What's Going On With Microsoft Stock?

Microsoft Corp MSFT shares are trading lower by 2.1% to $333.54 Thursday morning, pulling back following Wednesday's strength after the company reported better-than-expected first-quarter EPS and sales results.

Weakness may be due to overall tech sector weakness after Meta Platforms Inc reported third-quarter financial results and issued guidance.

Traders and investors will also be watching for Amazon.com, Inc.'s third-quarter earnings report, confirmed for Thursday's after-hours session.

What Happened With Meta Platforms?

Meta reported a 23% YoY revenue increase to $34.15 billion and a 168% rise in earnings per share to $4.39. Daily active users in the Meta family increased by 7% to 3.14 billion, with 3.96 billion monthly active users.

On Facebook, daily users reached 2.09 billion (up 5% YoY), and monthly users totaled 3.05 billion (up 3%)...Read More

Why Meta Earnings Matter

Microsoft competes with Meta in the digital advertising space, particularly through its search engine Bing and its advertising platform. Any signs of Meta's struggles or challenges in the advertising market can be interpreted as a competitive advantage for Microsoft, but it can also be viewed as a sign of overall market weakness.

A weaker advertising environment, perhaps due to increased regulation or a slowdown in advertiser spending, can affect the financial performance of both companies.

Concerns about the stability of advertising revenue can lead to a decline in investor confidence in both stocks.

See Also: How To Earn $500 A Month From Microsoft Stock Following Earnings Beat

According to data from Benzinga Pro, MSFT has a 52-week high of $366.78 and a 52-week low of $213.43.