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.
However, he notes that revenue deceleration is likely after “phenomenal” 22 percent year-over-year growth in fiscal Q1 of FY22.
By Anusuya Lahiri
© 2021 The Epoch Times. The Epoch Times does not provide investment advice. All rights reserved.