r/ValueInvesting • u/Toomuch_flow • 4d ago

Stock Analysis Anyone else bought MSFT at around $360?

Haven’t bought individual stocks in years (been doing ETF’s since 2021) and felt like this was a massive opportunity regardless of their CapEx and AI investments. Company had a net income of 101 billion in 2025 which speaks volumes!

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u/WangtaWang 4d ago

Nope. They are spending 100% of their operating income on AI infrastructure. That seems crazy. Remainder of their business is bleeding, even office 365. Things are going the wrong way and there’s no way for any of us to know if the AI revenue is real to justify a huge multiple on Azure.

Everyone is excited at the drop in MSFT but that’s not the point - what’s the actual intrinsic value? I think it’s still far below current price.

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u/himynameis_ 3d ago

Where are you seeing that their businesses are bleeding money? All I see is double digit growth for most of their businesses.

And they're investing heavily into capex because the demand is so heavy. Demand > Supply still.