Jefferies Bumps Up Price Target on This Tech Giant by 7%; Remains Bullish

The French headquarters of Microsoft is seen in Issy-Les-Moulineaux, a Paris' suburb, on Nov. 27, 2017. Martin Bureau/AFP via Getty Images

Jefferies analyst Brent Thill raised the price target on Microsoft Corp. to $400 from $375 and kept a Buy rating on the shares. The price target implies a 26.7 percent upside.

Despite a “massive 39 percent outperformance” versus the iShares Expanded Tech-Software Sector ETF in 2021 from Microsoft, he continues to see the potential in the stock as valuation provides downside protection.