Microsoft 4Q 2020 earnings earnings to be released after the close

Technical Analysis

Author: Greg Michalowski | microsoft

Focus will be on the intelligent cloud business.

What the analysts are expecting is:
  • revenues of $35.54 billion vs. $33.7 billion in the same fiscal quarter last year
  • earnings-per-share expected at $1.37 which is unchanged from the same quarter last year
The growth Microsoft has been in the intelligent cloud business over the last few years.  In 2019, the Azure platform reported 64% revenue growth. The entire cloud business inclusive of server products and enterprise services grew by 19%.  Total revenues for the business it 11.4 billion.  With the coronavirus is expected that cloud business will expand as businesses increase there cloud capabilities to account for workers at home.

The price of Microsoft closed at $157.77 at the end of 2019. At the current price of around $211 that implies a gain of 33.7% for the year. During the February and March swoon, the price fell over 30%. Since then, the price is currently up 59.1% from the low.. The high price reached $216.33 earlier in the month. That is the all-time high price for Microsoft.

The low price last week reached $201.39 on Friday. The rising 50 day moving average is currently at $194.93. The price moved above its 50 day moving average back on April 14 and has stayed above that moving average since that time. A move below the 50 day moving average could see some more downside probing. The swing high in February before the sharp move to the downside reached $190.65. The 38.2% retracement of the move up from the low comes in at $184.31.

On the topside a move above the recent high $216.33 opens up the door for more upside momentum.

Focus will be on the intelligent cloud business._
For bank trade ideas, check out eFX Plus
By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose