
Analyst Katherine Egbert calls Microsoft “a ‘safe’ stock to own, especially in a down market.” The firm maintains its Overweight rating and raised its price target from $64 to $66.

Disclosure: the author holds no position in the stocks mentioned.