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MSFT
Benzinga
124 days

Microsoft Analyst Lowers Rating, Flags Slower Growth, Flat Valuation Outlook

1. Keybanc analyst downgraded MSFT from Overweight to Sector Weight. 2. Concerns over deal cycles and revenue growth expectations emerge. 3. Foreign exchange may positively impact fiscal 2025 guidance. 4. MSFT's EV/revenue and EV/FCF ratios compared unfavorably to the sector. 5. Stock is down 0.20%, trading at $370.87.

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FAQ

Why Bearish?

The downgrade reflects cautious market sentiment and reduced revenue growth expectations, similar to past downgrades impacting stock performance.

How important is it?

The downgrade comes just before an earnings report, amplifying its potential market impact.

Why Short Term?

Weak short-term revenue guidance can influence market perception leading into the earnings season.

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