UPDATE: Goldman Sachs Upgrades Microsoft (MSFT) to Conviction Buy

March 8, 2021 6:53 AM EST
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Price: $255.85 +1.03%

Rating Summary:
    40 Buy, 6 Hold, 0 Sell

Rating Trend: = Flat

Today's Overall Ratings:
    Up: 17 | Down: 14 | New: 42
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(Updated - March 8, 2021 9:05 AM EST)

Goldman Sachs analyst Kash Rangan upgraded Microsoft (NASDAQ: MSFT) from Buy to Conviction Buy with a price target of $315.00.

The analyst comments "With commercial cloud continuing to grow as a percentage of the mix, we see the potential for sustainable double-digit top line growth and margin expansion, as commercial cloud gross margins (~71%) have become accretive to the corporate average (67% in F2Q21). We continue to see sustainable double-digit top line growth for Microsoft for several years to come alongside margin expansion and are modeling revenue and earnings to grow at an 14% and 21% CAGR from FY20 through FY23 respectively. We note our FY22 and FY23 EPS estimates of $8.37 and $10.27 are ~4% and ~11% above consensus of $8.08 and $9.29 respectively."

For an analyst ratings summary and ratings history on Microsoft click here. For more ratings news on Microsoft click here.

Shares of Microsoft closed at $226.72 yesterday.


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