Microsoft hit $4 trillion (roughly Rs. 3,49,15,020 crore) in stock market value on Thursday, turning into the second publicly traded agency after Nvidia to surpass that milestone following a blockbuster earnings report that confirmed its large bets on AI are paying off.
Sturdy outcomes from Microsoft and Meta Platforms late on Thursday moreover fueled good factors in Amazon and despatched chipmaker Nvidia to a file extreme, with the 4 heavyweight AI avid gamers gaining over half a trillion {{dollars}} in market value.
Wall Highway’s heavyweight avid gamers foremost in AI – Nvidia, Microsoft, Amazon, Alphabet and Meta Platforms – now account for 1 / 4 of the S&P 500, in step with LSEG info.
Microsoft forecast a file $30 billion in capital spending for the first quarter of the current fiscal 12 months to meet hovering AI demand. It reported booming product sales in its Azure cloud computing enterprise and said its Copilot AI devices had surpassed 100 million month-to-month full of life prospects.
Microsoft’s shares had been closing up 4.5 p.c after climbing as so much as 8 p.c.
“It’s throughout the technique of turning into additional of a cloud infrastructure enterprise and a pacesetter in enterprise AI, doing so very profitably and cash generatively whatever the heavy AI capital expenditures,” said Gerrit Smit, lead portfolio supervisor, Stonehage Fleming World Biggest Ideas Equity Fund.
Meta Platforms moreover doubled down on its AI ambitions, forecasting quarterly earnings that blew earlier Wall Highway estimates as artificial intelligence supercharged its core selling enterprise.
Redmond, Washington-headquartered Microsoft first reached a $1 trillion stock market value in 2019.
Its switch to $3 trillion was additional measured than Nvidia and Apple’s, with AI-bellwether Nvidia tripling its value in almost a 12 months and clinching the $4 trillion milestone on July 9.
Apple was closing valued at $3.12 trillion.
Just lately, breakthroughs in commerce talks between the US and its shopping for and promoting companions ahead of President Donald Trump’s August 1 tariff deadline have buoyed shares, propelling the S&P 500 and the Nasdaq to file highs.
Microsoft’s multibillion-dollar wager on OpenAI is proving to be a sport changer, powering its Office Suite and Azure decisions with cutting-edge AI and fueling the stock to larger than double its value since ChatGPT’s late-2022 debut.
Its capital expenditure forecast, its largest ever for a single quarter, has put it on monitor to doubtlessly outspend its rivals over the next 12 months.
Meta upped the lower end of its annual capital spending by $2 billion – merely days after Alphabet made an similar switch – signaling that Silicon Valley’s race to dominate AI experience is accelerating.
Cloud computing heavyweight Amazon.com rose 2 p.c ahead of its quarterly report after the bell.
AI chip supplier Nvidia climbed 0.8 p.c, lifting its market capitalization to a file $4.4 trillion.
© Thomson Reuters 2025
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