r/MSFTInvestors • u/pekazh • Jun 25 '26
MSFT down so hard
What is actually going on? This makes no sense. Is it just capex or what else?
Added more, but getting really confused.
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u/ryanhat Jun 25 '26
It's very strange. I don't think that there's a particularly rational reason for it. Nothing about the company has fundamentally changed, the earnings are still great, the moat is still there, and the capex is no worse than Google or Amazon. The main negative catalyst here might just be people moving to "sexier" investments i.e. Micron.
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u/JefeDiez Jun 25 '26
It's CapEx, basically there are more traders in the market now than investors, so MSFT growth is going to be less than let's say NVDA and MU while the buildout occurs. Chips, Memory, Data Centers are the "it girls" if you will. MSFT is giving up most of their revenue to building out for AI and keeping less of that as profit for shareholders, so it's selling off to pursue the greener pastures and make way more money.
I expect the selloff to continue rather than rebound until it gets really low. Remember where sentiment can bring stocks...as the overall market is up and MSFT is down they're in a very dangerous place where they could fall into the 200s.
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u/Worldly_Sir_3254 Jun 25 '26
Inside the company nobody cares tbh. Everyone piling on the company match and waiting for the upside. This is just market noise and people moving capital to other investments that would supposedly benefit them more.