Reasons For Buying Microsoft Stock

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Reasons For Buying Microsoft Stock

Top Reasons For Buying Microsoft Stock In 2026

Microsoft is not a new player and is an essential part of the US tech sector. Also, Microsoft is involved in a lot of things, such as cloud computing, AI, and even the Windows OS.

But when it comes to AI, Microsoft has adopted a slightly different approach than its peers. So, instead of making its own AI model like Meta or Alphabet, Microsoft has partnered up with OpenAI.

Microsoft Controls 27% Of OpenAI

So, if OpenAI succeeds, it would also mean success for Microsoft, as it has a big stake in it. This alone is enough of a reason to consider buying the Microsoft stock in 2026.

The value of Microsoft's stake in the OpenAI company is around $203 billion. This means they own 27% of OpenAI, and that's a big chunk, no matter how we look at it.

This investment means Microsoft has every reason to root for the success of OpenAI. Microsoft also offers OpenAI's ChatGPT in its Copilot products and even in its Office products.

Another major revenue driver for Microsoft is Azure, where it offers different AI models to consumers. The availability of so many options is why many developers prefer Microsoft Azure as the first option for cloud computing.

Microsoft's share price reveals it is trading at 29 times forward earnings, which is very reasonable. For FY2026, analysts think Microsoft can easily achieve a revenue growth of 16%.

For FY2027, the expected growth rate for Microsoft is 15%, which shows that the future looks bright for this tech company.

On average, the S&P 500 grows by 10%, which means Microsoft's stock can easily outperform the market with its growth rate.

And if OpenAI also becomes a public company, it could provide a sizable amount of cash to Microsoft. The company could then use it to build more data centers that will only fuel the growth further.

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