• Thu. Jun 6th, 2024

Why Adding This Computer and Technology Stock to Your Portfolio Could be a Smart Move

Byeditor

Mar 26, 2024

For beginner investors, the task of building a portfolio from scratch can seem daunting. A good strategy to start with is to look for stocks that are expected to outperform the market in the next year, as this has proven to result in strong returns. One stock that stands out in this regard is Microsoft (MSFT).

Microsoft is a major player in the technology industry, dominating the PC software market with a market share of over 73% for desktop operating systems. Since being added to the Zacks Focus List on February 1, 2016 at $55.09 per share, MSFT’s stock price has increased by 667.58% to $422.86. Analysts have revised their earnings estimates upwards for fiscal 2024, with the Zacks Consensus Estimate increasing to $11.63. On average, MSFT has exceeded earnings expectations by 8.8%.

With analysts predicting an 18.6% growth in earnings for the current fiscal year, investing in stocks like MSFT that have positive earnings outlooks can be very profitable. By buying a Focus List stock like MSFT, investors are likely investing in a company whose future earnings estimates will be raised, potentially leading to more price momentum.

If you want to receive more stock recommendations from Zacks Investment Research, you can download their free report “7 Best Stocks for the Next 30 Days” today. Click here to get the report on Microsoft Corporation (MSFT).

By editor

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