The company's focus on AI has been a key driver of its growth, with OpenAI's ChatGPT becoming a major player in the AI boom over the past year. This shift towards AI is expected to contribute to a strong earnings report for Microsoft, with Citi analysts maintaining their "buy" rating on the stock. Microsoft is set to report its earnings on January 30.
Key takeaways:
- Microsoft's shares traded above $404 on Wednesday, pushing the company's valuation above $3 trillion for the first time.
- Microsoft is the second company to reach this milestone, following Apple which achieved it last summer.
- The company's stock has risen more than 9% in January, outpacing Apple's 5.45% gain.
- Microsoft's recent strategic moves, including a multibillion-dollar stake in OpenAI, have solidified its position as a leader in the AI space and are expected to contribute to a strong earnings report.