Ackman Highlights Microsoft as a Compelling Investment
Written by Emily J. Thompson, Senior Investment Analyst
Updated: May 15 2026
0mins
Source: seekingalpha
- New Position Disclosure: Billionaire investor Bill Ackman announced that Pershing Square will disclose its new position in Microsoft in the upcoming 13F filing, expressing confidence in the tech giant's attractiveness at current valuations.
- Market Concerns Analysis: Ackman noted that Microsoft's recent share price decline is primarily driven by investor concerns regarding the competitive positioning of M365 against AI lab offerings and the sustainability of Azure's growth, emphasizing that the market underestimates M365's embedded role in enterprises and its attractive price-value proposition.
- Capital Expenditure Plans: Microsoft plans to increase its capital expenditure budget to approximately $190 billion by 2026, which Ackman believes should be viewed as growth capex linked to future revenue generation, mirroring investment trends seen at Amazon and Google, reflecting ongoing demand for AI and cloud infrastructure.
- Long-Term Value Outlook: Ackman compares Microsoft to investments in Amazon, Google, and Meta, asserting that Microsoft offers analogous long-term value at today's valuation, demonstrating strong confidence in its future growth potential.
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Analyst Views on MSFT
Wall Street analysts forecast MSFT stock price to rise
34 Analyst Rating
32 Buy
2 Hold
0 Sell
Strong Buy
Current: 390.340
Low
500.00
Averages
631.36
High
678.00
Current: 390.340
Low
500.00
Averages
631.36
High
678.00
About MSFT
Microsoft Corporation is a technology company. The Company develops and supports software, services, devices, and solutions. The Company’s segments include Productivity and Business Processes, Intelligent Cloud, and More Personal Computing. The Productivity and Business Processes segment consists of products and services in its portfolio of productivity, communication, and information services. This segment primarily comprises: Office Commercial, Office Consumer, LinkedIn, and Dynamics business solutions. The Intelligent Cloud segment consists of server products and cloud services, including Azure and other cloud services, SQL Server, Windows Server, Visual Studio, System Center, and related Client Access Licenses (CALs), and Nuance and GitHub; and Enterprise Services, including enterprise support services, industry solutions and Nuance professional services. The More Personal Computing segment primarily comprises Windows, Devices, Gaming, and search and news advertising.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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