3 Things About Microsoft That Smart Investors Know
Microsoft (NASDAQ: MSFT) stock hasn't had the best 2022. Share performance trailed the wider market through mid-September, thanks partly to a general distaste for tech and growth stocks and partly because of a growth hangover in key areas like PC and video game software. Surging demand in earlier phases of the pandemic is giving way to weaker growth in 2022.
But Microsoft will be back. The business has several promising growth avenues ahead, including cloud services and an eventual rebound in areas like gaming. There are even better reasons for smart investors to like this stock today, too. Let's take a closer look at three things investors should know about this stock.
When the economy tightens, most of the earnings still being generated tend to go to industry leaders, and Microsoft is taking full advantage of this competitive fact. The company has a premium position in several major niches, from cloud computing to productivity software. Smart investors see evidence of this success in metrics like operating profit margin.
Source Fool.com
