There's a "rich" catalyst path ahead for Microsoft shares, according to Citi. The firm initiated a positive 90-day catalyst watch on Microsoft shares. While the tech giant's stock is up nearly 40% year to date, it has lagged on a relative basis after disappointing quarterly revenue guidance in July. Microsoft shares have declined 5% since, while other shares in its peer group have gained 4.9%.
The company has several events scheduled for this fall, starting with its Envision conference on Sept. 13, followed by another AI event on Sept. 21st. Microsoft Ignite for developers and IT professionals is scheduled for November. "While the details and agenda for these events are still limited, we expect to get favorable updates on GenAI monetization, including General Availability announcements for CoPilots.